Business Strategy

The consolidation of the Chinese computer giant Lenovo Group and the PC unit of the US behemoth IBM took its first step, as executives from both companies revealed their strategies for the Chinese market yesterday.
Here is the link of article(http://english.sohu.com/20050224/n224410011.shtml)

Let’s take a concrete example, Lenovo put more than 10 million dollars in buyer power every year. And put more than 10 billion dollars in supplier power. Meanwhile Lenovo put more than 10 million dollars in services for the force of threat of substitute products or services. Lenovo also put more than 50 million dollars in technical innovation for the forces of threat of new entrants and Rivalry among existing competitors. Now it is clear for us see how much power each of the 5 forces has through how much money they put in each 5 forces. How does Lenovo reduce the buyer power? They create a competitive advantage by making it more attractive for customers to buy from them than from their competition. For example, they asked some super stars to join their advertisements and create many pretty cool and convenient functions. Lenovo actually is a customer of other supplier organizations. Because Lenovo never produced any parts. Lenovo just put every parts together and then sell it. And many supplier organizations want to increase their buyer power so that they are willing to sell their products to Lenovo. So Lenovo could get what they need in lower price. So Lenovo could reduce their supplier power. How do they create switching costs and entry barriers? Lenovo put a large amount of money in customer services and technical innovation. Meanwhile they spent a lot of money in improving their quality. So there are more and more people prefer choosing Lenovo rather than choose others. As we all know, a lot of demand bring them a lot of profits.

SCM- Lenovo embraces the values of customer service, innovative and entrepreneurial spirit, and integrity. Lenovo seeks to integrate these core values into every aspect of its business and into policies and procedures in areas of quality and safety for products, employee welfare, managing a global supply chain, ethical corporate behavior, social investments and environmental affairs.

The IT organization of Lenovo is fully integrated throughout the organization. And their philosophical approach is decentralized, early adopters of technology empower employees throughout the organization to try new and emerging technologies in the hope of finding a few that can provide significant competitive advantage.
(1)Overall cost leadership (2).differentiation (3).focus It will also further differentiate its brand and product positioning, establish a corresponding end-to-end integrated organizational structure, and create product marketing mechanisms that can react to market changes more quickly.

E-Commerce

Kinds of e-commerce
All kinds of business to business(B2B) e-commerce, business to consumer(B2C), business to government(B2G)are used in lenovo.
here is a link for businesses (http://shop.lenovo.com/SEUILibrary/controller/e/web/LenovoPortal/en_US/special-offers.workflow:ShowPromo?LandingPage=/All/US/Portals/resources)
Types of marketing mix
Both B2B and B2C are used in lenovo. Marketing mix of B2C, like registering with search engines, online ads, viral marketing, and affiliate programs are all used in lenovo. Also, marketing mix of B2B is used too.
Link for Affiliate Program(http://affiliates.lenovo.com/affiliates/files/aff-program.html)

Payments
Payments of financial cybermediary and electronic bill presentment and payment of B2B are used. Electronic data interchange and financial electronic data interchange are both used too

Company introduction, history and CEO

Introduction of history

Lenovo Group Limited is today the fourth largest personal computer manufacturer in the world, after Hewlett-Packard and Dell of the US, and Acer of Taiwan. Lenovo produces desktops, laptops, servers, handheld computers, imaging equipment, and mobile phone handsets. Lenovo also provides information technology integration and support services, and its QDI unit offers contract manufacturing. Lenovo also offers Internet access through its FM365.com portal. Its executive headquarters are located in Beijing, People's Republic of China and in Morrisville, North Carolina, USA. It is incorporated in Hong Kong.

Company history details(http://www.lenovo.com/lenovo/us/en/history.html)

CEO

YANG Yuanqing

Chairman of the Board

Yang Yuanqing is chairman of the board of Lenovo Group Limited. Prior to assuming his current position, he was the president and chief executive officer of Lenovo. Mr. Yang joined Lenovo in 1989 and became CEO in 2001. Under his leadership, Lenovo has been China's best-selling PC brand since 1997. In 1999, Lenovo ranked as first in PC sales in Asia-Pacific (excluding Japan) and has maintained this position ever since.
Mr. Yang has been named by BusinessWeek magazine as one of the "Stars of Asia," and has been selected by the Chinese media as one of China's "Ten Star Entrepreneurs" and "Ten Most Valuable Managers." He was also named by CCTV as a "Man of the Year" in 2004. He holds a master’s degree from the Department of Computer Science at the University of Science and Technology of China. Mr. Yang is also a member of the National Youth Association Committee, director of China's Entrepreneurs’ Association, a guest professor at the University of Science and Technology of China, and a member of the New York Stock Exchange's International Advisory Committee.

William J. AMELIO

President and Chief Executive Officer

William J. Amelio is president and CEO of Lenovo Group Limited. Mr. Amelio joined Lenovo from Dell Inc. where since 2001 he served as senior vice president, Asia-Pacific and Japan, with responsibility for strategy and operations across the region. During his tenure, sales more than doubled in the region and service levels improved significantly, as measured by third-party customer satisfaction metrics. From 2000 until 2001, Mr. Amelio was executive vice president and chief operating officer of NCR Corporation's Retail and Financial Group, one of its two businesses.
From 1997 to 2000, Mr. Amelio was with Honeywell International Inc. and its predecessor, AlliedSignal Inc., where he was president and CEO of Honeywell’s transportation and power-systems divisions, and head of the turbocharging-systems business at Allied Signal. Under Mr. Amelio, the turbocharging-systems business doubled in revenues to more than $1 billion, implemented Six Sigma and SAP, and successfully integrated acquisitions. From 1979 to 1997, Mr. Amelio was with IBM, where he held a wide range of senior management positions, including general manager of Operations for IBM’s Personal Computing Division.
Mr. Amelio has a master's degree in Management from Stanford University and a bachelor’s degree in Chemical Engineering from Lehigh University.

Company management(http://www.lenovo.com/lenovo/ca/en/management.html#amelio)