TABLE OF CONTENTS

1.0-Introduction
1.1-Company Background
1.2-Product description

2.0-Buyer decision making process

3.0-Marketing Mix

4.0-Conclusion

1.0-Introduction

In the recent years , Lenovo has comes up with a lot of unique and competitive
strategies in order to achieve a rapidly part of the share of personal computer
and notebook in the market. After acquiring the company of IBM , soon Lenovo
has become one of the largest personal computer manufacturers in the world.
With the IBM technology , reputation and branding has led Lenovo success to
become part of the international corporation of personal computer and notebook
in market.

However, Lenovo is still continuing to optimize their strategies to compete with

the existing company in the market such as Dell , Sony Vaio , HP , Asus and
etcetera. This will also help them to have a strong positioning of holding share in
the corporation of personal computer and notebook in the market.

So in this report, i will analyze and attempt the issue of how Lenovo improve
their strategies and compete in the competitive market with their new product of
Y-series IDEAPAD.

1.1- Company Background

Liu Chuan Zhi is the founder of Lenovo company. He start this company with
10 computing engineers in 1984 in China,Beijing . They started to seek for
employees in 1988 with the limited budget in order to start the business. In
1990, Lenovo started to manufacture and market computers using its own
brand name.

Yang Yuan Qing joined the Lenovo company since 1989 , he get promoted
very quickly and until today , he was the chief executive officer of the
company. He is one of the key person who led the success in acquisition the
IBM company. Under his leadership, Lenovo has been in China best selling PC
brand since 1997.

Today , Lenovo has become the second largest personal computer vendor in
the world which have the value of USD30 billion company. They have more than
30 000 employees in more than 60 countries all over the world to serve their
customers. They have headquarters in Beijing ,China and Morrisville , North
Carolina , US. Lenovo research center located in Yokohama, Japan and Beijing ,
Shanghai , Wuhan, ShenZhen in China.

Lenovo is not just a personal computer and notebook company , but also they
create a full range of personal technology which including tablets and
smartphones. Lenovo will keep on create new categories of products that may
enhance customer experiences and let customer differentiate them from the
competition .

1.2-Product Description

Lenovo IdeaPad Y400 is one of decent gadgets in the current market. This laptop
will take your extreme gaming and graphics , audio and processor intensive
applications to a new performance dimension. This laptop has the decent
specifications in the currently market and its in the budget level compare to the
other competitors product. IdeaPad Y400 installed the most recent Microsoft
Windows 8 with 8GB memory ram to brings up the best performance of system
to the maximum point.

Ideapad Y400 also installed with the standardize GT750 DDR5 2GB Ram
graphics in order to aim the market of gamers. This graphics card is very good in
performance for a laptop and can almost run all extreme graphics video games in
ultra settings. Not only that , Y400 also come with a very new feature which is
their UltraBay slot. This ultrabay slot can let users instantly swapped out for dual
graphics capability , increased storage space or an additional fan for cooling. The
ultrabay feature is the selling point of this this product because it is very unique
by comparing to other brand of laptops.

The speaker used in Y400 is from Dolby Home Theater V4 with premium JBL
speakers which is a quite trendy and stereo speaker used in a laptop. We can
maximize volume output without any distortion and still can experience a crisp ,
clear immersive surround sound. The accutype keyboard boasts a modern look
and feel with flatter , slightly curved keys that improve your comfort while
increasing typing accuracy. Also this keyboard has a standard backlit that could
help you easily typing in low light conditions.

This ideapad also included integrated 720p HD webcam and Dual digital array
microphones which enhance your video call experience. Optimized for the new
windows 8 interface the intelligent touchpad enables easy scroll , zoom and
rotate functions for comfortable control of your ideapad Y400 laptop. Always-on
USB port lets you recharge a mobile device or others gadgets even when the
laptop is powered off and unplugged from the main plug. Moreover , Y400 also
used the removeable 6 cell lithium battery which can last longer for 4 hour of
normal usage and 2 hour of heavy usage.

