Lenovo Business English Case Study

What do you know about Lenovo?

Lenovo is one of the great success stories of the modern Chinese economy. Once mainly known as China’s personal computer (PC) market leader, it became a household name worldwide with its purchase of IBM’s PC division.

The company, originally called Legend, began like many other technology companies–as a small start-up. In 1984, 11 computer scientists started the firm in a small building in Beijing. Their research and know-how were important tools as they built low-cost computers for the domestic market.

By the mid-1990s, Legend had grown into the top-selling PC maker in China’s home and office markets. The following decade, the company changed its name to Lenovo (see table). Along with the name change came a big move that really raised eyebrows.

In 2005, Lenovo completed the acquisition of IBM’s PC division, including its desktop and notebook lines. This was huge news. After all, IBM had been largely responsible for the birth of the home PC market 20 years earlier. It had invented the laptop computer, and its ThinkPad line was one of the world’s top brands. Lenovo had boldly announced to the world that it was a serious force in the PC industry.

Lenovo quickly made changes to the ThinkPad line. For instance, it started selling ThinkPads (which had always been black) in titanium. It also sold versions of the notebooks with wider screens. These changes were met with some resistance, yet Lenovo was determined to make the line its own as it left IBM’s shadow. Taking its place as an industry leader, the company has been praised for its support in the fight against piracy. In April 2006, Lenovo signed a $1.2 billion deal with Microsoft, agreeing to install Windows operating systems on its new computers. The company has also helped build its brand by sponsoring the Olympics.

After the IBM deal, Lenovo took its place as the world’s third-largest PC seller. Along with computers, Lenovo develops cell phones, computer equipment, and other electronic products. With over 20 years in the business, $13 billion in revenues, and 20,000 employees, it’s a powerhouse that we’ll surely be hearing from for many years to come.

1. What was Lenovo’s situation like before the IBM deal?

A. It only had 11 employees.
B. It was known for its top-end PCs.
C. The company was the market leader in China.
D. As the inventor of the notebook computer, Lenovo was in great shape.

2. The article suggests that Lenovo’s deal with IBM was:

A. planned many years in advance
B. strongly welcomed after Lenovo started changing the ThinkPad line
C. limited to IBM’s notebook lines
D. a major development in the industry

3. Which of these events took place first?

A. Lenovo sold its one millionth computer.
B. Lenovo and Microsoft signed a deal.
C. Lenovo became a public company.
D. Lenovo changed its name.

4. Which of the following is not mentioned as an example of Lenovo’s leadership?

A. Its wide range of low-cost cell phones
B. Its deal to install Windows on its computers
C. Its sponsorship of major sporting events
D. Its actions against piracy

5. What does the article suggest about Lenovo’s future?

A. The company will soon be the world’s top PC seller.
B. It’s in a strong position to continue making headlines.
C. Lenovo will soon begin selling cell phones and other products.
D. The deal with Microsoft may be met with resistance.

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«First in 1984 …» 

«Then in 1994 …» 

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«Next, as we can see in 2004 …» 

«And shortly after that in 2005 …» 

Simple Past Tense

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a household name  (noun) – a name that everybody knows.

ex. IBM is a household name in many countries.

a start-up  (noun) – a new company.

ex. Sometimes a start-up includes just one person working from home..

know-how (noun) – knowledge.

ex. Sure, we have the know-how to open a restaurant, but do we have the money?
.

an acquisition (noun) – a purchase.

ex. The acquisition of the shipping firm was seen as a good move for the transportation giant.

huge (adjective) –  very big.

ex. CEOs’ salaries are usually huge compared to the salaries of other employees. 

boldly (adverb) – mostly.

ex. The fall in production was largely due to poor weather. 

lucrative (adjective) –  confidently and bravely.

ex. Erica boldly walked into her boss’s office and demanded a raise. 

resistance (adj) – opposition.

ex. Plans to build new highways are often met with resistance from local residents..

determined (adjective) – firmly intent on doing something.

ex. My brother is determined to retire before he’s 40. 

sponser (noun) – support.

ex. Companies often sponsor sporting events as part of their marketing strategy.

to raise eyebrows (verb) – attract attention.

ex. A price increase of 3 percent isn’t a very big deal, but a 10 or 15 percent increase would definitely raise eyebrows.

More expressions here

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