What’s Behind Lenovo’s Growth and Success?

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May 8 (Bloomberg) -- Last year Lenovo became the top-selling personal-computer maker in the world. Bloomberg Businessweek’s Drake Bennet reports on the success of the company on Bloomberg Television's “In The Loop.” (Source: Bloomberg)

Wrote the cover story.

It has been this sleeper hit?

Earlier this year, they went on a big shopping spree and bought motorola for about $3 billion.

They bought the low-end server business from ibm within a week.

The company has grown a lot but it is managed to stay under the radar screen for a couple of reasons.

It's a brand that we tend to associate with work.

It's an enterprise business.

I talked to friends who had never heard of a company and you asked them to work -- to look at their work laptop and it was lenovo.

They pursued a strategy where they have grown by being a scavenger.

They bought other people's trash.

They have been smart about going through other people's leftovers.

Motorola is an example of that and google was eager to get rid of the company.

It put them in a weird position competing against the phone companies that bought their android operating system.

Ibm wanted to get out rid of the low-end server business and lenovo has a track record that says they can make money doing this.

Do they not want to be well known in the u.s.? they are trying to change that.

You have seen them really invest in marketing and try to become more of a premium brand.

They are moving upscale and offering some products that are more expensive.

They have managed to make an impact.

They have the yoga pc that flips and turns into a tablet.

It is selling pretty well.

It is the higher end of the scale.

Tell me about their management.

One of the things you'll hear over and over again is that they are not a chinese company, they say they are a global company.

I have seven nationalities among their top 10 executives.

They have a dual headquarters structure.

They're in research triangle park in north carolina and beijing.

Their ceo is chinese?

Yes, he has been with the company for a long time and started right out of graduate school.

He was running their pc business in china when he was 29. he was a young turk back then.

He has been running the company and he was there when they took over the pc business and stepped back and came back five years ago.

You can really date the companies strong growth since his return.

He is chinese but the other managers are not.

Most of them are not.

Australia and, canadian, italian -- is quite a range.

They say english as their primary language?

Yes, but when they bought the ibm pc business, yang and chen, the then ceos, insisted all the managers learn english.

Is cable news where you want to learn your english?

The ceo has done pretty well.

Is and lenovo a celebrity company in china?

It's huge in china.

Recently, we hear more about alibaba.

He is kind of a steve jobs level celebrity.

There are books written about the company and he is a real star over there.

What do they ultimately want to become?

They say they want to be a $100 billion company and compete with apple and samsung.

Their strategy has allowed them to be the biggest fish in a rather small pond for a while.

With the motorola purchase, they're going head to head with samsung and apple.

Thank you so much.

This text has been automatically generated. It may not be 100% accurate.


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