Acer Case Study

From the beginning, genus genus genus Acer had been a component and equipment manufacturer for relabeled electronic products securities industryed and sold by recognized planetary companies. Along with the booming of the PC industry, came the need to produce PC components faster, cheaper and to a greater extent efficiently. When a company faces market saturation, the most effective way to egression is to engaged in postulate a fiting its operations, and increase marketing and selling activities to another markets.With this case, Acer determined that they would take the company into the global electronics and personal computer compete field. This means that even though Acer makes their computers in Taiwan, they want to expand globally. To proceed with this process, Acer has to build a strong brand digit with china. According to Stan Shih, his visions that building a stronger market base in greater china is the key to expand globally.Shih states, The market in China is very(p renominal) critical for Taiwanese to become global companies Shih believes that if greater China becomes the basis market, that Acer will be able to get the critical economies of scale, and they send word develop and innovate new products that will succeed in China as well as the rest of the world. And He figured that Acer could take payoff of the benefits that regionally local markets offer in regards to competition, and to have a product on Chinas turf. 2. How does the global market/local market paradox figure into Stan Shihs strategy for China attendAcer have a good chance to make China as their home base market so Acer can ca employ critical economies of scale that will allow Acer to develop in advance(p) new product for global market. And the other hand, Acer can accustom their image as global brand to building strong home market.3. Can Acer become the worlds third largest PC company behind Dell and Hewlett-Packard ?Answer Yes it can be, Acer Inc. is a leading marketer of notebook and desktop PCs. The company, which posted sales of $11.3 billion in 2006, alsoproduces other products such as flat-screen monitors and personal digital assistants. And Shih has discovered that building brands in the business-tobusiness market is easier than building brands in the business-to-consumer market.Business-to-consumer brands have more than value but also face more challenges. Acer use more local than their compete and acquired US based gateway and Acer sell product in europe with low price that the advantage to become the third largest PC company behind Dell and HP.