Strategic Analysis of Acer Incorporation Essay Example | Topics and Well Written Essays - 1750 words

Strategic Analysis of genus genus Acer Incorporation - act ExampleAcer Inc. is the third largest manufacturer of PC in the world that uses transnational strategy in procuring it components for the purpose of maintaining cost leadership. In this respect, we have used PESTLE, Porters Five Forces model, and SWOT digest for a comprehensive analysis of the external and internal Acer environment. From this, we have made a serial publication of recommendation to Acer in order to retain its ranking. It is however recommended that Acer adopts Blue Ocean against its competitors by using product premium branding regardless of whether its with Ferrari or any separate luxury brand. It is excessively recommended that Acer uses balance scorecard together with its alliances to drive innovation so as to increase the market share of Acer.IntroductionThis paper seeks to review in general terms the growth and performance of Acer over the past decade. The paper volition analyze the environment in w hich Acer functions and identify the opportunities and threats to which it world power expect to have to respond, and how are these factors likely to impact on the company in the near future. This pull up stakes be done through environmental analysis (PESTLE, Porters Five Forces, and SWOT). The report will also make analyses of the resources and key capabilities of the company plus the factors that give the company its competitive advantage. This will be done through assessing the Industry Critical Success Factors, analyzing resources and capabilities and link the generic strategy. Background of the company Acer Incorporated is a multinational electronics manufacturer based in Taiwan. Its product includes desktops, laptops, servers and storage, peripherals, personal digital avail (PDA), peripherals and e-business services for business, government, education, and home users. Acer Inc is the third largest computer manufacturer in the world after HP and Dell (Shaw & Kotler, 2009). A cer Company owns the largest franchised computer retail chain in Taiwan, Taipei. The company was founded by Stan Shih, Carolyn Yeh his wife, and a group of five others in 1976 as a Multitech. Acer has since been the third largest computer manufacturing company in the world holding 9.5% of the market share, with its growth being experienced outside USA mature market, generally in emerging nations. The peripherals and PC industry is very competitive and Acer has maintained growth since 1999 with evidential growth in revenues. The key competitors in the market include Dell, HP and Lenovo however there is a fragmentation of the market with 46% of it owned by brands which have market share of less than 4% each. Acer seeks to increase its market share through release of premium PCs under Ferrari brand and expanding upon in LCD TVs with BenQ brand (Unruh & Ettenson, 2010). Growth and performance over the past decade Acer has follow various strategies to ensure that it remains competiti ve and retains its ranking at number 3. Acer strives to find a Blue Ocean against its competitors by using premium branding of its product from Ferrari or any other premium luxury brand and make determinations if