Acer GroupAcer Group

DamarM997Z229

Chayaporn

M997Z224

MyM997Z222

HanhM997Z22

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BinhM997Z248

I. Introduction Company profile. History focus. Brand. Acer product. Competitors.

II. Market shares.III. Acer awards.IV. Acer organization.V. Acer strategies.VI. Long-term strategies.VII. Acer achievement.VIII.SWOT analysis.IX. Suggestions.X. In general.XI. Questions & Answers.

OutlineOutline

IntroductionIntroductionCompany created in 1976, the Acer Group's business includes research, manufacturing and marketing of personal computers, motherboards, communications products, computer peripherals, semiconductors and consumer electronics .

Capital stock: 25, 000 USD

Workforce: 11 employees

Activity: IT products distributor

IntroductionIntroduction

Acer is aggressively moving into other fields as well, including Internet services, application software and intellectual property, and is developing digital services.

Acer is a top-10 PC (Personal Computer) brand worldwide, with 2009 revenues of US$17.9 billion.

No. 2 for total PC shipments and No. 2 for notebooks producer in the world, (Acer web, 2009).

IntroductionIntroductionThree more brands belong to Acer Group : The successful mergers of Gateway Inc. (October 2007) and E-machines & Packard Bell Inc. (March 2008) by parent company, Acer Inc., completes the group's global footprint by further strengthening its presence in the U.S. and Europe.

Capital stock: 805 million USD.

Global workforce :7,000 employees

History focusHistory focus1976-1986: Commercialize microprocessor technology.

In its first ten-year stage of development, Acer established a corporate culture based on the founders' firm belief in "the goodness of human nature." This belief was exemplified by the offering of stock to all employees. During this stage in Acer's history, the company significantly contributed to the popularization of computers in Taiwan.

History focusHistory focus1987-1995: Establish a leading brand and go global.

In 1987, Multi-technology formally became known as Acer, marking the start of Acer's efforts toward creating a strong brand name. During this second ten-year stage of development, Acer grew extensively and expanded both strategically as well as geographically. The company grew to be ranked 8th largest PC brand in the world.

History focusHistory focus1996-2000: Offer fresh technology for everyone, everywhere.

During the company's 20th anniversary celebration, the third stage of development was launched, including basic goals for technological innovation and simplification of operations. Top priority was placed on delivering the freshest, most affordable technology for the benefit of consumers worldwide.

History focusHistory focus2001-2007: Transform from manufacturing to services.

Since the company's founding in 1976, Acer has evolved from a manufacturing powerhouse to a globally recognized computer brand, marketing world-class IT products and services.

History focusHistory focus

2008-beyond: Enhance worldwide presence with a new multi-brand strategy.

Successful completion of the mergers of Gateway and Packard Bell, Acer seeks to further strengthen its global footprint with a new multi-brand strategy and solid partnerships. Acer now sets its sight on closing the gap from the world's No. 2 PC maker.

History focusHistory focus2010: The Acer Group today launched a new CI (corporate identity) as part of a long-term business plan to reposition the brand and achieve sustainable business growth for its customers and the company.

http://www.youtube.com/watch?v=Ws7KBRsgEog&feature=fvst

http://www.youtube.com/watch?v=MOn6THGqDsw

Acer ProductAcer Product

ClipsClips

ClipsClips

Top CompetitorsTop Competitors

Dell Inc.Fujitsu LimitedHewlett-Packard Company.IBM Global Services.Lenovo Group Limited.NEC Corporation.Palm, Inc.Samsung Electronics Co., Ltd.Sony Corporation.Sun Microsystems, Inc.Toshiba Corporation.

Market sharesMarket shares

Market shares for notebook unit at the price: $350-499 in 2009

US market sharesUS market shares

Acer awardsAcer awards

In 2010

Aspire 3820T/TG and Aspire X Series win Computex Taipei Design & Innovation awards; Aspire 8943G captures Gold .

Aspire Timeline 3811T Series wins Best Choice of Computex Green ICT Award.

Acer K11 projector and Aspire 8943G notebook clinch Best Choice of Computex Awards.

Acer S243HL wins iF Product Design Award.

Acer awardsAcer awardsIn 2009

Acer K10 projector wins Computex 2009 Best Choice Green ICT Award .

Acer Aspire 3935 notebook and Aspire One 7 Series netbook win Computex Design & Innovation awards -- organized by iF Design.

Acer Aspire Z5000 All-in-one PC wins Computex 2009 Best Choice Award.

Acer Aspire Gemstone "blue" receives iF design award.

Acer Acer Organization

Acer sAcer strategies

“Local touch, global brand“

Acer’s long-term mission is to break the barriers between people and technology. Our commitment to developing easy-to-use, dependable products that meet our customers’ needs has led to the creation of our unique Empowering Technology, designed to ensure that our customers receive the full benefit of each and every technological breakthrough. Empowerment through hardware, software and services – that’s the Acer brand promise.

