Southern Taiwan University of Technology
Marketing Management
CHAMBUU
MARIE
SUDIANA
MARKO
ANJA
TRAN THI
BATTULGA
NIKKI
COLYN
MARINIC
GRGIC
THANH
巴圖
MARTINEZ
許毓殷
馬可
安利敏
M997Z207
馬妳琪
M997Z237
M997Z206
M997Z205
LOAN
陳氏青鑾
M997Z208
M997Z215
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ACER
• manufactures and markets PC, chips, monitors,
keyboards, CD-ROM...
• Makes PC’s under its own brand and supplies other
companies as Hitachi, Siemens on an “Original
Equipment Manufacturer” basis
• Becomes Taiwan’s number one exporter
• Helped to change perception of “MADE IN TAIWAN”
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Inspired by McDonald business model
• Delivering of beef patties, buns and other
ingredients
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Inspired by McDonald business model
• Delivering of beef patties, buns and other
ingredients to local restaurants
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DECENTRALIZATION
• Three dozen location around the globe
• Combination of local components plus components
from Taiwan
• “We are providing the customer with the freshest
technology at the most reasonable price.”
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In 1970’s Multitech International
Corporation> in 1980’s ACER ( sharp,ace)
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Once 1987 the company’s name originally was Multitech
and renamed Acer
Company developed policy of “ global brand, touch local”
• The company began to ship components to 32
locations around the world for assembly.
• Plan to "deconstruct" Acer into 21 publicly traded
business units by the end of the 20th century.
• Managing customers' perception of the company by
partnering overseas companies.
Acer is organized into strategy business units for
manufactoring and regional business units for markrting.
In South Africa, Acer became the number 2 brand.
1994 in Mexico, Acer commanded a 30 percent share of the
market.
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Encourage
employees to
speak up and
share ideas. By
drop in employee
ideas and glean
bits of information
that may not be
available through
more formal
channels.
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Joint venture with Texas Instruments
Joint venture with Computer Associates
Joint venture with General Electric
Joint Venture with Smith Corona
Corporation.
Acquisition of Gateway, Inc and Packard Bell.
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Acer’s response was to distribute final
assembly operations around the world.
Under the fast- food strategy, components
are defined as being either perishable or
non-perishable based on how fast they lose
value (or spoil) due to technological change.
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The first component is the “central kitchen,”
which is
located in Acer's facilities in Taiwan.
The second major part of the fast-food model is
the distribution center.
Third, the local assembly sites or “Uniload”
centers are responsible for the final assembly of
PCs as well as for purchasing perishable
components.
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Effective advertising brings the right media
and the right
message together at the right time to sell a
product or
concept.
Brand-image advertising
Project-oriented advertising
Muti-brand strategy
Move beyond PCs and
attain leadership in
next-generation low
priced “information
appliances”
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Brand is critical to long
-term success
Experience of ACER
Building brands is in the
business-to-business market
is easier than building brands
int the business-to-consumer
market
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People involved in business-
to-business are usually
rational.
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Consumer in business-to-
consumer are usually
emotional in choosing their
brands.
Experience of ACER
Acer is the second leading manufacturer in total market
share and their shipments grew by nearly 47.1 percent.
That narrows the gap between the Taiwanese company
and HP.
•In 1999, Shih decided to leave the United
States and concentrate on the immense and
rapid growing market: China
•Although relations between China and
Taiwan remains unclear, Acer wishes to take
the challenge and build a strong image in
China.
•The challenge for the region, China is the
poor image that is always associated
with the country.
•The government and the general public in Taiwan
should support its own products.
•Acer becoming a “marketing and services powerhouse.”
•Shih says, “Innovation is not necessarily related to
whether you are smart or not.”
•“The reality is that if you don’t have a big market,
it’s not easy to innovate because the
return of investment is low.”
•Highly educated engineers and other professionals
are integral for Acer’s success.
ACER´S POSITION IN CHINA
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Advantages for Acer – mainland China has the
same language and culture
Major Taiwanese suppliers are situated in China
Acer´s main competitor->LEGEND (with 35% of
the market)
Acer´s notebook computers rank fourth in the
market
“We can take our brand global by building
strong home market”
Acer´s strategy for China-> PC made in China
from start to finish
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Acer is more “global” and, on the other hand,
more “local”
Legend does not produce notebook
computers- Acer has better technology base
Reasons for slow increase of sales in China
-> poor brand recognition
However, Acer is among three top vendors in
PC notebook market in China
Q&A?
Thank You for
listening!