SUMMER INTERNSHIP REPORT

ON

„Feasibility of Notebooks against Desktops‟
SUBMITTED BY

SHISHIR GARG (PG 09 40047) (Accman Institute of Management, Greater Noida, UP)

Carried out during Summer Internship Program At LENOVO INDIA PVT LTD., Vatika Business Park, Sohna Road, Sector-49 GURGAON, HARYANA

SUBMITTED TO:

Prof. SUBIR GUHA (Faculty, Accman Institute of Management) & Mr. Pyush Khanna (Business Manager, LENOVO INDIA PVT LTD.)/ Mr. Siddharth Sharma (Sales Specialist, LENOVO INDIA PVT LTD).

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CERTIFICATE FROM LENOVO

TO WHOMSOEVER IT MAY BE CONCERNED This is to certify that Mr. Shishir Garg, son of Dr. R. S. Baranwal, a student of Post Graduate Diploma in Management (PGDM), session 2009-2011 at the All India Council for Technical Education (A.I.C.T.E.) approved college Accman Institute of Management, Greater Noida, has worked as a management trainee at Lenovo India Pvt. Ltd., Gurgaon for two months (May 01, 2010 to Jun 30, 2010), as a part of his Summer Internship Programme (SIP). To the best of our knowledge, he is a very sincere and dedicated person. We wish him a very bright future.

Authorized Signatory DATE: / /

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DECLARATION BY THE CANDIDATE

I, Shishir Garg (PG 09 40047), hereby declare that the project report entitled „FEASIBILITY OF NOTEBOOKS AGAINST DESKTOPS‟, which is being carried out at LENOVO INDIA PVT LTD., GURGAON during the SUMMER INTERNSHIP PROGRAM of our college, ACCMAN INSTITUTE OF MANAGEMENT, GREATER NOIDA, as the partial fulfillment of the requirement for POST GRADUATE DIPLOMA IN MANAGEMENT (PGDM 2009-2011) as per the AICTE norms, submitted to my Project Guide Mr. Pyush Khanna (Business Manager, UP and Uttarakhand, LENOVO INDIA PVT LTD.), to my faculty Guide Prof Subir Guha (Faculty, ACCMAN Institute of Management) and to Prof S C Ghosh (CHIEF CRIC), is my original work and not to be submitted for the awards for any other degree, diploma, fellowship or any other similar title or prizes.

Place: New Delhi. Date: Jul 12, 2010.

Shishir Garg (SHISHIR GARG) (PG 09 40047)

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I would like to thank the CRIC of ACCMAN Institute of Management for providing such a wonderful experience of Summer Internship Program at such an esteemed organization LENOVO INDIA PVT LTD. They understood me when no one could. I felt tired and defeated they uplifted and filled me with energy. right from understanding the topic to completion of the project. Without mentioning the names I wish to thank them …. it contains all you'll ever need. and we faced those problems very boldly.Acknowledgements "Your treasure house is within. Mr. It was a very good experience to do my Summer Training with such a gentle man.Pyush Khanna”. I know they will understand my feelings for them. batch mate and colleague in this project. parents and of course our competitors who motivated me and instilled in me the confidence I needed desperately to do the job. . I would like to give my sincere thanks to my Project Guide “Mr. While it is not possible to name all of them.. Faculty Guide “Prof Subir Guha”. Every time. my corporate Mentor Mr. . I would like to offer my thanks to my friends and family members who were there for me in every thick and thin of mine. I would still like to mention a few important ones . we both have helped each other a lot whenever we felt some very hard problems. . innovative skills. inter-personal skills and the learning process about the subject (BUSINESS RESEARCH) which began couple of months ago. SHISHIR GARG Date:-12\07\2010 4 . teachers." Making of this project was a tough job for me. motivator and CRIC Chief “Prof S C Ghosh”. Siddarth Sharma & all other faculties and some wonderful intellectuals at LENOVO INDIA for keeping the faith in me. Thanks to some wonderful people who were with me in the form of Guide. Deepak Kumar. – THE WORLD’S LARGEST PC MANUFACTURER. motivators. I would like to thank to my friend. attitude. every other work questioned my abilities.

7. i. iii. 4. ACKNOWLEDGEMENT. SWOT Analysis. INDEX. ix. Awards and achievements. Recognitions. Culture at LENOVO. COMPANY PROFILE. iii. Strategic Analysis. Michael Porter‟s five forces Model. i. Future of Indian PC Industry. 6. vi. Critical Success Factors PEST Analysis Structural and Regulatory Reforms. Introduction History Major Players. vi. vii. ii. v. COVER PAGE. Objectives. v. iv. Background. xiii. DECLARATION FROM THE CANDIDATE. Financial Position.2009-2010. 2.INDEX 1. ii. TOWS Matrix. 3. vii. EXECUTIVE SUMMARY. xiv. Range of Products and Services. 8. viii. Mission. 5. OVERVIEW OF INDIAN PC INDUSTRY. xii. Performance Heighlights-2009-10. 5 . xi. CERTIFICATE FROM LENOVO INDIA PVT LTD. x. Vision. iv.

12. Questionnaire. iii. 20. RESEARCH DESIGN. Interview. iii. BIBLIOGRAPHY. 16. SAMPLE PLAN AND SAMPLE SIZE. CONCLUSION. 21. SOURCES OF INFORMATION. 18. i. Scoring. Probing. DATA COLLECTION METHODS. 6 . RESEARCH METHODS. DATA ANALYSIS. Observation. ii. 14. 17. 10.Mail. 13. iii. ii. Editing. Coding. 19. NEED FOR INFORMATION. OBJECTIVE OF THE PROJECT. E. 15. Recording the response. iv. Field work.9. RESEARCH INSTRUMENTS. i. 11. ANNEXURE. i. ALTERNATIVE SUGGESSTIONS FOR LENOVO INDIA PVT LTD. ii.

Though. This project gave us an exciting chance to aware ourselves with the overall knowledge of the existing PC Industry in India. we were assigned to work on ‘the feasibility of notebooks against desktops’. who provided us such a wonderful opportunity to work with such a reputed global brand. It was a mixed experience of sorrow and delight while we were scanning through every nuke and corners of several corporate. at the other. along with respective suggestions and recommendations have been encrypted in our analysis part. we also managed to get rid of those with the help of some wonderful people around us. Also. which might help us in our future endeavors. Finally. Siddharth Sharma. 7 . ACCMAN. who could share only a few of his valuable experience and guidance owing to his very busy schedule and honorable Ghosh Sir. Chief CRIC. in order to strengthen their business empire. B schools.EXECUTIVE SUMMARY We started our summer training at Gurgaon branch of LENOVO INDIA PVT LTD with an exuberance of exploiting the awaited opportunity to get the much needed corporate exposure on May 01. we were just pulled out of the doors. we managed to excavate some astonishing facts related to our objective which is hoped to be helpful to LENOVO. At one place where we received a warm welcome with a glass full of cold water in such a scorching Sun over our heads. proceeded with a great excitement towards the accomplishment of the same. After a couple of days of induction. we got a marvelous response along with a bunch of corporate contacts. We grabbed this task as a challenge to prove ourselves and hence. Mr. in whom we saw a glimpse of corporate excellence and a wide source of learning through his experiences. Yet. we extend our heartiest thanks to Mr. every other work challenged our skills and dedication. 2010. malls and even individuals. our project guide. when our survey came to an end. Piyush Khanna. All the findings.

