Name: Waleed M. Nabeel
06/03/14
What were Quanta’s competitive strategies? Was the location of this company helpful to it? Why?
The Quanta’s competitive strategies were aimed towards having the companies to become a market leader in about every aspect of business they entered. We see Quanta recently moved towards vertical integration by controlling many of its procedures ranging from shipping directly to the customers to production of other components in its PCs. Being Taiwan's competition in the industry so high, it kept their margins and prices low and that became very appealing to a lot of major computer companies there.
"Rooted in Taiwan with broad vision and aggressive expansion in the global market" is Quanta's strategy for long-term growth development. With "Quanta R&D Complex" (Quanta.com) This was long term strategy that they implemented and has also been publicly announced on their web page presently. They kept the margins and prices significantly low, which had played important in attracting many buyers and Customers. Quanta’s location being positioned in Taiwan was a major success similar to many other Asian countries that had gained and grown in the computer world in that region.
Cost was a strategy Quanta that they wanted to control so that they could become more competitive amongst various other devices such as the “Eee PC”. This cost factor is well illustrated in the OLPC program Quanta undertook. If Quanta could cut costs and meet the criterion for the OLPC program, they could see a totally new market emerging that they could take over and still be providing children technology to close the gap that currently exists between the rich and the poor.
Sources:
Shih, Chintay; Shih, Willy; Wang, Jyun-Cheng 2008. “Quanta Computer and the One Laptop Per Child Initiative” Harvard Business School
Quanta Computer." Quanta Computer. N.p., 1 Jan. 2007. Web. 5 June 2014