...Company History: Acer Incorporated was called "the region's most impressive technology company" in a 1996 article in The Economist. The company also ranks among the world's ten biggest manufacturers of individual components like keyboards, monitors, and CD-ROM drives, and is America's ninth-largest personal computer producer. By 1995, the company was producing four million PCs annually, 25 percent of them OEMs (products sold under other companies' labels). Under the guidance of Chairman and CEO Stan Shih, Acer used ground-breaking strategies to bounce back from a US $22.7 million loss in 1991, earning US $205 million on sales of US $3.2 billion in 1994. Shih hoped to increase Acer's global sales to US $15 billion by 1999, by which time the company would operate as a "federation" of local manufacturing, assembly, and marketing units. http://www.fundinguniverse.com/company-histories/Acer-Inc-Company-History.html Business Origins: Acer Incorporated is Taiwan's leading exporter and the world's fifth largest computer manufacturer. The company designs, manufactures, and sells computer hardware and software products; it ranks among the world's largest manufacturers of individual components such as keyboards, motherboards, set-up boxes, storage drives, monitors, CD-ROM drives, keyboards, printers, scanners, and software. Acer's nearly 30 years of growth results primarily from its business of manufacturing and assembling branded and contract PCs in several locations throughout the world...
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...Student’s Name Instructor’s Name Class Name Date when Due Strategic Alternatives for Acer, Inc: Taiwan's Rampaging Dragon Acer, Inc: Taiwan's Rampaging Dragon has been in the business of PC selling and other stuff for a while now. It has been able to transverse across several nations in attempts to do business. In doing so, it has come across a number of issues which some have strengthened its operations and others have been identified as area which need new strategies to mitigate the arising risks. That being the case, this section deals with such strategies which will see Acer, Inc: Taiwan's Rampaging Dragon remain in business internationally. Firstly, for this organization to win, it must not relent on its already established operation policies that are already working for the good of the organization. For example, targeting neglected small groups of people and organization should be accentuated. Nevertheless, the organization should now venture into aggressive scramble for new large clients who will see the company’s turnover increase and make the organization partake other benefits which come with dealings of large clients. This way the company will have diversified its client target base thus spreading the risk across all the types of clients i.e. large and small. As the company is increasingly establishing its international presence, decentralization of its offices from Taiwan to other countries where it has operations in is inevitable. Though this might complicate...
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...Acer Incorporated Financial Statement Analysis Project Company History: Acer Incorporated was called "the region's most impressive technology company" in a 1996 article in The Economist. The company also ranks among the world's ten biggest manufacturers of individual components like keyboards, monitors, and CD-ROM drives, and is America's ninth-largest personal computer producer. By 1995, the company was producing four million PCs annually, 25 percent of them OEMs (products sold under other companies' labels). Under the guidance of Chairman and CEO Stan Shih, Acer used ground-breaking strategies to bounce back from a US $22.7 million loss in 1991, earning US $205 million on sales of US $3.2 billion in 1994. Shih hoped to increase Acer's global sales to US $15 billion by 1999, by which time the company would operate as a "federation" of local manufacturing, assembly, and marketing units. http://www.fundinguniverse.com/company-histories/Acer-Inc-Company-History.html Business Origins: Acer Incorporated is Taiwan's leading exporter and the world's fifth largest computer manufacturer. The company designs, manufactures, and sells computer hardware and software products; it ranks among the world's largest manufacturers of individual components such as keyboards, motherboards, set-up boxes, storage drives, monitors, CD-ROM drives, keyboards, printers, scanners, and software. Acer's nearly 30 years of growth results primarily from its business of manufacturing and assembling...
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...to move straight to global. Lenovo wanted to start marketing out of the Asia Pacific region to areas such as Hong Kong and Spain. Explain how the “global markets-Local Markets” paradox figures into Stan Shih’s strategy for China. Global Markets are the products of the company. The company is trying to expand their products across the board but with the Local Markets it’s all about the people; the people in the company and the customers. The company will have to think outside the box which is global but it has to act local by taking care of the people who buy and sell the product. With this in mind, someone who thinks globally is still a product of his or her own culture. Stan Shih’s Strategy for China was that it is crucial for Acer to develop a strong brand image in China before moving on to other countries. Work with...
