The trend of globalization in the U.S. has led to rising competition by foreign multinational companies in emerging markets. These markets are known as the "BRICs" which are Brazil, Russia, India and most notably China (all of these developing countries are expected to dominate the world economy by 2050). The fastest-growing market in the last past two years was China, with its new multinational firms like Lenovo, which is now the third-largest personal computer company with revenues exceeding the $13 billion, after Dell and Hewlett-Packard, since its IBM computing acquisition in April 2005. On Wednesday, April 25, The Weisman Center for International Business and the Zicklin School presented the Mitsui Lunch-Time Forum, covering Lenovo's current process and challenges of growing globally with James P. Shaughnessy, Senior Vice-President and General Counsel for Lenovo. Mr. Shaughnessy joined the company in July 2005, bringing with him more than 20 years of expertise in the computing industry from working for PeopleSoft, Compaq and Hewlett-Packard to name a few.
One of the first Chinese companies to establish its presence around the world, Lenovo remains an example of how to approach global markets To win in the new marketplace, companies must drive customer value, collaborate globally, combine the strengths of multiple cultures, embrace emerging markets, and take advantage of economies of scale on a global basis. While it's increasingly common for companies to maintain their manufacturing operations in China, only a few have leveraged the vast IT expertise available in the Chinese market. Lenovo has built a world-class IT company in China and is dominating the Chinese market as a result of this strategy. On a global scale, Lenovo is the world's third-largest PC company. While we sell primarily to business customers, we're expanding our presence in the consumer market as well. In the summer of 2005, when I had the opportunity to join Lenovo's IT operations worldwide, I was eager to accept it. Lenovo had just purchased the IBM PC division and was expanding globally. It was one of the first companies from China to establish its presence around the world.
India's fourth-largest software enterprise Satyam Computer Services Ltd. will set up a branch company in Nanjing, capital city of east China's Jiangsu Province. From its new base in the Nanjing Software Park in the city's New and High Technology Industry Development Zone, the software outsourcing firm will recruit 2,500 software engineers and is expected to gain annual sales value of more than 10 billion yuan (1.3 billion U.S. dollars). Qi Lu, an administrative official in the zone, told Xinhua on Sunday that the new Satyam branch will boost the competitiveness of local software firms and help attract more Indian and other international software giants to Nanjing. The campus-style park will provide lodging and other amenities, and is set to attract more than 300 software companies.
Satyam Computer Services Ltd, India’s fourth-biggest software services exporter, said on Thursday it would open a new software development centre in China as it ramps up operations in the fast-growing market.
