Strategic managemnt of acer operating in Canada

Part IProblem/Opportunity genus Acer is a large and spendthrift growing PC shaper worldwide. The company realized the line of credit opportunities in Canadian trade in 1996. The everyday omnibus of Acer Americas Canadian unconscious process conceptualized that if they did the right thing, the steadfast could have a prosperous future. However, in that respect were both(prenominal) difficult problems for him: 1.Was the Canadian market worth engage? If so, in what manner? 2.Should the surgical operation be just gross sales office or a self-sufficient entity? a.Could the benefits of gathering in Canada outweigh the costs? b.What distribution channels to make out to avenge the different customers? The Canadian market was promising for PCs, particularly the profitable section--home use. The key problem is how to maximize the opportunity--to find a serious answer to question two. Part IIAlternatives There were in the first place two alternatives that were available for Acer. 1.Make Acers operation in Canada a planet sales office-- to focus on sales, marketing, and service. Acer America was responsible for manufacturing, engineering and R& axerophthol;D. 2.Make Acer in Canada a self-sufficient entity which required the general manager of the Acers operation in Canada to devise strategy, structure, and control mechanisms. Part IIISelection I believe that survival of the fittest one is the best, feasible solution to the problem that Acer was go about for several(prenominal) reasons.

First, this approach is more likely to secure rescue of scale. Canada market was small compared with the U.S. market. For example, the projected sales of U.S. were most dec ade times those of Canada in 1997. Consideri! ng the fact that there were already several strong competitors such Compaq, IBM, Apple, AST and Dell competing in the Canadian market, it was sound to say that price will be an central issue. however by option one, can Acer soften go for its resources to achieve economy of scale. Second, option one makes it viable for... If you pauperism to get a full essay, order it on our website: OrderEssay.net

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