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...ACER: AN IT COMPANY ACER: AN IT COMPANY LEARNING TO USE INFORMATION LEARNING TO USE INFORMATION CENTER FOR RESEARCH ON INFORMATION TECHNOLOGY AND ORGANIZATION University of California, Irvine 3200 Berkeley Place Irvine, California, 92697-4650 AUTHORS Jason Dedrick Kenneth L. Kraemer Tony Tsai October, 1999 Center for Research on Information Technology and Organizations TECHNOLOGY TO COMPETE Acknowledgement: This research has been supported by grants from the CISE/IRIS/CSS Division of the U.S. National Science Foundation, and the NSF Industry/University Cooperative Research Center, whose members include: ATL Products, The Boeing Company, Canon Information Systems, IBM Global Services, Nortel, Rockwell, Seagate Technology, Sun Microsystems and Systems Management Specialists (SMS). The authors would like to acknowledge the research assistance of Bryan MacQuarrie. They would also like to acknowledge the cooperation and assistance of numerous Acer Group executives and managers who agreed to be interviewed and provided vital data and information Acer_case_10-99.doc 2 Acer: An IT Company Learning to Use IT to Compete Jason Dedrick, Kenneth L. Kraemer, Tony Tsai I. INTRODUCTION Acer Computer is an unusual company in the personal computer industry. Companies such as Dell, Compaq and Gateway focus on designing, configuring, marketing and servicing PCs and increasingly leave the manufacturing to contract manufacturers and OEM producers. By contrast, Acer is a diversified...
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...Case 1-3 Acer Inc. Acer Inc. is a leading marketer of notebook and desktop PCs. The company, which posted sales of $11.3 billion in 2006, also produces other products such as flat-screen monitors and personal digital assistants. As Taiwan gained a reputation as the “tech workshop of the world,” Acer was able to become Taiwan’s number one exporter by manufacturing and marketing computers sold under its own brand name. Acer also produced equipment on an original equipment manufacturer (OEM) basis for well-known global companies such as IBM, Dell, and Hitachi. As company founder, chairman, and CEO, Stan Shih built Acer Inc. into one of Taiwan’s most successful companies. Despite Acer’s success, the company had trouble breaking into the American market. Between 1995 and 1997, Acer’s U.S. market share dropped from 15 to 5 percent. In the late 1990s, Shih noted, “In the United States and Europe, we are relatively weak. The local players there are very strong. The problem is that we don’t have good experience in marketing in those regions. It’s a people issue, not a product issue.” Shih has discovered that building brands in the business-to-business market is easier than building brands in the business-to-consumer market. “Business-to-consumer brands have more value but also face more challenges. People involved in business-to-business are usually rational, but consumers in business-to-consumer are usually emotional in choosing their brands,” he says. In 2000...
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...Hsin Tai Wu Rd., Sec 1 Hsichih, Taipei 221 Taiwan Company Perspectives: Acer ranks among the world's top five branded PC vendors, designing and marketing easy, dependable IT solutions that empower people to reach their goals and enhance their lives. History of Acer Incorporated Read more: Acer Incorporated - Company Profile, Information, Business Description, History, Background Information on Acer Incorporated http://webcache.googleusercontent.com/search?q=cache:GLjJKFtD2DAJ:www.referenceforbusiness.com/history2/90/AcerIncorporated.html+determine+what+strategies+acer+can+apply+to+become+the+world's+third+largest+pc+company+behind+Dell+and+Hewlett+Packard&cd=4&hl=en&ct=clnk&gl=us#ixzz12MuHMLNY Acer Incorporated is Taiwan's leading exporter and the world's fifth largest computer manufacturer. The company designs, manufactures, and sells computer hardware and software products; it ranks among the world's largest manufacturers of individual components such as keyboards, motherboards, set-up boxes, storage drives, monitors, CD-ROM drives, keyboards, printers, scanners, and software. Acer's nearly 30 years of growth results primarily from its business of manufacturing and assembling branded and contract PCs in several locations throughout the world. The company sells its products through dealers and distributors in more than 100 countries. Taiwan's high-tech industry pioneer Stan Shih cofounded Acer. Over the years Shih guided his company through several corporate restructuring...
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...distribution channels, competencies and value chain to provide a series of recommendations for Acer’s Board of Directors. Acer is the third largest PC manufacturer in the globe using atransnational strategy to procure components to maintain cost leadership. By using strategic group maps, Porter’s five forces, SWOT analysis, value chain review and the Dranove model a comprehensive analysis of the Acer external and internal forces are reviewed. On the basis of the analysis a series of recommendations have been made to ensure that Acer remains competitive, retains the number 3 ranking and are sustainable into the future. It is recommended that Acer find blue ocean against competitors through the use of the premium branding of product, whether this be Ferrari or another premium luxury brand and determine if some of this can be derived from sustainable and green materials. Once these are determined it is recommended to use a balance scorecard with alliances to help drive innovation together with a tried and tested sales system to increase Acer market share. Background and Context Acer is the third largest PC Company in the world (9.5% market share) with growth being experienced outside the mature USA market, predominately in emerging nations. Although Acer experienced growth in 2007, increasing its sales by 32.9%, the PC and peripherals industry is very competitive and Acer, while being the third player, is well below HP and Dell in terms of market dominance. Since 1999 Acer’s revenues...
