PREPARED BY: PRESENTED TO: BHUMIT PATEL (09M51) K S PRASAD

G H PATEL POST GRADUATE INSTITUTE OF BUSINESS MANAGEMENT S P UNIVERSITY VALLABH VIDYANAGAR HISTORY OF ACER LAPTOP

‡Acer was founded by , his wife Carolyn Yen, and a group of five others as Multitech in 1976, headquartered in Hinchey City, .

‡It was primarily a distributor of electronic parts and a consultant in the use of microprocessor technologies, but over time it emerged as a PC manufacturer.

‡The company was renamedAcer in 1987. MARKETING STRATEGY OF ACER

‡Acer adopts different marketing strategy according to different countries Acer¶s marketing strategy lays stress on channel and service, while its multi- distribution model and customer services have help the company achieve No. 1 notebook sale in Europe.

‡Acer follows door-to-door repair service in Indian market. CHANNEL STRATEGY: DIRECT RETAIL

Acer has adopted the Direct Retail sale method. The first step of direct retail is cooperating with main distributors which have a huge scale in each country, creating its own information management system, and cutting logistics down to reduce the cost. Acer can directly deliver its goods to its dealers and distributors without wholesalers and middlemen. After, Acer not only uses the money to its dealers and distributors for education and marketing training. Acer is one of the few multi-brand technology companies, which this gives them four distinct product lines. Acer only plays the role that is responsible for managing brand. Acer never does whatever its dealers and distributors can do. SWOT ANALYSIS

STRENGTH Acer has many innovations like the Aspire One laptop that let the user connect to the Net almost anywhere with 8 hours of battery live. Acer main factory is located in Taiwan which has low-cost labor and distribution advantage in the US market and Asian market. Acer price its products with low competitive prices to compete with the strong rivals and acquire the low-priced laptop market share. WEAKNESSES The PC, laptop and mobile phone markets are extremely competitive and require frequent innovations to keep up or exceed the customers¶ expectations. The laptop customers expect new functions and improved computing power at least once every year. Innovations and changing market demand needs strong and flexible supply chain to execute the successful innovations and deliver them to the market before the competition. OPPORTUNITIES Acer had competed on delivering a reliable PC¶s and at a competitive price. Similar market entry model would be useful to enter the eBook Reader market and the iPad market. Acer was successful in acquiring Gateway©, and pockard bell (Acer inc., 2010). Acer can also compete in the Asian market by using its low price model. The Asian market is huge and would consume many of Acer¶s products if marketed well. THREATS The laptop and PC market are extremely competitive. The innovation will continue as long as the workers are compensated and the subsidiaries are willing to compromise for the sake of benefiting the holding company. PRICE COMPARISION

COMPANY NAME PRICE(IN RS)

HP mini 110-3007 TU 19,999

HCL ME Xite 16,450

Acer Aspire One 533 14,990 ACER·S MAJOR COMPETITORS IN THE GLOBAL COMPUTER INDUSTRY ARE:

HEWLETT-PACKARD/COMPAQ HP maintains excellent account management for its largest global enterprise.

HP is setting the standard in the notebook industry with the best combination of advanced features and extremely competitive prices. LENEVO GROUP LIMITED

Lenovo¶s consumer strength and market leadership in China can let and IBM successful in the world fastest growing IT market.

Lenovo-branded notebooks targeting the consumer segment, a weak segment for the ThinkPad line. KEY ISSUES

Drift from the frugal culture and lavish spending

The issue between the paratroopers and the ground troops THANK YOU