The reason of why i choose this product for my report is because i have owned
this laptop . After been used for a period , i feel this is a great machine that ever
produced by LENOVO. The Ultra Bay new function is very unique and innovative
by comparing with other brand of laptop. Ultra Bay allow user to instantly swap
out for an external hard disk , graphics card or extra cooling fan , it is much more
convenient and easier for users , especially for a gamers.

2.0-Buyer Decision Making Process

2.1- Description of decision making process
Consumer will recognition their needs and problems before purchasing any
products or services. They will seek solution to fulfill their current dissatisfaction
of their needs or desire such as buy new products or services. For example ,
when an products is not performing as well as before, consumer will actually
seek for another new product which will enhance their current product
experiences.
After recognition their needs and problems , consumer will be searching for all
the information of the products. Information search involves exposure to different
sources such as a persons memory, personal, public, commercials, and
experiences. Consumer will keep on seek the information of the products from all
the sources for a better value and could fulfill their satisfactions or needs.
Following stage is consumer will evaluation the information after obtained a
few sources information of the products. In this stage consumer will make a
comparing of few brands of product in order to find out which will actually brings
more value , meet their requirements and maximize their satisfactions before
they make their decisions.
Finally consumer is ready to make their decisions in this stage after
evaluation information of the product. Consumer will decides which product to
buy based on the value and benefits of the product or even not buying anythings
at all.
The last stage in decision making process is post-purchase evaluation which
means consumer has made their purchase and they will expects certain
outcomes from their decision. If the product could satisfy their needs and meet
their expectations , they will repurchase again in the future.

2.2- Characteristic of Buyer Behaviour

There are several factors which will influences the buyer decision making
process, such as individual influences, group influences , situational influences
and also marketing mix.

Individual influences includes personality,perceptions and also the motivation of

consumers itself. All of these sub-factors is based on the desire and needs of
individual and could affect the decision of consumer for purchasing somethings.

Group Influences can be extract in few categories such as cultural , different

country have different cultural. While means different cultural caused the decision
making of consumer to be different. Second is reference group which means the
decision making of consumer might be based on the information obtained from
peers , family and relatives and all the people who around. Thirdly is social
class , different level of consumer income could affect the decision making of
their purchases.

Situational Influences . Decision making of a consumer might be affect by the

current economic situations of the country. Different level of consumer income
could affect the consumer decision making process . A higher income consumer
could have a lot of choices and they are more affordable to buy better products
while there is opposite for the other side. Next is political , political actually
related with law and regulations of a country which included the taxation and

etcetera. The taxation of products might take part to affect the decision making of
consumer based on the price of the products.
Marketing Mix. The price and quality of the product play an important role in
decision making process of consumers. Consumer will make some comparing of
the products based on quality and prices before they make their purchases. Next
is promotions , promotion included advertisement , events , discount and
etcetera. This will help to increase the attraction of consumers and affect their
decision making. Place also playing part in the decision making process of
consumer . If the product is easier to know and get in any place , consumer might
consider whether to purchase the products.

2.3 - Discussion on buyer behaviour and the decision making process

This discussion on buyer behaviour and the decision making process is based
on the product of Lenovo IdeaPad Y400 gaming series laptop. At the very first
stage is problem of needs and recognition.Consumer might not be happy with
their current PC because of the slow performance and outdated specifications.
Follow by second stage consumer will actually try to seek all the informations
which related to laptop. They will reviewing their friends for suggestion and
opinion about which latest laptop is suitable for gamings and having the
specifications which meet their requirements for best gaming performance.
Commercial and internet is also one of the sources of where they gained their
informations , those sources usually will display and provide all the informations
they need.
Third stage consumer will evaluation all the gathered informations. Consumer will
comparing IdeaPad Y400 with a few brand of laptop such as Dell , Sony Vaio ,
Asus , HP and etcetera based on the laptop performance , specifications and
also prices. They will find out the design of this laptop is nicer than others which
is covered with carbon fiber skin and installed with a LED backlit keyboard. Also
with a new function Ultra Bay could let users instantly swap out for an external
cooling fan or graphic card.
After consumer evaluated all the informations , they are finally ready to make
their decisions. If they feel this laptop could meet their requirements in every
aspects they will actually make their decision to purchase this laptop. They will
also make their decision based on the customer services and the warranty of the
laptop.
After purchase, consumers will experience this laptop. If they feel this product is
worth to buy and could satisfy their needs , they will actually repurchase at the
same brand for certain products for future or even suggest for others.