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...The Acer Group is one of the world's largest PC and computer component manufacturers. Associated Acer companies include the world's third largest PC manufacturer, and Acer's mobile computers, network servers and personal computers are ranked in the world's top ten most popular brands in their respective product categories. Acer is the market leader in many countries around the world, and is ranked in more than 30 countries globally owing to the strength of its core business. On the distribution side, in 2007 it is the world's No.4 PC branded PC vendor, number one in South East Asia, Latin America and Middle East, etc... Since spinning-off its manufacturing operation, Acer has focused on globally marketing its brand-name products: mobile and desktop PCs, servers and storage, LCD monitors and high-definition TVs, and handheld/navigational devices. Acer's unique Channel Business Model is instrumental to the company's continued success. The model encourages partners and suppliers to collaborate in a winning formula of supply-chain management, allowing Acer to provide customers with fresh technologies, competitive pricing, and quality service. Established in 1976, Acer Inc. employs 5,300 people supporting dealers and distributors in more than 100 countries. Estimated revenue for 2006 is US$11.31 billion (Acer Annual Report 2005). Stan Shih, the founder and chairman of the Acer group and widely regarded as a high-tech visionary, had a long term vision to transform the Group into a...
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...BACKGROUND Acer was founded by Stan Shih, his wife Carolyn Yeh, and a group of five others as Multitech in 1976, headquartered in Hsinchu City, Taiwan. It began with eleven employees and US$25,000 in capital. Initially, 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 renamed Acer in 1987. In 1993, Acer posted record profits of $80 million. Total sales grew to $3.2 billion in 1994, and net income increased to $205 million, as Acer America turned its first annual profit in the 1990s. From 1994 to 1995, Acer advanced from 14th to ninth among the world’s largest computer manufacturers, surpassing Hewlett-Packard, Dell, and Toshiba. Acer’s operate in more than 38 countries, and each business unit is operated as decentralized strategic business unit. Acer’s Canadian business had in a past served as an intermediation between Acer America to deliver products to Canadian distributors, but in 1996 Anthony Lin was chosen as general manager of Acer’s operation in Canada. Previously the Canadian operation was selling no products directly to consumers in Canada, but Lin saw this as an opportunity to use local distribution and assemble the computers in Canada, “to order,” and sell directly to consumers. VISION To have a line product sold to three different target groups- Commercial, Home and non-profit. Acer in Canada envisions itself to be...
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...Acer group employs around 6000 people worldwide and revenues for 2012 reached nearly US$ 18 billion, it was founded in 1976 with $25.000 capital and 11 employees Since its founding in 1976, Acer has constantly pursued the goal of breaking the barriers between people and technology. Focusing on marketing its brand-name IT products around the globe, Acer ranks as the world's No. 3 vendor for total PCs and No. 2 for notebooks, with the fastest growth among the top-five players. A profitable and sustainable Channel Business Model is instrumental and fundamental for Acer's continued growth, while the successful mergers of Gateway and Packard Bell complete the company's global footprint by strengthening its presence in the U.S. and emerging markets Acer philosophy is to deliver better performances at lower price than the competition, there are able to manage it thanks to their size (e.g. large buying power, strategic partnerships with key partners like Intel, Microsoft or Amd) and their willingness to compromise on certain aspects of their products, this to meet the customer demands for cost-effective performance. Acer Channel Excellence (ACE) Program, is a new channel partner initiative that was born with the aim to deliver enhanced tools and offers for best-in-class value-added resellers (VARs). The next phase in Acer’s continued commitment to its channel partners, the ACE Program ensures successful sales and support of Acer products for qualified authorized resellers with...
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...functioning and mitigate problems. Of Course, one of the organization’s vital organ (read: its HR department) cannot be ignored. Hence, auditing HR is as essential as auditing the finance of auditing department. An HR audit serves as a means through which an organization can measure the health of its human resource function . “An HR Audit can help clarify the roll of the HR department; stream line and improve management practices and HR system; advance recruitment policies; understand the leadership style at the top; reduce HO cost; implement cost effective training; increase focus on human competencies; strengthen accountability through sound performance appraisal systems and other initiatives,” points out Bhaskar Bhandary , director - HR, Acer India. Hence, a through audit can help the organization up employee...
