and how they become one of the biggest brands in the world
Lenovo Group Ltd. is shortened as just Lenovo. Lenovo is one of the major technology companies, and it's a well-known name in computer hardware industry. This company headquarter is located in Beijing in Haidan District. The company is founded thirty-two years ago on November 1 in 1984 by Liu Chuanyhi. Yang Yuanqing is the CEO of Lenovo company for many years. Besides having headquarters located in China, the company also have headquartered in the United States in North Carolina. Company Lenovo employs more than sixty thousand people, and company's product portfolio includes desktop computers, smartphones, printers, storage devices, television, tablet computers, netbooks, scanners, servers and other computer hardware.Lenovo is a multinational technology company that operates in more than sixty countries worldwide and sells products in more than hundred sixty countries. Lenovo's major facilities are in its native city Beijing, while research centers are located in Shangai, Nanjing, and Wuhan in China. There are also research centers located in Yamato Japan and the United States in Morrisville.
Liu Chuanzi is the founder of Lenovo. He was working with team consisted of young engineers more than three decades ago. Lenovo's incorporation was instantly approved by the Chinese government, and company official started to operate that same day the first of November. Lenovo founder state that preparation for launching the company started in October of that same year and initially eleven people were involved as original staff. Each of Lenovo's initial founders was, in fact, a member of Chinese Academy of Science. Starting capital was 200,000 yuan and after the government approved new company, Lenovo as ready to start operating.
Lenovo's first attempt to launch their televisions failed hard. The team dedicated to rebuilding the company in the following year by conducting profound checks on desktop computers for potential customers. Lenovo soon after the debacle started working on developing circuit board which would be compatible with IBM personal computers. This product, in fact, was first Lenovo's big success. After success with IBM compatible circuit boards, they also tried to launch Lenovo digital watch, but the product failed to bring any success to the company.
The truth was that Lenovo stuff was inexperienced at that time and even thought their products were great regarding quality, lack of business management experience and marketing were reasons for failure. Lenovo staff were young engineers, and scientist and marketing and other business related factors were not something to which they were especially familiar. Soon in 1990, Lenovo started producing desktop computers, but this tie with a greater level of quality marketing and business management.
First recruitment advertisement was placed on the front page of the major Chinese newspapers in May of 1988. New staff included thirty-seven people with an undergraduate degree, eighteen people with graduate degrees and three students. Current CEO of Lenovo was also among that group. The following year founder f the Lenovo Liu Chianzi received permission to expand the company and form a subsidiary located in Hong Kong. He moved there together with five other employees.
Lenovo was publicly traded after 1994 listing which raised around 30 million American dollars. The truth is that many analytics were positive about the company even before its IPO. The company was regarded to an as strong brand, has great growth potential and good management, so everyone believed in success. On the other hand, there were worries about company's profitability since its IPO was enormously over-subscribed. On first days of trading, the company hit a stock price of HK$2.07. These proceed from the initial offering later were used to expand sales offices located in Australia, North America, and Europe. In the following months, the company's staff has been working on expanding and improving research, development, and production in order t increase their working capital.
Lenovo secondary offering was conducted in 1997. In the following years, Lenovo issued offering of fifty million shares on the market in 2000 and at the same time raised more than 212 million American dollars. Under the leadership of Mary Ma who used to be Lenovo's financial office in years between 1990 and 2007, the company integrated more Western-style accountability into Lenovo corporate culture. The company's emphasis on complete transparency was a crucial step toward earning a reputation of being the best corporate governance as a mainland Chinese company. All issues such as management, share transfers, board, acquisitions, and mergers were accurately and fairly reported.
Lenovo revealed its new logo in May f 2015 at Lenovo Tech in its native city Beijing. This new logo is created by Saatchi. Also in early June of 2015, the company announced plans to sell up to 550 million American dollars in five- year bonds. These bonds will be sold with coupons in Hong Kong market. This is, in fact, second Lenovo sale since the introduction.
Lenovo company designed the Tianxi desktop computer in order to make it easier for inexperienced consumers to access the Internet. One of the greatest advantaged of the Tianxi computer was that it featured a button which instantly connected consumers to the Internet. This product also was co-branded with Chinese Telecom. The Tianxi computer was introduced in 1998 as-as result of two years dedicated research and development. Stated in 2000, the Tianxi computer was the best- selling a desktop computer in history regarding Chinese company computer hardware manufacturers.
In 2005 Lenovo acquire personal desktop computer business IBM which includes ThinkPad tablet lines and laptops as well. This was a great introduction of the company into the foreign market while the company was still working on improving both Lenovo technology and branding. This IBM acquisition, in fact, made the Lenovo the third-greatest computer maker worldwide in terms by volume. Lenovo sold tablet and smartphone division in 2008 but bought it back in 2009. The company though of focusing just on personal computers, but after selling its smartphone and tablet division, the crucial staff changed their mind. Lenovo introduced its smartphone and tablets to the market in 2012 and soon became the greatest vendor of portable devices including tablets and smartphones in native China.