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Essay / Research Paper Abstract
This 16-page paper focuses on the merger between Lenovo and IBM. Also discussed are the challenges faced by the China-based Lenovo. Bibliography lists 6 sources.
Page Count:
16 pages (~225 words per page)
File: AS43_MTibmlenov.rtf
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Unformatted sample text from the term paper:
neck-and-neck in terms of which one was "first" to hit the desks of corporate America in a cost-effective manner, the Apple computers were typically seen as tools for graphic artists
and designers. For the real muscle, such as 200-page reports, it was IBM desktop computers. As is the case with many pioneers and first-movers, IBM rode the wave of success,
enjoying the sales of its then-inexpensive PC (which retailed for around $4,000). Its safe to say that IBM led the revolution, putting the power of computing from huge, air-conditioned basements
onto desk tops (and later on, in laps). But then the good times stopped and IBM found itself facing a shrinking market and slumping sales. While IBM was once king
of the PCs, it struggled to keep up with newcomers. What happened? Competition happened with companies like Dell and Compaq sneaking in
to offer their systems (made from IBM cloned parts, no less) at much less cost than Big Blue. Dell, especially, through its then direct-to-consumer model was able to cut costs
to the point that consumers bought up Dell systems in droves. Though IBM ended up achieving moderate success with its ThinkPad notebook computers
in the late 1990s and early 2000s, few in the industry were surprised when the company announced it was ready to sell its PC division. The company had already been
selling off its PC factories and its hard drive unit (Spooner and Kanellos, 2004). The PC unit continued to be a drag on profits, according to IBM - so
it was just a matter of time before the PCs themselves had to go as well. IBM spent time looking around for a buyer.
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