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...Taiwan Demographic issues Population: 23.1million (end-2009) Growth Rate:0.213% Average number of persons per household: 3.34 GDP: $807.2 billion GDP Per capita: $35,000 Income distribution Lowest 20%: 6.36% $282,260 Highest 20%: 40.34% $1,790,418 Employment Unemployment rate: Taiwan: 5.21% Canada: 8.0% Labour Force: 11,070,000 Labour Participation rate: 58.07% Housing Average space: 43.96 pin 87.89% of household living in own house 38.54% of household has no parking lot Physical Forces Total: 36,000 km2 Mostly mountains Three ports and one terminal Limited natural resource High damage rate due to typhoon Climatic Conditions Subtropical and tropical Hottest month: July 24-33°C Coldest month: February 12-18°C The annual average temperature: 22°C The rainfall is about 2,500 mm annually Driest month: November - 66mm Wettest month: August – 305mm Cultural Issues Buddhist and Taoist 93% Christian 4.5% Other 2.5% Official: Mandarin Chinese Earning ratio: 79.1% Education Literacy - 97.78% Years compulsory:9 Attendance: 99.30% Government:18% of governemt expenditure Business Etiquette ✓ Punctuality and handshake ✓ When having a business dinner, never finish the last piece in every shared dish ✓ A great portion of businesses are discussed in eating and drinking occasions ✓ Prepare gifts to main clients during Chinese festivals ✓ Treat business cards with respect ✓ Meetings will continue until the discussion is completed ...
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...History: Founded in Taiwan, Acer is a multinational manufacturer of electronics. They also happen to own the largest franchised personal computer retail chain that exists in Taipei, Taiwan. It is also the 3rd larges personal computer manufacturer in the world behindHewlett Packard and Dell Incorporated. The company was originally called Multitech. By 1987 the company was known as Acer. The company began small, with just eleven employees at a small capital of $25,000 dollars. Starting off, Acer was primarily a main consultant for the use of microprocessor technologies and a distributor of a wide variety of electronic parts, but it began developing into a personal computer manufacturer. In the year 2000, Acer decided to spin off its manufacturing operation into Winstron Corporation in order to focus itself on its branding business. Its labor force expanded, and Acer grew into a worldwide company. Acer continued to grow bigger and better, and by the year 2005, the company employed almost 8000 people throughout the world. Currently, they are sponsoring the Ferrari Formula 1 team. In January of 2009, Acer became partnered in an agreement for the 2010 Vancouver Olympic Games and the 2012 London Summer Olympics that will enable Acer to be listed among the Worldwide Top Partners for each Olympic installment (http://www.webhostingreport.com/learn/acer.html). Mission: Acer’s long-term mission is to break the barriers between people and technology. Their commitment to...
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...Acer Inc. is Taiwan based IT Company engaged in manufacture and distribution of PCS and laptops, research, design, HDTVs, cell phones, LCD monitors, storage product and other IT related products. The company operates in Americas, Europe, Middle East / Africa and Asia-Pacific region. The company employs about 8000 employees worldwide and estimated revenue for 2010 is US $ 19.9 billion (Acer, 2011). The roots of Acer Inc. were planted in the year 1976 and today Acer became one of the world’s prominent PCS & Notebook providers. In the year 2009, Acer ranked 2nd worldwide in total PC shipment and also ranked 2nd in notebook market for over third year (Acer annual report, 2009). Acer is emerging as strong IT products provider company while most of its business relies on European market (Datamonitor, 2010). Recently Acer announced its ICONIA series of tablets including dual screen laptop come tablet with navigation jog which is a breakthrough product line any company has offered yet (Acer, 2011) and also introduced world’s first dual sim supported smartphone equipped with snapdragon processor (Datamonitor, 2010). The financial analysis of Acer Inc. tells us about the economic condition of the company in the market. Ratios 2006 2007 2008 2009 2010 Ability to Payoff Debt Current ratio(%) 1.46 1.34 1.24 1.29 1.38 Quick Ratio(%) 1.22 1.08 0.97 0.997 1.1237 Gross Profit 10.8 10.2 10.4 10.1 10.2 Operating Profit Ratio 2.1 2.2 2.5 2.6 2.8 Ability to Operate ...
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