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Business Environment of IBM : Report

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Added on  2020-06-04

Business Environment of IBM : Report

   Added on 2020-06-04

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Business Environment of IBM : Report_1
Table of ContentsEXECUTIVE SUMMARY.............................................................................................................3INTRODUCTION...........................................................................................................................1Literature review..............................................................................................................................1Analysis and discussion...................................................................................................................5CONCLUSION................................................................................................................................8Recommendation to Lenovo after acquiring IBM...........................................................................9REFERENCES..............................................................................................................................10
Business Environment of IBM : Report_2
EXECUTIVE SUMMARYThe report includes the case of IBM acquired by the Lenovo in the year2004, where the main aim of the company was to be the largest global seller of thepersonal computer. As the IBM was already dealing in the international countries itserves various advantage to the company. The report includes financialperformance of the company before and after the acquisition which state that CEOof the company have taken fruitful decision to fulfil their objective.
Business Environment of IBM : Report_3
INTRODUCTIONAccording to the case given in the scenario is of 2004, when Lenovo have acquired IBM,IBM have sold it's all personal-computer business and entire PC operations to the Lenovo. Thecompany is fast growing manufacturer in China who sell computers and laptops. After acquiringIBM, the organisation became third largest PC venture, the firm having 2400 workers in US, 4000employees in the foreign countries, in manufacturing and more than 3600 in the selling anddistribution. At the time of acquisition, IBM have created the memos for their employees whichmentioned that the compensation which is paid to them will be same and they will not be ask to re-locate their location. The strategy which was adopted by the Lenovo was that they have shifted theirbusiness tom a new location at New York and due to that the employees of the IBM will leave thecompany and if their employees leaves then the value of acquisition will be become very low. Thetop executive of the Lenovo were very smart, they found good strategy to enter into the globalmarket. They have announced that English would be new language for their business and after thatthey started competition with the Dell. Another advantage they have found that none of theemployees of IBM have capabilities to manage global market so they started hiring new and eligibleperson for their business. Organisation should also focus on making policies for the domesticemployee rather than only focusing on making policies for international employees.Aim of the projectAim related to this acquisition of IBM by Lenovo is to analyse the suitability of the strategyadopted by the Lenovo to enter into the global market and the staffing approach adopted by thecompany on acquiring IBM PC department.Objective of the project.Evaluating the suitability of strategy adopted by the Lenovo related to acquisition of IBM toenter into global market.Analysing the strategic appropriateness of the recruitment and selection approach adoptedby the Lenovo for acquiring the IBM PC division.1
Business Environment of IBM : Report_4

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