STRATEGIC MARKETING MANAGEMENT Assignment Example | Topics and Well Written Essays - 2500 words

STRATEGIC MARKETING MANAGEMENT - Assignment Example In consideration to the importance of technology in our daily lives, the industry, I have selected for Marketing Research and Planning is ‘Education IT products’. The company that has been selected is Lenovo. Lenovo is a manufacturer of PCs, laptops, desktops and other computer accessories. The history of Lenovo dates back to 1980s (Lenovo Website). Lenovo is operating in UK as well and it is considered as one of the top manufacturers of notebooks in the UK market (Schofield, 2010). The annual report 2009/2010 of Lenovo has revealed that shares of company in the mature markets including UK have declined as compared to its shares in China. Therefore, in this report strategic management analysis of Lenovo has been done and a new product plan has been proposed based on chosen future growth strategy. 2.0 CORPORATE OBJECTIVES The mission statement of Lenovo has been given below: â€Å"Lenovo strives to be a new world company that makes award-winning PCs for our customers. We operate as a company uninhibited by walls or organizational structures using world-sourcing to harness the power of innovation across our global team. We design innovative and exciting products and services to meet our customers’ needs.†(Lenovo Website) As mentioned in the annual report 2009 of Lenovo, the future corporate objectives of Lenovo are given below (Lenovo Website, 2010): Focus on maintaining its growth momentum in its core PC business whereas, exploring new opportunities. Reducing costs and increasing operational efficiency is another corporate objective and to achieve this objective, company has announced a global resource restructuring plan. To expand leadership position in China and to improve profitability in China To return to profitability and maintain and grow shares in the mature markets like UK, US etc To ensure faster end-to-end management in the mature and emerging markets To simplify the business model for global commercial accounts To explore n ew opportunities in mobile interest by coming up new products and through Lenovo Mobile unit 3.0 MARKET OVERVIEW 3.1 Products The current products of Lenovo have been classified into three categories including Professional Grade products, Lifestyle products and Accessories. Professional Grade Lifestyle Accessories ThinkPad Laptops IdeaPad Laptops Monitors ThinkCentre Desktops IdeaCentre Desktops Batteries & Power ThinkStation Workstations Essential Laptop/Desktop Storage ThinkServer Systems All Accessories Source: Lenovo Website The following figure shows sales of Lenovo’s products in 2009 and 2010. Figure shows that notebook computers contribute to the major chunk of the sales with 58 percent and 63 percent in 2009 and 2010 respectively. Figure 1: Sales Analysis by Product, 2009 Source: Lenovo Annual Report 2009/2010 3.2 Target Markets The company has categorised its markets into three groups including China, Mature Markets and Emerging Markets. The Executive Headquarter of Lenovo is in Morrisville, USA whereas, the Principal Operations are in Morrisville (targeting mature markets), Beijing (targeting China) and