The Growth Strategy of Chinese Enterprises from a Dynamic Capabilities Perspective – A Case Study of the Lenovo Group
Date Issued
2015
Date
2015
Author(s)
Chang, Yu-Jung
Abstract
In the past few years, the emergence of new entrants from mainland China have been rapidly growing and becoming influential in international markets. Among these new players, the Lenovo Group in the personal computer industry has had extremely fast growth, rising from a regional player to a world-leading dominant actor (rank first in PC manufacturers) within only 8 years. The company adjusted their core capabilities continuously through acquiring stronger competitors and leverage internal sources to sustain their competitive advantages in changing environments. Therefore, an understanding towards the strategies used by Lenovo may provide practical suggestions for companies in similar situations. This study aims to examine the motives, learning process and sequential capabilities development in Lenovo, by the different phases through employing the structure of dynamic capabilities theory. The elaboration of this purpose is to identify the growth strategies implemented by Chinese Multinational Enterprises (MNEs) to expand abroad through the qualitative method. The results reveal Lenovo’s evolutionary progress with reference to external environments. The company leverages its core capabilities including distribution and services, technological and brand advantages, supply chain, and government supports in order to contain its competitive advantages. The conclusion presents the possibility to extend the experience of China to other developing economics.
Subjects
Dynamics capabilities
Lenovo
Internationalization
Growth strategy
Chinese Enterprises
Type
thesis
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ntu-104-R01741031-1.pdf
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