Acer Case Study

From the beginning, Acer had been a component and equipment manufacturer for relabeled electronic products groceryed and sold by recognized world(a) companies. Along with the booming of the PC industry, came the need to produce PC components faster, cheaper and more efficiently. When a union faces food marketplace saturation, the most effective way to growth is to engaged in smashing its operations, and attach marketing and selling activities to another markets.With this case, Acer determined that they would take the company into the world(a) electronics and personal computer playing 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 pee-pee a strong brand image 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 critical for Taiwanese to turn global companies Shih believes that if greater China gets the home market, that Acer testament be able to get the critical economies of scale, and they can develop and innovate cutting products that will succeed in China as well as the rest of the world. And He figured that Acer could take advantage 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 ChinaAnswerAcer have a good chance to make China as their home market so Acer can capture critical economies of scale that will allow Acer to develop innovative new product for global market. And the other hand, Acer can use their image as global brand to building strong home market.3. Can Acer become the worlds third largest PC company behind dingle 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, in any caseproduces 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 value but also face more challenges. Acer use more local than their postulate 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.