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3.0-Marketing MIX 7Ps

Product
Lenovo produced the new concept of IDEAPAD Y400 is to attack the gamers
market. This machine built up with unique carbon fiber skin and with a red
backlit keyboard in order to attract the attention of gamers. Thus, this
machine also installed with the decent specifications such as Microsoft
Windows 8,high graphics cards and 8gm of rams to ensure this machine run
smoothly without any disturb. The innovative and unique part of this machine
is the removeable Ultra Bay . This function allow users instantly swap out for
graphic card , hard disk or an additional cooling fan.

Price
Majority of the gamers is teenagers and young adults , they are all students
or just starting their career , therefore they still cant afford to buy any high
costing or expensive machine. With this point Lenovo produced this machine
with a low production cost to makes this machine is affordable by all the
categories of consumer , especially teenagers and young adults. With the low
production cost , Lenovo also able to compete with all the competitors in the
market. This machine can purchase at 2 price points which are RM2799 for
single graphic card and RM3599 for the standard set which comes with dual
graphic card.

Place

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There are a lot of retail outlets all over Malaysia that carry various Lenovo
products so purchasing this machine should not be difficult. All of the outlet
will have some display or demo unit to let customer to try on.Not only that ,
Lenovo will also provide a full professional promoter to introduce their
product to all the customers. Customer also can order this machine by online
method through Lenovo official website with shipping free.

Promotion
Advertisement is one of the important communication tools to introduce
Lenovo new product to the consumer. Lenovo will publish some news and
details to consumer before they release this new machine. Advertisement of
this new machine will be publish through social media such as television ,
magazines , internet , poster and etcetera to the public. All of these
commercial and advertisement could easily attract the attention of people
and alert them for this new product. In sum , Lenovo will also provide a user
package as a gift for those who bought their product which included a
backpack bag and 7 useful accessories tools.

People
Lenovo is a company which constantly seek to hire a diversity staff which
equipped the right attitude and skills with a specific standard in order to
deliver a quality service to customer. Lenovo have a system management
which reward the right people with the right results. Therefore, this can
create a relaxed and friendly environment between employer and employees.
This will also ensure all the employees is always in satisfied with their jobs
and willing to work harder for employer. Thus , this will help to increase their
productivity and attitude while serving to the customers.

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Process
The process of service delivery to customers is very important in a business.
Therefore, Lenovo provided a blue print which contains all the details of the
service delivery process to all the service staff . Lenovo want all the service staff
to have a standardize of serving skill like service script and greeting phrases to
ensure all their customers have treated and served with outstanding services.
Not only that , Lenovo also provided a training courses for all their employees
before entering their company.

Physical Evidence
Lenovo retail stores interior incorporate an open , clean , and spacious
concept. Lenovo has invest heavily in their interior design and decorations
such as orange theme concept on their wall paint and information board.
They also provided some plush sofas and facilities like free drinks for
customers to have a relaxed and friendly experience in their stores. Other
than that , Lenovo stores also has a lot of display and demo units of their
products for customer to try on it.

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4.0-CONCLUSION

Lenovo IDEAPAD y400 is a very innovative product and new in the current
market because of their unique feature Ultrabay slot. Therefore , with this
new technology Lenovo able to compete with all the competitors in the
competitive market and allow Lenovo continue to occupy more and more
larger IT market shares in order to achieve the goal of success.

Based on the company analysis, we have suggested two recommendations to

enhance Lenovos future growth. Their popularity in China has caused a lack of
branding in outside markets. This issue can be addressed through expansion into
the world wide market.

Lenovo has managed to maintain a relatively low cost of production and

distribution. Although they invest in research and development, they lack diversity
among their products and services. This lack of diversity negatively affects their
pricing power. This issue can be addressed through product differentiation,
specifically through improving their customer and IT services outside of China.

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