Acer’s North American market

Acers northernmost American market share has slipped over the past few years, eon in contrast, the companys atomic number 63an market share has risen. 8 In the mid-2000s years, consumer notebooks have been nearly the sole growth drivers for the PC industry, and Acers exceptionally low overheads and dedication to the product line line had made it one of the primary(prenominal) beneficiaries of this trend. 9 Acer grew quickly in europium in part by embracing the use of more traditional distribution channels targeting retail consumers when some rivals were pursuing online sales and business customers.In 2007 Acer bought Gateway in the USA and Packard Bell in Europe and became the Number 3 world provider of computers and number 2 for notebooks, and fulfilld monumental improvement in profitability. Acer has been striving to become the worlds largest PC vendor, in the belief that the goal can help it achieve economy of scale and garner higher margin. 10 But such a reliance on the high-volume, low-value PC market made Acer open when buying habits changed. On June 2011 Acer re-evaluated its inventory-management strategy in light of descent economic conditions in Europe, clarifying a large write-down.Acer said the main reason for the disputes was high inventory carried by distributors of its products, reflecting an inappropriate strategy in its European operations under the current market situation. In a written response to questions from The Wall Street Journal, Acer said southerly Europes economic situation has been worsening since last year and the stagnant engineering science market, particularly in Spain, influenced Acers PC sales. Acer discovered the problems with a routine audit, it added