currently holds more than 50 millions of computers i. HP. The PC industry in India has undergone a radical change during post millennium period (2000-2010). in 1995 to Rs. Millions of employment opportunities originate from this industry which contributes in increasing the per capita income of India from Rs. This experiences the intense competition with the global giants like IBM (which later became LENOVO in 2005). The phenomenal growth rate of this industry in India is helping to stabilize the economic balance with 27% contribution in the country‟s Gross Domestic Product. space research and satellites to missiles.a. ZENITH. the Indian PC industry was liberated from heavy government regulations (namely. etc along with some domestic brands like HCL.the country which had only 100 computers in 1970s. railways.38000 p.e. It has shown a remarkable growth in a very short span of one and a half decade after the economic liberalization took place in 1991.a. in 2010. intensive computerization is not only inevitable but imperative. One can hardly imagine the present growth rate of this industry. etc. media to politics and even to all kinds of criminal investigation departments. the firm growth of Indian PC industry has helped the policy makers to eradicate even poverty up to certain extent. Thus. HISTORY The PC Industry in India started on a high growth path in mid 1980s.14400 p. A vast investment in the field of research and development with the advancement of innovative technologies. Post economic liberalization era and open market trade policy has opened the Indian market for the global players. DELL. shipment. one out of every 20 Indians own a PC.OVERVIEW OF INDIAN PC INDUSTRY INTRODUCTION The PC Industry in India is a rapidly expanding industry. 8 . With the New Industrial Policy of 1984-85. aviation. The growth of computer industry in India has led to the growth of software industry. GOI has accepted the fact that in order to meet the expanding demands of India's more than 1 billion population. Indian PC industry has been able to serve the different aspects of the life which ranges from education to industries. the Monopolies and Restrictive Trade Practices Act) on import of foreign technology and was allowed to form collaborations with foreign firms. the hardware industry and the internet in India.

MAJOR PLAYERS 9 .

3 6 0.5 0.15 6 0.25 8 0.43 0.35 7 1.1 8 0. R ACER T.05 7 0. and business analysis.W.3 7 0.05 6 0. Critical Success Factors have been used significantly to present or identify a few key factors that organizations should focus on to be successful.4 6 1.43 6 0.45 5 0.1 3 0. Most smaller and more pragmatic businesses can still use CSF‟s but we need to take a different.15 9 1. more pragmatic approach.3 8 2.2 7 1.W.4 5 0.3 8 0.8 10 . The term was initially used in the world of data analysis.2 8 1.5 2.05 6 0.38 0.6 6 0.W.45 6 0.25 8 0.3 8.35 9 0.9 8 1.W.2 0.9 9 1. FACTORS WEIGH-TAGE COST EFFECTIVENESS CORPORATE CULTURE SERVICES RENDERED CUTTING EDGE TECHNOLOGY BRAND IDENTITY CUSTOMER SATISFACTION EMPLOYEE BASE AESTHETIC FEATURES MARKET SHARE 0.35 0. R HP T.35 8 1.5 0. LENOVO R T.5 2.1 0.4 0.4 6 0.8 5 1. R DELL T.5 7.8 0.35 0.05 9 1.W.CRITICAL SUCCESS FACTORS‟ ANALYSIS Critical Success Factors (CSF‟s) are the critical factors or activities required for ensuring the success your business. R HCL T.05 6 0.05 9 0.35 8.5 0.5 0.8 6 0.35 9 0.45 7 0.3 7.25 5 0.6 6 0.25 7 2.3 4 0.6 8 0.3 7 0.

 PEST helps to identify SWOT factors. and thereby market attractiveness. Environmental Protection Laws In contemporary world of personal computing. etc.g. particularly indicating growth or decline. social factors are more obviously relevant to consumer businesses or a B2B business close to the consumer-end of the supply chain. whereas this is not the case with SWOT. a. which interestingly can then provide some feed back into the economic aspects of the PEST analysis. e. and suitability of access market potential and 'fit' in other words. whereas SWOT is an assessment of a business or a proposition. Government Stability As we know that government instability leads to economical & political hazards like inflation. whether of your own or a competitor's. ii. and all businesses benefit from completing a SWOT analysis of their main competitors.  The four quadrants in PEST vary in significance depending on the type of business. Generally speaking a SWOT analysis measures a business unit or proposition or idea. from the standpoint of a particular proposition or a business. to protect the environment.  All businesses benefit from a SWOT analysis. hence government stability is a boon for the growth of any industry. business potential. 11 . including competitors.PEST ANALYSIS A PEST analysis most commonly measures a market.  PEST assesses a market. whereas a PEST analysis measures the market potential and situation. modern PCs are needed to be disposed according to the local-state and federal laws. Political Factors Influencing Indian PC Industry:- i. dumping share markets.

Indian PC industry also experienced the Inflation rate of 11. Inflation Rate While entire industry‟s growth rate declined during the global meltdown. iv. which ultimately led to the rapid downfall of PC prices thus enabling almost all the middle class people to afford computers. as a result of which major global player grabbed Indian PC market. iii. Economical Factors i. GDP Trends A country is known by the services it offers. b.iii. These special incentives fill exuberance among the employees and thus increase the CAGR/SAGR of the organization. Employment Generation Approximately 10 million people are working in this industry and it is expected to grow at the rate of 22% in the next decade. Pricing Strategy With the intervention of open market. Special Incentives Such types of perks are provided to the employees in order to motivate them towards their contribution and commitment. iv.89%. Attitude Towards Foreign Companies Indian government has already opened its doors for the foreign players in this industry. a revolution emerged. 12 . Indian PC Industry contributes 7% of the overall GDP growth of India. ii.

chemists. and majorly the internet accessibility to every door has made the consumers aware of the ifs & buts in all kinds of transactions. a revolutionary change is being experienced in every field of our life.e. be it education. Industry Spending on R & D Currently the Indian PC industry is spending approximately 7% of their overall revenue i. d. Aesthetic features. Technological Factors i. etc. Face recognition technology for convenient login. Cutting-edge Technologies Indian PC industry has introduced various innovative features like Green Computing. etc. ii. transportation. 13 . business. in this changing scenario. stationeries. or even small shopkeepers like groceries. iv.c. Socio-cultural Factors i. Consumer Activism Several laws like RTI (Right To Information Act 05). ii. and many more which has positioned it in the global market. so there is a wide scope for the growth of this industry in our country as compared to others‟. Changing Lifestyles As we know that „human wants are unlimited‟ so. computers have become the essential part of the lifestyle of the contemporary world and in these too. Noise control Technology. Career Expectations With the introduction of PC industry. except China. anywhere and anytime computing has brought a sea change in the trends of carrying a notebook instead of antiquated desktops. Growth Rate of Population Higher the population more is the demand for PCs and since we (INDIANS) stand at the second position in the world in terms of population. Consumer Protection Act. 945 cr in its Research and Development. iii.

As the socio-economic condition in India is developing. 14 . the PC industry in India is still in its infancy.  Indian Computer Emergency Response Team (CERT) has been designed. Patent Protection After the Copyright Act 1957 was implemented. this transfer rate (from lab to field) got reduced to only 3 to 4 months. Transfer Rate of Technology Earlier. it used to take more than one year for any new technology to come in the market after getting developed inside the laboratory. the PC Industry is bound to gain momentum because India is on the path of becoming the „knowledge hub of the world‟ in this century and this can not be possible without computers. But now. So.  To prevent video voyeurism. its growth and development has caught the attention of the world market so much that India is now being identified as the major powerhouse for incremental development of computers. The reason for this attention is not the actual size of the industry but its rapid growth rate during the 1990s. STRUCTURAL AND REGULATORY REFORMS Following regulatory reforms have come into picture as far as PC industry is concerned: Information Technology Act 2008(Amended). FUTURE OF INDIAN PC INDUSTRY Measured by the age of many industries. Indian PC market is bound to grow at a very stunning rate.  National cyber security.iii. Yet. iv. its growth rate in first decade of 2000 and the projected growth rate in the upcoming decades. with the intervention of the ready to use technologies and increased adaptability. Intellectual Property Right regime has covered the innovative world with patent protection.

