www.xinhuanet.com
XINHUA online
CHINA VIEW
VIEW CHINA
 Breaking News Labour confirmed as largest party in New Zealand vote    New York Times reporter reveals source in CIA leak probe    United Arab Emirates urged to stop official contacts with Taiwan    Bush'a job approval rating improves after Hurrican Rita    4 US soldiers wounded in Afghan bomb explosion    Japanese court rules PM's war shrine visit unconstitutional     
Home  
China  
World  
Business  
Technology  
Opinion  
Culture/Edu  
Sports  
Entertainment  
Life/Health  
Travel  
Weather  
RSS  
  About China
  Map
  History
  Constitution
  CPC & Other Parties
  State Organs
  Local Leadership
  White Papers
  Statistics
  Major Projects
  English Websites
  BizChina
- Conferences & Exhibitions
- Investment
- Bidding
- Enterprises
- Policy update
- Technological & Economic Development Zones
Source Manufacturers and Suppliers from China and around the world
   News Photos Voice People BizChina Feature About us   
Lenovo moves ahead with IBM deal
www.chinaview.cn 2005-10-01 11:23:32

    BEIJING, Oct. 1 (Xinhuanet) -- Chinese computer maker Lenovo Group has sped up consolidation with IBM's PC business, and formed a unit in India to transfer its success in China to other emerging markets.

    Yang Yuanqing, chairman of Lenovo, the world's third largest computer maker, said his company would start the second stage of the consolidation process from Oct. 15, eight months ahead of schedule, according to Saturday's China Daily.

    The Chinese firm acquired IBM's personal computer business in December, including the famous Think brands of notebooks and desktop computers.

    During the first stage of the consolidation process, Lenovo Group's original business and the former IBM business ran separately under the names Lenovo China and Lenovo International to avoid drastic changes to customers and the organization of the company.

    "The process will take at least five months, so we can have a smooth operation in organizing the management and a stable increase in our business in domestic and international markets," Yang said on Friday.

    Chen Shaopeng, vice president of sales in the Chinese market, said there would not be any layoffs in the consolidation in China,where Lenovo and IBM had two separate groups of staff, distribution channels, and management teams.

    Eagle Zhang, general manager of the domestic research house Analysys International, believes Lenovo's successes in the first half of this year made the company confident in accelerating consolidation.

    "It is just like the usual Lenovo tactic: first test the water and then push it aggressively," said Zhang.

    According to international market researcher International DataCorp, Lenovo's shipments grew at three times the market average inthe second quarter and its market share reached 34 percent in China.

    Lenovo says it will build a unified management platform for product design and development, supply chain, and sales.

    Yang said his company also saved 10 million US dollars in May and June thanks to the integration of procurement for Lenovo and Think products.

    The Chinese computer giant will also reorganize its regional organization and set up five regional headquarters.

    Apart from existing bases in the United States, Europe, the Middle East, Africa, and the Asia Pacific region, Lenovo will set up a China regional unit, a result of the consolidation of Lenovo China and Lenovo International.

    The company will also set up an India headquarters, highlighting the importance of emerging markets like India, Russiaand Brazil.

    Yang had just visited India and Dubai of the United Arabic Emirates. Enditem

  Related Story
Milan spring/ summer 2006 fashion week
Pace succeeds Myers as US military chief
S.Korean soap opera sparks boom in China
- Lenovo moves ahead with IBM deal
- China's rapid economic growth will continue: OECD
- New York Times reporter reveals source in CIA leak probe
- US millionaire ready for space tour
- 2 Chinese killed in Thailand's insurgent south
- CPC sets date for Central Committee plenum
- Chinese State Council to open official website
- Japanese court rules PM's shrine visit unconstitutional
- PM Koizumi's Shrine visit unconstitutional
- Fatah wins part of municipal election
- 62 killed in 3 car bombs in Iraq
- Blair apologizes to anti-war activist Labour member
- Pakistan denies providing nuke material to DPRK: PM
- Turkey says possible not to start EU entry talks on time
- Taliban intensifies activities in post-election Afghanistan
- US House Republicans select Blunt as majority leader
Copyright ©2003 Xinhua News Agency. All rights reserved.
Reproduction in whole or in part without permission is prohibited.