Acer’s Unique Local Touch Global Brand Strategy Working Magic

An Exclusive Interview with Arun Krishnaswamy

Originaly Published in Computer Jagat Magazine in September 1994

Mr. Arun Krishnaswamy, Country Sales Manager of Acer Computer, South Asia said in an exclusive interview with Computer Jagat that Acer is aggressively seeking partnership with its local distributors in the areas of warranty, price, service, logistics and advertisement. The prime objective of this is to give Acer’s global brand local touch taking into consideration the local needs.

He said that this new approach is based on mutual trust and local distributors shall add value to Acer’s open machines having cutting edge features. In Mexico Acer has localized its products and instantly grabbed 32% market shares. This spirit helped Acer increase its revenue by an amazing 205% in June ’94 over 1993, informed Singapore based Arun.

Arun said that Acer do not like to duplicate the functions that can be better looked after by our local partners and Acer want them to concentrate seriously on certain areas. This synergy shall hone both the parties skill and ensure better global leverage. “It is no threat for any of us and it won’t weaken the synergy” said Arun.

“To face the challenge of new IT age Acer, a growing conglomerate of individual technology providing companies shall aggressively keep this relationship closer and closer”, said an equally aggressive and personable marketing executive Arun.

Replying on potentiality of Bangladesh market, Arun expressed his firm optimism as to future growth, of market and informed that with satisfactory performance of Acer’s high-profile local dealers— Dolphin computers and UnidevComputers, Acer shall continue to focus on solution based. Corporate and Garments Industry niches. “Development of advanced product that benefit consumers has always been Acer’s goal”, said Arun.

Since its founding in 1976 with only 11 employees, the Acer group has grown into a major computer, peripheral    and    component

supplier in the world. Arun said that with Acer’s own technology of bridging the chipset, the only Server based on Intel’s advanced Pentium that is working now in Singapore is Acer Pentium 90 Servers.

At present in Asia-Ocenia, Acer has its own subsidiaries in Malaysia, Singapore, Taiwan, Japan and Australia. Acer is also a major global competitor in Mother Board, BIOS, Cache controller cards, I.O. controller, ASIC, DRAM chip, Facsimile Machine market. These in-house access to a full range of technologies established Acer in a leading position, said Arun. He asserted, “For these unique advantage Acer brand products fetch money’s best value for the buyers and that put Acer brand among top 10 brands of PCs in the USA.”

Arun said, “The much acclaimed Acer state-of-the-art hardware fetching orders from Japanese companies to make hardwares for their machines lately and more than half of the PCs of the world have some of the Acer brand components in them.” Arun continued, “Our USA subsidiary is doing fairly good business because cost leveraging is better there.”

Arun also informed that Acer is the leading brand in Third World countries and positioned itself as No.l company in Indonesia, Malaysia, Phillipines and Thailand in PC, Server and Notebook sales.

Replying on response as to Acer’s praise-worthy introduction of International Travellers Warranty (ITW) program for its Notebook PCs. Arun said, “The portable nature of notebook PCs, results in a large number of these PCs being taken to areas where the product is not covered by a warranty. As part of our policy to provide the best possible service we introduced this program in January 1993 and almost 5,000 Acer Notebook owners from around the world have applied for an ITW warranty card so far.”

Informing about Acer’s global expansion Arun said that a joint venture semiconductor plant with Texas Instruments which is one of the world’s ten largest wafer fabs that currently produces 4MB DRAM chips in Taiwan’s Hsinchu Science based Industrial Park, and is expanding into production of 16MB DRAM chips in 1995.

In recognition of the great contributions of Acer Peripherals Inc. to Malaysian economy, Datoship honours has recently been awarded to Acer’s founder and chairman Stan Shih by Penang Governor Seri (Dr.) Hajyi Hamdan Bin SeikhTahir, informed Arun.

Detailing the Acer’s much publicized Vision of 21 in the 21 st, Arun said, “By working with local partners to run the business, implementing local management and encouraging local shareholder majorities, Acer is gradually achieving its goals of becoming a “Local Touch” global brand name with over US$ 8 billion in annual revenue by the year 2000 and this continued strengthening will pave the way for a world-wide alliance of borderless global companies within the Acer Group by the 21st century. Acer will include in its ranks 21 publicly won companies, a target known in corporate and computer world as “21 in 21″.

Young and avid Acer loyalist Arun concluded,-”These Acer Group companies will continue finding effective ways to meet the challenges of the new IT age, bringing benefits to Acer’s stock holders, employees, partners and the much revered first party— Customers.”

Azam Mahmood

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