1986 1987 1988 1989 1990 1992 1993 1994 1995 1996 15 . 1981 1984 IBM PCD introduces its first portable computer. IBM PCD announces the Personal System/2 personal computer. North Carolina. the industry‟s first notebook with a 10. Legend establishes 1+1 retail network. the IBM PC. launches the New Technology Developer Inc. (US$25. Legend introduces the first Legend brand laptop. Legend enters the Pentium era. IBM PCD introduces the industry‟s first notebook with integrated CD-ROM. weighing 12 pounds. producing China‟s first "586" PC. Florida. The Legend PC business division is formally established. IBM PCD announces the Personal System/2 personal computer. IBM PCD moves from Boca Raton. Legend‟s Chinese-character card receives the highest National Science-Technology Progress Award in China. Legend is listed on the Hong Kong Stock Exchange.000. Legend Hong Kong is established. (the predecessor of the Legend Group) funded by the Chinese Academy of Sciences. the IBM Portable PC. the ThinkPad 755CD. the PC Convertible. IBM PCD introduces the “butterfly” keyboard. The very first Legend PC is launched in the market. Legend successfully rolls out the Legend Chinese-character card. weighing 30 pounds. Legend introduces the first Legend-brand server. IBM PCD introduces ThinkPad. IBM PCD announces its first laptop computer.4 inch color Thin Film Transistor (TFT) display and a Track Point (red ball) pointing device. Legend pioneers the home PC concept and Legend 1 + 1 home PCs enter the Chinese marketplace. With an initial capital outlay of only RMB200. Legend changes its role from that of an agent for imported computer products into a producer and seller of its own branded computer products. Legend becomes the market share leader in China for the first time. to Raleigh.000) Lenovo‟s founding chairman Liu Chuanzhi.COMPANY PROFILE: LENOVO BACKGROUND YEARS EVENTS IBM PCD introduces its first personal computer. together with 10 like-minded colleagues. Legend PCs are ratified and accepted by the China Torch Program.

a small light that illuminates the keyboard in low light work environments. the most valuable deal ever made in China at the time. 16 1998 1999 2000 2001 2002 2003 . with standard ports and a keyboard that is 95 percent of full-size. IBM PCD introduces the industry‟s first notebook with an extended battery life of up to 11 hours. Legend becomes a constituent stock of the Hang Seng Index . Legend launches pioneering Internet PC. Intel Chairman Andy Grove attends the ceremony and takes the PC for Intel‟s museum collection. IBM PCD introduces the industry‟s first mini-notebook. the ThinkPad 770. IBM PCD introduces its Think Centre desktop PC line.HK. which enables millions of Chinese PC users to easily access the Internet. IBM PCD introduces its Active Protection System. An IBM notebook with an embedded security chip becomes the industry‟s first notebook to be certified by the trusted Computing Platform Alliance.. Ltd. which is separately listed on the Hong Kong Stock Exchange. Lenovo successfully develops Deep Comp 6800 in November 2003. Legend announces the birth of its new "Lenovo" logo to prepare for its expansion into the overseas market. Legend launches the first multi-function laser printer. “Legend World 2002. Lenovo launches a Tech Road Show 2003 nationwide to promote Lenovo's innovation. Lenovo initiates IGRS Working Group. Legend first introduces "digital home" concept and launches accessories-enabling PC. IBM PCD announces its exit from the retail business. the Deep Comp 1800 makes its debut. Based on the collaborative application technology. It ranks 14th on the global list. Legend introduces its visionary concept for the future of technological development and applications.1997 IBM PCD introduces the industry‟s first notebook equipped with a DVD-ROM. Legend signs an Intellectual Property agreement with Microsoft. Legend appoints Yuanqing Yang President and CEO.” which opens up Legend‟s “Technology Era”. to promote the formation of the industrial standard.000 GFLOP (floating point operations per second) and China‟s fastest computer for civilian use. It is China‟s first computer with 1. in cooperation with a few large companies and the Chinese Ministry of the Information Industry. Legend‟s supercomputer. Legend successfully spins off Digital China Co. under three pounds. Legend ranked in top 10 of world's best managed PC venders. an industry body setting data security standards. Legend becomes the top PC vendor in the Asia-Pacific region and heads the Chinese national Top 100 Electronic Enterprises ranking. The millionth Legend PC comes off the production line. IBM PCD introduces the industry‟s first PC with an embedded security chip. weighing. Legend establishes the first Legend Shop. Legend launches its first technological innovation convention. IBM PCD ships its 20-millionth ThinkPad notebook PC. IBM PCD introduces its Think Centre desktop PC line. IBM PCD announces desktop PC outsourcing pact with Sanmina-SCI. ranked 43rd in the Top 500 list of the world‟s fastest computers. its Collaborating Applications project. the industry‟s first notebook with an airbag for hard Drive and data protection in case the system is dropped. with its "one-touch-to-the-net" feature. as well as its strategies for implementing Collaborating Applications. IBM PCD ships its 10-millionth ThinkPad notebook PC. such as onboard an airplane. IBM PCD introduces the industry‟s first Think Light. IBM PCD introduces Image Ultra and Rapid Restore. the first automatic data recovery technologies of their kind.

The first Lenovo-branded products outside of China debut worldwide. Lenovo becomes the world's largest provider of biometric-enabled PCs by selling its onemillionth PC with an integrated fingerprint reader. It is the first Chinese company to become a computer technology equipment partner of the IOC. improving productivity and extending battery life for up to 11 hours. Lenovo announces the closing of a US$350 million strategic investment by three leading private equity firms: Texas Pacific Group. lightest and most secure Tablet PC. 2006 2007 2008 2009 VISION OF LENOVO At Lenovo. Italy. the ThinkPad Z60. supplying 5. 350 servers and 1. General Atlantic LLC and Newbridge Capital LLC. which features new desktop and notebook models specifically designed to provide worry-free computing to the small business market segment.000 desktop PCs. how they work. no larger than a box of corn flakes. Lenovo technology flawlessly supports the 2006 Olympic Winter Games in Torino. Lenovo decides to develop the rural market by launching the "Yuanmeng" PC series designed for township home users. Lenovo introduces the first dual-core ThinkPad notebook PCs. business practices and their role in protecting the environment … and respected by their people for the career and financial opportunities they will find. Lenovo and IBM announce an agreement by which Lenovo will acquire IBM‟s Personal Computing division. The acquisition forms a top-tier (third-largest) global PC leader. scientists and product design teams from around the world combine Lenovo's heritage in enterprise and consumer PC technology to design the Lenovo 3000 product line.2004 IBM PCD introduces the Think Centre ultra small desktop PC. 2005 Lenovo completes the acquisition of IBM's Personal Computing Division. 17 . Researchers. and how they interact with their customers. Lenovo introduces the industry's thinnest. William J. the ThinkPad X41 Tablet. Amelia is appointed as CEO and President of Lenovo. suppliers and colleagues.000 notebook computers. IBM PCD introduces the first notebook with an integrated fingerprint reader. their vision is to be a company respected for the remarkable contributions they will make to society through the advancement of technology. as well as the personal satisfaction for helping bring about these remarkable achievements. IBM PCD ships its 100-millionth PC (counting both desktop and notebook computers). its global PC (desktop and notebook computer) business. This vision guides how they think. making it a new international IT competitor and the third-largest personal computer company in the world. Lenovo becomes an Olympic worldwide partner. Lenovo introduces the first widescreen ThinkPad with embedded wireless WAN. Lenovo also hosts seven Internet lounges for use by Olympic athletes and visitors. available for the first time with a titanium cover.