Acer sAcer strategies“Local touch, global brand“

Product Strategy in Positioning:

Acer has long positioned it-self as a follower (first assembling for OEM (Original Equipment Manufacturer)).

High quality but affordable products (innovative but seldom pioneer).

Progressive product diversification: focusing on value-added segments.

Building a global brand.

“Local touch, global brand“

Ownership strategy in Management:

Decentralized and highly independant management (flexibility to demand).

Locally highered operationnal and managerial workforce (local expertise).

Participation of local shareholders.

The client-server organisation.

Acer sAcer strategies

Acer sAcer strategies“Local touch, global brand“

Production Strategy in decentralisation:

Centralized R&D and (large scale) manufacturing of value-adding components in low cost countries (economies of scale, low cost structure).

Decentralised assembling process, together with local marketing and distribution operations (low inventory cost, ,base on JIT (just-in-time )).

Local politic of joint ventures and partnerships (good knowledge of local markets).

Long-term business strategy to reposition the brand

The New Corporate Identity.

The Earlier Phases.

Innovating Around The Customer.

Long-term business strategy to reposition the brand

The New Corporate Identity:

Building a customer-centric company.

Renewed commitment to fostering an innovative culture in order to remain globally competitive.

Acer’s evolution from a high technology.

Hardware focused company to a softer.

Human centric and hi-touch company.

Long-term business strategy to reposition the brand

The Earlier Phases:

Acer’s growth from a manufacturing to a knowledge-based economy, which values leadership, service and innovation.

Business strategy has evolved from being a hard, product oriented company to a softer, human centric, high touch company, and driven by customer, not product, orientation.

Long-term business strategy to reposition the brand

Innovating Around The Customer:

Acer has evolved from a small-medium business to a global IT player focused not just on technology, but also on innovating around customers and our people.

Acer achievementAcer achievement

  Q1~Q3 2010 Q1~Q3 2009

 

GrowthQ3 2010 Q3 2009

 

Growth

Consol. revenueNT$479.9B

US$15.3B

NT$405.8B

US$13.0B

 

18% NT$167.6B

US$5.35B

NT$167.6B

US$5.35B

 

0%

Operating

income

NT$13.8B

US$441M

NT$10.4B

US$331M

 

33% NT$5.3B

US$169M

NT$4.8B

US$152M

 

11%

PATNT$11.2B

US$358M

NT$7.8B

US$250M

 

43% NT$4.3B

US$137M

NT$3.5B

US$111M

 

24%

SWOT analysisSWOT analysisStrengths:

OEM supplier for well-known global companiesTaiwan’s number one exporter.Affordable high quality products.Assembly plants in many countries.Knowledge of China’s marketA joint venture with Texas InstrumentsTaiwans’ reputation as the ‘tech workshop of the world’Efficient distribution network (1,000 distributors)Leader on the national market (Ranked the 4thin PC & notebook market worldwide)Innovative and dynamic company (R&D).

SWOT analysisSWOT analysisWeaknesses:

Bad after-sales services.

Acer does not hasmarketing experience in the United States and Europe.

Acer brand is not as well-known as Compaq, Dell, Gateway, IBM, SONY

The autonomy given to the RBUs (Regional Business Units) and SBUs (Strategic Business Units) could eventually end up in a partial lost of control.

SWOT analysisSWOT analysis

Opportunities:

Diversification in other segments or niches of the multimedia market.A vast, fast-growing market neighbor like China.WTO rules: No limitation on foreign investment.China has potential resources: low cost labor, high educated engineers or professionals.High market share growth: Now, market share in Mainland China only 3%.

SWOT analysisSWOT analysis

Threats:

Aggressive competition in computer market.Capital intensive industry due to very short product cycles.Negative perception toward’Made in Taiwan’ product as China products (cheap, low-quality)Fasttechnological environment change.Economic crisis.Geopolitical issues.Taiwan is excluded from the world’s most important organization.

SuggestionsSuggestions

Technology improves rapidly. The latest technology in the shortest times.

Relocate ACER’s factories closer to the markets in order to save logistic costs, save time and possible adaptation of the products to the markets.

ACER should establish ACER stores in strategic.

Locations on each markets to increase its margins and master its brand image.

Having investment to new areas.

In GeneralIn GeneralAcer has achieved the goal of breaking the barriers between people and technology.

Globally, Acer ranks No. 4 for total PCs and notebooks.

Approach effectively integrates Acer, Gateway, Packard Bell, and eMachines brands in worldwide markets.

Designed environmentally friendly products and establish a green supply chain through collaboration with suppliers.

Worldwide Partner of the Olympic Movement, including the Vancouver 2010 Olympic Winter and London 2012 Olympic Games.

Group employs 7,000 people worldwide and in 2009 revenues reached US$17.9 billion.

Questions & Answers

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