Global Marketing.Case 1-3 Acer Inc

1835 Words May 6th, 2013 8 Pages
Case 1-3 Acer Inc.
Global Marketing
Strayer University

1. Acer strategy has been described as " divide and conquer". Compare and contrast this to Lenovo 's strategy. Marketing Secret #1 – Divide & Conquer Underlying all of the many things that the most successful marketers do is one important principal. The principal of “divide and conquer”. This time tested method for segmenting your market into smaller and smaller “sub-markets” is the key foundational idea behind all successful marketing. So what do I mean by “divide and conquer”? It’s really simple, but requires some thought…not a lot, but some. Let’s take by way of example an engineering firm that sells design services. They can design any type of commercial
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2.Explain how the "global markets-local markets" paradox figures into Stan Shih 's strategy for China. In 2000, Shin refocused the company distribution and marketing on the fast-growing China market. Acer stand to benefit from closer economic ties with China and from the WTO in 2001. The WTO are rules that require that both China and Taiwan eliminate limitations on foreign investment. Shin envisioned to build a base market in China and expanding from there to the rest of the world. He thought that if you don 't have a big market it 's not easy to innovate because the return of investment is too low. The paradox of Acer is that they tried to succeed in global markets first, then they realized it was better to position their brand in a home market first , taking advantage of / China big markets and low cost labor and then expand to the rest of the world with innovated new products. 3. Determine what strategies Acer can apply to become the world 's third-larger PC company, behind Dell and Hewlett- Packard. One strategy could be taking advantage of the low labor cost in China and apply the scale economies ,in the scale of economies the global company can take advantage of its greater manufacturing volume to obtain traditional scale advantages within a single factory. Also , finished products can be manufactured in scale-efficient plants in different countries. (keegan, 2011) Acer can also apply a global strategy. It is built on an information system that
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