18 . It‟s the values they share and the business practices they deploy. respect and value our differences. honesty and personal responsibility in all relationships. o To maximize the rate of return through efficient operations and introduction of innovative environment friendly Desktops and Laptops and services in PC sector. o To mobilize various types of resources viz.MISSION OF LENOVO To become the new leader in the world of computers LENOVO = LE + NOVO LE means Leader. NOVO means new. CULTURE @ LENOVO Their culture defines them … it‟s their DNA. OBJECTIVES OF LENOVO o To provide the computing solutions with an ease at affordable price. And they seek to work collaboratively. So. They strive for trust. LENOVO is the new leader. and enjoy the opportunity to work across cultures. o To work as a catalyst to bring about institutional improvement in streaming the functions of PC business. o To strive for up gradation of skill in PC sector for efficient and effective growth of the company. They pursue innovation and deliver the products and services that matter to their customers with speed and efficiency. They are dedicated to the satisfaction and success of every customer. domestic and international. Their culture is what has enabled them to consistently raise the bar on delivering break-through innovations and award-winning designs.

North Carolina. AWARDS AND ACHIEVEMENTS WON BY LENOVO  „Best of the best for highest design quality Award‟ from the prestigious German Design Institute on Nov. operational efficiency and customer satisfaction. 2005. China.Lenovo is dedicated to building the world's most innovative personal computers. relationships that are respectful. 30.  International Business Week Design Award 2008.New world. Japan. Lenovo is a global company with a local presence.a leading PC magazine ranked the Lenovo Desktop as- 19 . they will pursue innovative. and meaningful work. Shanghai and Shenzhen. No matter how large they grow. Their business model is built on innovation. 2005. creative people. They are creating a culture where people achieve their highest potential and deliver extraordinary results. 30.  PC WORLD. Lenovo: . new thinking. leaders who inspire. Beijing. and Raleigh.  „High Design Quality Award‟ for 1800 adjustable display from prestigious German Design Institute on Nov. with a focus on investment in emerging markets. With major research centers in Yamato.

. most of which was taken in the fourth fiscal quarter (ending March 31. Internet Explorer 8 and SATA Drivers. Lenovo XP 7 STYLE 2010 has more power because it has been updated completely with the latest updates and security hot fixes till November 2009 addition to the last version of DirectX. Lenovo XP 7 STYLE 2010 SATA is fully compatible to work with any PC.Laptop or Desktop. When playing.). you will feel that you already work in Windows 7. Drivers. it based on original copy of XP SP3 (Activated) include Windows Media Player 11. The system has full components. 2009).  The Global crisis forces Lenovo to cut 11% of its workforce.PERFORMANCE HIGHLIGHTS: 2009-10  The company expects to realize savings of approximately $300 million in the 2009/2010 fiscal year (ending March 31. Languages . Windows Lenovo XP 7 STYLE 2010 (with SATA Support) [RE PACKED] | 651 MB 20 .  The company had a pre-tax restructuring charge of approximately $150 million. This makes it become very stable.  The system has been modified in a professional manner combined the high performance and the wonderful appearance more beautiful from Window 7. viruses.. the games will be speedy. fast and safe when the normal work or browsing of the internet will be faster and safe from hacker attacks. etc. everything is staying (Services. etc. stable and with high graphics.  Lenovo XP 7 STYLE 2010 SATA is the most beautiful and modern Windows XP like exactly Windows 7. 2010).

 Fortune-500 enlisted company.  WUXGA certification for better resolution.  NVIDIA Quadro FX MXM Certification for graphic solution.  Many Think station models are „Energy Star 5.  NYSE (New York Stock Exchange) enlisted company.RECOGNITIONS: EPEAT Gold Standards for Think Pads (Responsible for environment-friendly product).  EPEAT Silver Rated for Think Centre Models.0‟ certified.  Green-guard certified (Air Quality Certification). MAJOR PRODUCTS OF LENOVO:- 21 .

22 .

23 .

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CURRENT MANAGEMENT TEAM:- 25 .

CLIENTS OF LENOVO:- MICHAEL PORTER‟S FIVE FORCES MODEL:- 26 .

Windows mobile. Conferencing machine. Sound Systems. Telephone.Threat of New Entrants Wipro. Samsung. Suppliers Intel (Micro-processor) Microsoft (OS) Buyers Big Corporates Government Offices Educational Institutes BPOs Individual Customers Competitive Rivalries HCL HP Compaq Dell Acer Toshiba Zenith Sahara LG Video recording. Camera. Hand written Communication. 27 . Chirag. Threat of Substitute Products Verbal communication. Type writer.

5. 3. 9. S5. S4. 4. W3. S1. 5. W-O Strategies Joint Venture with EMC to offer storage services. Opportunities 1. T2) 2. Weaknesses Lacks the product line and service breadth of Hewlett Packard and Dell The direct sales approach is not the preferred distribution channel in Europe No in-house repair service capabilities No in direct service. S4. 7. 3. 8. S7. O6. 6. 3. 4. 7. O6. S3. S-T Strategies Produce low price standardized PC. Threats 1. 3. S-O Strategies Conduct aggressive domestic / international advertising campaign. HP) Rapid technological advancement A long-term slow down in global sales of PC‟s and servers Corporate customers relying more and more heavily on the systems and service capabilities that IBM and HP provide 1. 4. T2. W-T Strategies Conduct aggressive European ad campaign to promote Dell Direct Selling (W2. 2. hence lacks customer contact 2. (W1. S2. S3. O7) 1. T6) 1. 28 . O5. 6. Global economic recession Aggressive pricing wars Continuously changing consumer demands. T3. (S1. O3. 6. Growing market share Direct sales approach Build to Order approach Long term partnerships with reputable suppliers of name-brand parts and components Reputation/image of IBM Lenovo Exchange JIT. O1. (T2. know-how and capabilities Contracts with local service providers to handle customer requests for repairs Environmental policy 1. S2. Customers value convenience and one stop shopping Customers know what they want and need to purchase Marketing on the Internet Need for replacement equipment from World Trade Center Attack US PC households with Internet access will increase 25% by 2002 Some rivals weak in PCs in all the world‟s major markets Servers market can be tapped 1. O2. 4. S7) Reduce workforce by 1700 employees to cut costs (T1. 2. 5. 7. Strong brand name of competitors (IBM.Strengths 1. O4. S2.TOWS MATRIX ANALYSIS. O7) Open two Dell outlet stores in Europe (W2. 2. S5. O1. O6) 2.

On the international scale.SWOT ANALYSIS In order to get a better sense for Lenovo‟s outlook in terms of the corporate market and the impending loss of the IBM branding. however. executives maintained from IBM‟s notebook division provide the valuable experience that a relatively new foreign player normally would not have in the corporate (especially US) market. The strength here lies in the capability for creativity in producing a high-end product with all the bells and whistles necessary for a corporate executive. due to its clearly superior reputation for high quality. opportunities and threats in terms of the problem. Lenovo shows promise – its product lines covers mid to high end products. with a 29% share of China‟s PC market. now supporting Linux products. in addition to its high-end ThinkPad. because of existing reputation and connections formed by transferred IBM staff. As a “one-stop shop” company. Lenovo already has a strong base in China. weaknesses. in-house manufacturing specialization allows for lower marginal costs – this leads to a more competitive position for a price war. There is limited competition for existing IBM/Lenovo corporate customers. It shows tremendous capability for improvement. These key parameters are summarized here. The historic brand image and continuing innovation in the high-end market makes products like the ThinkPad X300 a “must-have” for a CEO to show off and use. it is helpful to analyze the company‟s strengths. Strengths Lenovo‟s major strengths lie in its current brand image and market share. Lenovo provides a highly versatile notebook product line. In addition. 29 . In addition. Lenovo ranks third in corporate sales behind Hewlett-Packard and Dell. high end products inherited from IBM.

and highquality. Threats In general. the weakness of the US economy and the dropping value of the dollar might pose a threat to Lenovo‟s growth. Lenovo has the opportunity to become an „on stop powerhouse‟ in the corporate market. a developed electronics department allows Lenovo the opportunity for creating synergies between corporate add-ons like cell phones and Pocket PCs. middle-spectrum computers for lower level employees on the corporate ladder.Weaknesses Since Lenovo is a new player in the international stage it has plenty of weaknesses in its outlook. In general. A customer in the states is likely to mistrust the Lenovo brand in favor of the more well known and trustworthy. its team has less market knowledge than local experienced players in the US market like HP and Dell. is in the stigma associated with Chinese products and companies with a reputation for skimping on quality to achieve low costs. 30 . providing high-end executive computers with the IBM ThinkPad line. American IBM logo. however. Lenovo‟s major weakness. but Apple is showing a growing strength in the corporate market that must be addressed as Lenovo seeks to become the dominant international corporate player. In addition. Opportunities With low marginal costs and a wide product spectrum. Rivalry between Lenovo and other companies in the corporate market like HP and Dell already pose a significant challenge. It is this weakness that Lenovo must overcome in the next year as the IBM branding has disappeared from its products. but the system is not optimized. Lenovo has just begun to develop its service team in the US – it still manages to provide top of the line customer service.

