Acer
Submitted by kathykcheng on November 30, 2007
Category: Business
Words: 803 | Pages: 4
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Acer Incorporated emphasized a пїЅculture of the common manпїЅ even through globalization and expansion. As a result of their economic success they were highly regarded as a role model for Taiwan business. However, the competitive PC market of the early 90пїЅs was sluggish and saturated not only by first level competitors like IBM and Apple, but second level competitors like AST, Everex and third level knock-offs. Therefore, Acer needed to consider its next step. Stan Shih the CEO and Chairmen faced the agonizing issue of laying-off many of its employees due to the financial distress of the company. This decision would affect the lives of the employees, culture of the company, but most importantly companyпїЅs reputation.
There were many contributing factors managers thought lead to the loss in profit, especially that of the economy. Yet, the main reason management pinned for the decrease in sales and profits was due to the decision of excess workers and production capacity for the anticipated