” 31 . HP‟s strategies in recent years have included the acquisition of struggling computer giant Compaq. and costs. Dell has attempted to capture the minds of IT professionals at corporations by providing services for data management. even though it seems to have been slow to react to demand. their costs are higher on average than their competitors for production of similar quality products. however. Dell had a $60 billion global business with a customer base and an installed base of more than 200 million units. distribution speed. These features are ideal for marketing low and middle spectrum computers to companies. Customers have no physical sense for the product they‟re buying. Its dominance in the printer market and general knowledge of marketing and sales in the IT market should give it an advantage in developing complements. HP‟s major strengths in the notebook market lie in its overall size and power as a company. with close to $10 billion in cash and about $1 billion a quarter in cash flow Dell is a world-renowned brand and is currently the number one choice of enterprises around the world. In recent years. They have attempted to maintain and expand their market power by expanding into new markets (especially newly growing Asian markets) lobbying and working with other multinational corporations. Dell‟s weaknesses. Dell‟s major strengths lie in its direct order business model and in its current power in the market.STRATEGIC ANALYSIS: a) COMPETITOR‟S STRATEGIES:Dell Inc. a strategy that has resulted in Dell‟s success. claiming in one of their pressreleases to be “supporting free market economies. however. HP has been noted as weak in marketing. Hewlett-Packard Co. utilitarian look of new Dell products. Compared to other companies. making HP the largest consumer hardware company in the world. HP attempts to provide the latest technology available by keeping inventory low and making large orders as they come – as a result. and governments to enhance their competitiveness both in the US and abroad. In 2007. also lie in this direct order business model. It is this aspect that makes Dell‟ attempt at “high-end” computers susceptible to the ThinkPad brand – Dell‟s computers lack both the reputation and quality (number of features and reliability) that IBM‟s ThinkPad came to epitomize. NGOs. resulting in dissatisfaction with the often clunky. brand images.

Apple has been intelligent about providing solid technical support on which Lenovo‟s current system is modeled. With a reasonably high-quality. b) RESPONSES AND COMPETITION FOR LENOVO:Product Differentiation: Wider Quality Spectrum Lenovo has the opportunity to provide a broad spectrum of services to the corporate market. low cost series of computers in the Lenovo 3000 line. 32 . HP and Dell may prevent Apple from taking a significant bite out of the current market. people who don‟t need to use the top of the line ThinkPad.Recently. and ease of use. The Apple system is still not optimized for use with the Windows operating system and is thus not as easily used with the majority of applications published today. filled with flashy multimedia applications that slow down the computer and are unnecessary for an executive‟s business computer. Apple is an established and healthy IT brand in the international market today. Lenovo has the potential to become a “one-stop shop” in the corporate market. Apple Computer Inc. with a loyal set of enthusiastic customers who advocate their brand strongly. Apple‟s strengths in the consumer market have begun to seep into the corporate world. HP‟s most successful strategy in recent years has involved the interfacing of HP notebooks and computers with HP server systems through use of heavily marketed efficiency software that also is advertised to provide convenient tools for financial management and leadership. Apple makes use of their favorable brand perception for style. Apple has yet to penetrate the corporate market significantly. HP has also invested heavily in stylish ergonomics. Current barriers to entry put up by Lenovo. In doing so. safety. HP announced plans to expand its operations to cover retail and manufacturing in over six-hundred Chinese Cities. Apple‟s weaknesses in the corporate market lie in a reputation as a consumer product. but also mid-spectrum machines for non-executives. Lenovo can attack the same niche in the corporate market that allows Dell more than 50% of the market share: providing not only high-end notebooks and computers for executives. following Apple‟s cue. Most importantly. and counterproductive for lower level staff.

Complements to Compete with Apple and HP. rather than individual consumers this should be to our benefit. Since Lenovo‟ target is the corporate. we must hope that Lenovo‟s complement is more attractive or cheaper to executives than competing products – otherwise. It is likely. for instance. Lenovo needs to continue to focus on providing the most features in their high-end machines. on which Lenovo would likely be riding. is intentionally priced at $100 less than the similarly lightweight. Lenovo should also attempt to use their significant base as an electronics manufacturer and retailer to develop complements to their products that appeal to executives. It is this advantage in marginal costs and the existence of Lenovo‟s lower end 3000 line computers that makes this attack a wise choice. In both these instances.At the same time. but more feature-intensive ThinkPad X300. Apple‟s response to Lenovo‟s top-end products seems to have been to provide a lower cost product on purpose (undercutting) but only by skimping on quality. A worst case scenario in response to this suggested attack of the midspectrum market results in a price war for this market. HP demonstrated that the software interfacing they introduced for their server systems increased productivity and popularity of their product in the corporate market. however. cooperation to optimize interfacing makes both products more desirable for customers. might result in both continued positive brand identification for Lenovo. in the corporate market. An executive purchasing a computer is less likely to worry about a hundred dollar difference in prices than about the number of features a computer provides. Lenovo can hope to “win” the price war and hurt its competitors in the process. 33 . HP and Apple have begun to demonstrate success in the marketing of complements in server interfacing technology and efficiency equipment. and an increase in popularity for both products – IBM already has a significant brand name for its server technology. ensuring that they maintain the reputation that the high-end ThinkPad series has built. however. This same model. both companies would stand to gain: while it is not in IBM‟s interest to make their servers solely compatible with Lenovo products. The Mac book Air. modeling efforts after the ease with which Apple‟s i-Phone interfaces with Apple computers. such attempts are likely to fail to a similar extent that HP and Dell attempts at products like PDAs have failed. While it is a much vaguer suggestion. respectively. if applied to IBM-Lenovo cooperation. This is difficult to avoid – by minimizing marginal costs. Lenovo‟s in-house manufacturing expertise will serve to give them the upper hand against a company like Dell in providing to the less-than-high-end corporate need. that if Lenovo were to partner with IBM to produce a complement with IBM server technology.

c) CURRENTLY SUCCESSFUL STRATEGIES:-

Marketing
There are two main focuses for marketing to the corporate market, both seeking to address the major concerns of corporations in computer purchases: functionality and need for service. These are addressed through the relationship model and transaction model for marketing. The relationship model involves retaining customers with continuous innovative products and satisfying customer service – by maintaining a solid customer base and providing them with consistent quality and support, Lenovo will build a reputation that will earn it more customers. IBM consistently did this in the past, so Lenovo‟s first concern is maintaining the same standard of quality, innovation and service that IBM provided. The transaction model involves making new business deals by spreading to new potential markets. In this sense, Lenovo uses China as its base for expansion, capitalizing on the low cost of manufacturing as well as the fast-growing market which allows the company to create enough revenue to support development in markets around the world. While companies such as Dell and Hewlett-Packard are trying to penetrate the Chinese market, Lenovo is trying to break into the international market out of an established base in the wide Chinese market.

Management
Lenovo‟s major move to provide proper organized and experienced, involved hiring a large number of IBM‟s former notebook executives in order to transfer the culture and structure of IBM in their company. Chairman Liu Chuanzhi is known for having a thorough approach to decision making. His management team studies other leading firms and reads foreign management journals. There is a strong commitment to learning and copying successful techniques within the company that should lead to a versatile company in future climates.

IBM Branding
Lenovo has made full use of the IBM name, barely associating itself with the IBM product until very recently. This may have set them up for failure once their rights to the IBM title expire at the end of this year and they lose their brand recognition, but while it was used, the IBM name helped Lenovo maintain its solid base with customers in the corporate market. Recently, Lenovo has emphasized the brands “ThinkPad” and “Idea Pad”, establishing these as the definition in high-end products, separating them from the IBM name as much as possible. Once Lenovo can no longer brand their product with the IBM name, they may depend instead on recognition of the ThinkPad and Idea Pad.
34

Customer Awareness
Lenovo makes an effort to make sure that the Lenovo brand is well known and trusted as it continues to grow and produce computers in the international market on their own name. Co-branding, where two companies work together to create marketing synergy, can be used to great effect here – Lenovo‟s sponsorship of the Winter Olympics in Turin and the Summer Olympics in Beijing have served to continue to establish the Lenovo name as one that is trusted in general, just as the IBM name was.

FINANCIAL POSITION (2009-2010):EPS-EBIT Analysis
Amount Needed: $1,000 Stock Price $23 EBIT Range $2000 to $3000 Tax Rate 485/1731 = 28%

Interest Rate 5%
Shares Outstanding 2,600 Common Stock Financing High Low
EBIT ($1,789 in 2001) Interest (5%) EBT Taxes 28% EAT Shares Outstanding EPS $3000 0 3000 840 2160 2643 .817 $2000 0 2000 560 1440 2643 .545

Debt Financing High Low
$3000 50 2950 826 2124 2600 .816 $2000 50 1950 546 1404 2600 .540

LENOVO Computers Valuation Ratios
P/E Ratio (TTM) P/E High - Last 5 Yrs P/E Low - Last 5 Yrs Beta 49.65 105.71 21.29 2.04

Industry

Sector

S and P 500

29.93 44.40 17.78 1.60

37.84 66.10 19.59 1.76

25.25 49.79 17.38 1.00

35

Price to Sales (TTM) Price to Book (MRQ) Price to Tangible Book (MRQ) Price to Cash Flow (TTM) Price to Free Cash Flow (TTM) % Owned Institutions

1.95 13.08 13.07 41.59 49.65 105.71

1.40 6.12 6.36 18.93 29.93 44.40

4.05 3.92 4.98 25.27 37.84 66.10

2.67 4.19 6.59 17.38 25.25 49.79

Dividends
Dividend Yield Dividend Yield - 5 Yr Avg Dividend 5 Yr Growth Rate Payout Ratio (TTM) 0.00 0.00 NM 0.00 1.30 0.42 6.77 18.90 1.03 0.24 6.24 9.42 2.28 1.36 7.92 29.67

Growth Rates %
Sales (MRQ) vs Qtr 1 Yr Ago Sales (TTM) vs TTM 1 Yr Ago Sales - 5 Yr Growth Rate EPS (MRQ) vs Qtr 1 Yr Ago EPS (TTM) vs TTM 1 Yr Ago EPS - 5 Yr Growth Rate Capital Spending - 5 Yr Growth Rate -8.97 -12.17 3.32 577.78 -60.15 -23.41 -7.05 -6.99 -10.05 10.78 -50.05 -39.87 8.18 -0.70 -2.04 -4.63 20.73 -2.90 -23.06 9.94 13.35 0.81 1.66 11.89 10.50 0.51 8.46 9.96

36

20 30.25 35.12 1.12 0.5 Yr Avg.98 6.65 16.68 1.62 17.Financial Strength Quick Ratio (MRQ) Current Ratio (MRQ) LT Debt to Equity (MRQ) Total Debt to Equity (MRQ) Interest Coverage (TTM) 0.54 11.90 48.89 19.62 11.65 13.18 4.06 0.5 Yr Avg Operating Margin (TTM) Operating Margin 5 Yr Avg Pre-Tax Margin (TTM) Pre-Tax Margin .95 34.99 5.56 3.03 1.06 5.88 15.04 9.04 9.02 21.84 17.05 9. EBITD Margin (TTM) EBITD .02 10.35 11.26 1.19 18.72 9.20 33.76 30.62 6.28 7.64 36.06 46.91 0.65 27.01 28.97 30.29 10.17 20.5 Yr Avg Net Profit Margin (TTM) Net Profit Margin 5 Yr Avg Effective Tax Rate (TTM) Effective Tax Rate 5 Yr Avg 17.19 2.45 0.17 29.81 48.01 31.13 7.95 9.69 37 .52 9.85 1.12 NM 1.47 20.64 5.37 2.52 51.65 0.28 21.11 14.74 8.11 6.36 Profitability Ratios % Gross Margin (TTM) Gross Margin .46 9.26 0.39 0.

OBJECTIVE OF THE PROJECT To study the feasibility of Notebooks against Desktops RESEARCH LAYOUT Information Source Information Need Behavioral Model Other Requirements Data Collection Questionnaire Design Evaluation Completion Correction Designing Analysis Project Flow Diagram 38 .

“informal” research that is undertaken to gain background information about the general nature of the research problem. Sample surveys are cross-sectional studies whose samples are drawn in such a way as to be representative of a specific population. 39 . causal research design measures cause and effect between two or more products or things. brand-switching. Longitudinal data used for market-tracking. what. etc. Longitudinal Studies.It repeatedly draws sample units of a population over time. TYPES OF RESEARCH DESIGN Three categories of research design Exploratory  Descriptive  Causal Exploratory Research Design Exploratory research is most commonly unstructured. Descriptive Research Design Descriptive research is undertaken to provide answers to the questions of who.It measures units from a sample of the population at only one point in time. basically. attitude and image checking. Two basic classifications of this research are Cross-Sectional Studies. if x then y. when and how. where. Causal Research Design Causal is thought of as understanding a phenomenon in terms of conditional statements of the form.RESEARCH DESIGN The research design is the master plan specifying the methods and procedures for collecting and analyzing the needed information. This research conducted when the researcher does not know much about the problem and needs additional information or desires new or more recent information. but not why.

and the sample design.com. we use three techniquesQuantitative research DesignsA quantitative research study consists of a research design. online surveys and mail surveys.  Mechanical methods.  Experimentation methods. letters from customers. www. Forbes.com. External secondary data consists of any data collected by an outside organization.‟‟ Survey methods means a researcher wishes to ask consumers about their purchase preferences and consumption experiences. the data collection methods and instruments to be used.DATA COLLECTION METHOD In the survey we have used following data collection methods – Secondary data AnalysisSecondary data are those that have been collected for some other purpose.lenovo.acnielson. In research project we have used „‟Surveys Methods. LTD. An excellent way to access selected parts of these data is through websites. www. Four basic designs are used in quantitative research. journals and magazines etc. internet. magazines. Secondary data includes both internal and external data. GURGAON and Several service centers of LENOVO.  Observation methods. The researcher takes personal interviews. Harvard Business Review. Internal secondary data consists of such information as data generated in-house as well as analysis of customer files. such as past customer transactions. and  Surveys Methods.com. telephone surveys. as from our library. In research we have collected internal data from LENOVO INDIA PVT. sells call reports. 40 . Primary data AnalysisPrimary data refers to information gathered by the researcher specifically for the research project at hand. and blogs. We collected these kinds of data from www. viz. etc. In primary data analysis.wikipedia.

corporate.In research we have used these surveys Personal interview surveys. students. etc. and  Customers‟ personal opinions about notebooks/desktops. Retail shops.  Personal interviews and  E-mails. we have used the following customer satisfaction methods through questionnaire How much customers are satisfied with quality of Lenovo‟s products?  What change is required in the Notebooks and Desktops?  What are the preferable choices of customers? 41 . Projective techniques and Metaphor analysis. We have used prominently questionnaire instrument in quantitative methods. In this research.  Telephone surveys  Online surveys conducted by sending questionnaire to different respondents. Qualitative research Designs The key data collection techniques for qualitative data collection methods are    Depth interviews. Malls. Focus groups discussion guides. Customer satisfaction measurement Customer satisfaction surveys measure how satisfied the customers are with relevant attributes of the product or service and the relative importance of these attributes. Quantitative data collection instruments include Questionnaires. we have used the following methods Structured interview (direct to customer).Colleges. In our survey.

must be reached so that we can analyze the behavioral pattern of the consumer in a better way. SOURCES OF INFORMATION In order to receive the required information.Desktop or Notebook? Why do they prefer this? Satisfaction level with their computer. Post purchase behavior (Dissonance. we had to collect the information from various sources at various places and we had to make sure that every segment of the computer users. So. so we have given more attention on these educational institutes. While on one hand B-Schools prefer Notebooks as a means of education. if any). As we all know that educational institutes are more valuable (customers) as far as Notebooks are concerned because they need it every year in bulk. 3. Brand priority in customers‟ point of view. B. We were interested to know the following things        What do they prefer. 42 . To know the consumers‟ desire.Schools in Delhi-NCR. or even individual customers. we extracted the data from the following sources1. Malls in Delhi NCR. 4. we had to know about their budget and conduct their respective demographic segmentation. basically B-Schools. our next target was to conduct our surveys in these BPOs. 2. on the other BPOs concentrate on Desktops to carry out their business. BPOs at Gurgaon. or malls. What else do they look for? Their budget. be it the educational institutes or the corporate.  Market share of LENOVO. and From students.NEED FOR INFORMATION To know about the feasibility of the Notebooks against Desktops. Potential customers.

3. ITS. we approached the college students as well. Ltd. New Delhi. NDIM. Centner Institute of Management and Communication. Greater Noida. Noida. New Delhi. 12.To know the exact and relevant data we conducted our research at various places. 8. Udyog Vihar III.Ansal Plaza. Sparsh India Ltd. 7. etc. Agilis International. so our project sample size is 100 and we analyzed all things on the basis of those 100 responses. Gurgaon. 5. Genpact.. 9. 4. Ghaziabad. Sample distribution was as under:     Educational Institutions Individual users BPOs Malls = 30 samples = 30 samples = 30 samples = 10 samples 43 . Saubhagya Media Pvt. Gurgaon. We also decided to choose our respondents from different colleges of different areas. Reckitt Benckiser. BPOs and malls (as they are bulk purchasers) and finally. 10. 11. Sector 18. We had taken the response of at least 100 respondents. in order to know the individual customers‟ response. SAMPLE PLAN AND SAMPLE SIZE For our project. 2. Noida. 6. Rajouri Garden.TDI Mall. Tughlakhabad.GIP. New Delhi. Jamiya Miliya Islamiya Univesity. we decided to prepare a questionnaire which will cover all important parts of the survey to know the feasibility of the Notebooks against the Desktops. few of them are enlisted below1.

one of us was made responsible for interrogating the respondents while at the same time the other one used to pen down those responses. are conducting a survey to understand the current market trends in the field of Personal Computing as a part of our Business Research.RESEARCH METHODS Field work We visited across the Delhi – NCR in various colleges. we were warmly welcomed. Kindly extent your cooperation by filling up this questionnaire and enable us to conduct the research successfully. It was a very great experience to visit all those places. Recording the response As we were working as a team of two members. RESEARCH INSTRUMENT QUESTIONNAIRE Dear Sir/Ma‟am. malls. 44 . Probing Probing the respondents was a great experience. The purpose of this activity is to know your desire better in order to serve you better. corporate etc. though we met 100s of respondents but to meet and to probe the Lab-in-charge of ITS. but at some other places we were treated very rudely. Greater Noida was really a very good experience as she was responding very gently. We the management trainee at LENOVO INDIA PVT LTD. At some of those places.

2 to 21) is for Notebook users.Guidelines  Question no.A (Question no. You own  Notebook  Desktop  Both  None FOR NOTEBOOK USERS:- 2 Which brand do you own?  Lenovo  HP  Dell  HCL  Acer  Zenith  Compaq  Any other (Please specify)____________________________ 3 Which model do you possess? 45 . 22 to 34) is for Desktop users.  All questions are of multiple choices.  Section.  Questionnaire has been divided into two sections (Section-A and Section-B). in nature. Note  Any information provided by you is assured to be kept fully confidential. 1.  Section -B (Question no. 1 is compulsory.

 40-60 KMS.  Ruggedness & Reliability.  Thermal Efficiency.  Weight & Ergonomics. 5 Since how many years have you been using your particular brand?  <5 years.  Any Other (please specify)___________________________ 7 How much distance (both ways) you use to cover with your Notebook in a day?  <20 KMS.  Portability.  Ease of use and maintain.  5 – 10 years.  Wireless Connectivity.  Compactness.  20-40 KMS.  Green Computing. 46 .  51-150.  Price/Price-performance ratio.  >80 KMS.  Battery Backup.  > 350. 6 Specify the reasons of owning a Notebook against a Desktop.  251-350.  Noise control Technology.  Aesthetic features.  60-80 KMS.  > 10 years.4 How many Notebooks you possess? (approx.  151-250.  Security.) [ Only for Enterprise Customers]  <50.

________________________________ III. ________________________________ II.  Outdoor Visibility.  Switch problem.  Advanced Security systems.  Wide-screen Display.  Any other.  Fashionable Carrying Cases.  Driver problem. which type of problem(s) you face the most?  Connectivity problem.  Pen-proximity detection Technology. please specify___________________________________ 11 What are the features that you feel of no use for you in your Notebook? I.  Any other.  Whole day battery life (10-12 hrs). please specify_______________________________ 10 What features would you like to add in your Notebook?  Light -weight System.  Lowest-in-class Reflectivity.  Attractive aesthetics.  Web-cam.8 How much comfort do you feel while carrying your Notebook? 9 Is your organization facilitated with WLAN/LAN/INTERNET?  Yes  No If yes. ________________________________ 47 .  Ultra-thin model.  State of the art communications and multimedia Technologies.

If yes.  Any other.  >2 years. please specify___________________________________ 15 What is the average time period of service assistance you require for your Notebook?  <6 months.12 Do you face any kind of health related problem(s) with your Notebook?  Yes.  Stress.  Any other.  6-12 months.  Enjoying on call facility.  1-2 years.  Backache. please specify___________________________________ 13 How many hours do you work on your notebook in a day?  <3 hrs  3-6 hrs  6-9 hrs  >9 hrs 14 Which mode of maintenance you opt for your desktop?  AMC (Annual Maintenance Contract). 16 How much are you satisfied by the services provided at our service centers? Satisfied ____ ____ ____ ____ ____ Unsatisfied.  No. (Please tick mark at the appropriate place of your choice) 48 . which problem affects you the most?  Vision problem.  By self.

PC Tracker. Any other. please specify_____________________________. Pre-boot Authentication. Face recognition technology for convenient login. Disable/enable capability of USB Ports. Connectivity switch. Active Protection System. Trusted Platform Module (Data Encryption). Chassis Intrusion Switch. Fingerprint Reader.17 What are the security features in your Notebook?            One key rescue system for easy data recovery and back up. 18 What is the overall satisfaction level with your Notebook? High 1 Low 7 2 3 4 5 6 (Please tick mark at the appropriate place of your choice) 19 Your expectation(s) from the notebook? 49 .

 1800 Flexibility.  Ultra-light weight (2-2.20 Please tick your choice of preference on the basis of aesthetics (looks)? 21 Which feature(s) attracts you the most among the following: Ultra-thin (19mm X 337mm X 241mm).  Any other.5 pounds).  Choice of Color. please specify_____________________________________ 50 .

 > 350.  Compaq.  Fast processing speed.  Performance.  5 – 10 years.  Reliability.FOR DESKTOP USERS:- 22 Which brand you own?  Lenovo.  Samsung.  Any Other (please specify)_________________________________ 51 . 26 Specify the reasons of owning a Notebook against a Desktop?  Price.  HCL.  51-150.  Ease of use.  Durability.  Any other (Please specify)_______________________________ 23 Which model do you use? 24 How many Desktops you possess? (Approx) [Only for Enterprise Customers]  <50.  Acer.  LG.  > 10 years.  251-350.  Security. 25 Since how many years have you been using your particular brand?  <5 years.  Maintainability.  Easy to upgrade.  151-250.

 Difficult to maintain.  Any other.  Maintainable. ________________________________ III.  Fast processing speed.  By self.  6-12 months.  Expandable hard disk.  Enjoying on call facility.  Multi-processor capability. ________________________________ II.  Very difficult to maintain. 30 What specific facility in your desktop compels you to preferably work on it?  Wide screen. please specify________________________________ 31 What are the securities features in your Desktop? I.  Separate mouse. please specify_______________________________ 29 What is the average time period of service assistance you require for your desktop?  Less than 6 months.  Any other.  Easily maintainable.  Expandable RAM.  1-2 years. 28 Which mode of maintenance you opt for your desktop?  AMC (Annual Maintenance Contract).  More than 2 years.  Ease with typing. ________________________________ 52 .27 What is the „level of ease‟ in maintaining your desktop?  Very easily maintainable.

32 What is the overall satisfaction level with your Desktop? High Low 1 2 3 4 5 (Please tick mark at the appropriate place of your choice) 33 Your expectation(s) from the Desktop? 34 Please tick your choice of preference on the basis of aesthetics (looks)? 53 .

Something about You Name of the Respondent Organization‟s Name : : Mr. /Ms ______________________________ _____________________________________ _____________________________________ Designation : _____________________________________ Address : Contact Details Ph M Fax E-mail _____________________________________ Respondent‟s Signature 54 .

Interview We made a direct approach to various individuals in malls.OBSERVATION     Machine (Notebook/Desktop) model no. Scope for future demand (by knowing the batch strength in B schools. No.Mail In order to get the responses.) E. employees‟ strength in BPOs. footfalls in Malls.schools and respective concerned persons at several BPOs in the NCR region. IT/admin professionals at various B. etc. of computers. DATA ANALYSIS 55 . we used to make email communications to some of our colleagues and friends and thus got the desired responses. Satisfaction level (during conversation).

56 .

57 .

58 .

59 .

60 .

RESPONSES OF QUESTIONNAIRE What do you own? Response None 3% Both 34% Notebook 22% Desktop 41% FOR NOTEBOOK USERS Which brand you own? Response OTHERS 17% COMPAQ 15% ZENITH 6% ACER 7% LENOVO 19% HP 12% DELL 14% HCL 10% 61 .

How many Notebooks you possess? (Approx) Response >350 11% 251-350 15% 151-250 8% 51 .150 16% < 50 50% Specify the reasons of owning a Notebook against a Desktop? 62 .

What features would you like to add in your Notebook? Advanced Security systems 3% Response Light -weight System 10% Any other 9% Attractive aesthetics 8% Whole day battery life (10-12 hrs) 13% Fashionable Carrying Cases 10% Ultra-thin mode 10% Web-cam 10% Wide-screen Display 6% State of the art communications Pen-proximity and multimedia detection Technology Technologies 5% 7% Lowest-in-class Outdoor Visibility 4% Reflectivity 5% Do you face any kind of health related problem(s) with your Notebook? Response Yes 14% No 86% 63 .

Is there any major health problem(s) faced by you? Response Any other 13% Backache 13% Vision problem 33% Stress 41% How many hours do you work on your notebook in a day? Response <3 h 2% >9 hrs 18% 3-6 hrs 22% 6-9 hrs 58% 64 .

How much are you satisfied by the services provided at our service centers? Response 1 1% 5 6% 2 31% 4 26% 3 36% What is the mode of maintenance you opt for your computer? Response Any other 6% Enjoying on call facility 10% By self 24% AMC (Annual Maintenance Contract) 60% 65 .

4% Trusted Platform Module (Data Encryption) 23% What is the overall satisfaction level with your Notebook? Response 1 5 1%6% 2 31% 4 26% 3 36% 66 .What are the security features in your Notebook? Response Pre-boot Authentication 5% Any other 8% One key rescue system for easy data recovery and back up 11% Face recognition technology for convenient login 4% Disable/enable capability of USB Ports 22% Connectivity switch 10% Fingerprint Reader 2% Active Protection System 8% Chassis Intrusion Switch 3% PC Tracker.

Most popular model for Notebook? Series 1 m10 m9 m8 m7 m6 m5 m4 m3 m2 Series 1 m1 0 5 10 15 20 25 Which feature(s) attracts the most? Response Any other 8% Ultra-thin (19mm X 337mm X Choice of Color 241mm) 20% 25% 1800 Flexibility 15% Ultra-light weight (2-2.5 pounds) 32% 67 .

FOR DESKTOP USERS Which brand do you own? Response COMPAQ OTHERS 9% 4% LENOVO 8% ACER 12% samsung 10% HCL 43% LG 14% Specify the reasons of owning a Desktop against a Notebook? 68 .

What is the mode of maintenance you opt for your computer? Response Enjoying on call facility 0% AMC (Annual Maintenance Contract) 100% Any other 0% By self 0% What specific facility in your desktop compels you to preferably work on it? Response Wide screen 16% Any other 19% Fast processing speed 14% Ease with typing 14% Separate mouse 7% Multi-processor capability 14% Expandable RAM 8% Expandable hard disk 8% 69 .

What is the overall satisfaction level with your Notebook? Response 4 0% 3 20% 1 12% 5 0% 2 68% Most popular model for Notebook? Series 1 dm6 dm5 dm4 dm3 Series 1 dm2 dm1 0 5 10 15 20 25 70 .

71 .. etc. desktops are preferred first. During our survey. like some of our respondents came up with an idea of having FM with laptops. promotional schemes. etc. the vice versa. The brand image of LENOVO is quiet low.CONCLUSION With the help of this project. we reached at the result that for certain features notebooks are feasible against desktops. and some steps like advertisement. corporate. ALTERNATIVE SUGGESTIONS FOR LENOVO INDIA PVT LTD Some value engineering is required. notebooks are the first choice. As far as individual buyers and B-schools are concerned. but when it comes to offices. malls. are required to create the same. we found that the market penetration of LENOVO is quit low as compared to its competitors like HCL and HP. while for others.

72 . we found many respondents who were not even aware of this brand. It provides some black blonde models only. whish comprises more than 97% of the prospects (potential customers). yet other models are needed to be taken care of. some major steps in this regard. but. Hence. LENOVO still focuses mainly on enterprise customers. to grab the attention of the bottom of the pyramid. one cannot survive without brand visibility and brand positioning. which is not acceptable in the current market of youngsters. it needs to diversify itself horizontally. In the contemporary world of hyper-competitive era. During our research. Positioning in Desktop is required. some thing is required to take care of if it comes to market trends and aesthetic beauty. LENOVO. are needed to be taken. so.RECOMMENDATIONS FOR LENOVO INDIA PVT LTD Though THINKPAD is one of the best products of his segment.

stockpoint.com www.     Marketing Management by Kotler & Keller Strategic Management by Pearson Marketing Research by Malhotra and Das LENOVO Sales Kit Economic survey 2009 .lenovo.2010 www.wikipedia.com 73 .com www.investor.

74 .

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