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51 Huawei and Pearl River will soon become well known to Americans. It also bears watching if the backlash and media attention to this issue will single out China. In the meantime, one can expect a continued growth of Chinese foreign direct investment, including acquisitions by Chinese companies, be it private or state-controlled, in the United States. The weaker the U.S. economy becomes, the greater Americans will be ambivalent, torn between the need for jobs and the fear that Americans are going to end up “working for the Chinese.”70 In addition, American firms are reluctant to welcome Chinese investments into the U.S. market, especially in the high-tech arena. Three major factors account for this reluctance: (a) the belief that the Chinese government unfairly manipulates the value of its currency; (b) the belief that intellectual property and privacy is not respected in China; and (c) the belief that the Chinese government unfairly subsidizes its exporters. It is open to dispute whether buying foreign companies is the best way for Chinese enterprises to succeed. But the trend is irreversible for China’s investment in developing and developed economies to continue to grow. In January 2011, Lenovo demonstrated its insatiable ambition for growth again—it is partnering up with Japanese computer maker NEC for a “strategic alliance.”71 For some countries, China’s growth is formidable. They say that Napoleon was 70 See Note 37. 71 Vlad Savov, “Lenovo and NEC partner up to become Japan's biggest PC vendor,” Engadget (27 January 2011), retrieved 1 April 2011 <http://www.engadget.com/2011/01/27/lenovo-and-nec-partner-up-to-become- japans-biggest-pc-vendor/>.
Object Description
Title | China's investment in the United States and the public relations implications: A case study of the Lenovo-IBM acquisition |
Author | Liang, Shuyan |
Author email | shuyanliang.usc@gmail.com; shuyanli@usc.edu |
Degree | Master of Arts |
Document type | Thesis |
Degree program | Strategic Public Relations |
School | Annenberg School for Communication |
Date defended/completed | 2011-04-30 |
Date submitted | 2011 |
Restricted until | Unrestricted |
Date published | 2011-05-04 |
Advisor (committee chair) | Kotler, Jonathan |
Advisor (committee member) |
Floto, Jennifer Wang, Jian (Jay) |
Abstract | This paper discusses Lenovo’s acquisition of IBM’s personal computer division in 2005 as a case in point to explore issues involved in China’ investment in the United States, particularly its public relations implications. It is demonstrated that media coverage underscored the complications and tensions in these supposedly free market activities. This paper presents the manifestation of controversial issues such as state-ownership of businesses, national security, and economic protectionism, as Chinese enterprises invest in the United States through mergers and acquisitions. It provides an account of Lenovo’s communication strategies and gives suggestions to better manage corporate reputation and brand images for Chinese companies that are seeking overseas investment. |
Keyword | Lenovo; IBM; China; United States; foreign direct investment (FDI); mergers and acquisition (M&A); public relations (PR) |
Geographic subject (country) | China; USA |
Coverage date | 2005/2010 |
Language | English |
Part of collection | University of Southern California dissertations and theses |
Publisher (of the original version) | University of Southern California |
Place of publication (of the original version) | Los Angeles, California |
Publisher (of the digital version) | University of Southern California. Libraries |
Provenance | Electronically uploaded by the author |
Type | texts |
Legacy record ID | usctheses-m3902 |
Contributing entity | University of Southern California |
Rights | Liang, Shuyan |
Repository name | Libraries, University of Southern California |
Repository address | Los Angeles, California |
Repository email | cisadmin@lib.usc.edu |
Filename | etd-Liang-4567 |
Archival file | uscthesesreloadpub_Volume32/etd-Liang-4567.pdf |
Description
Title | Page 58 |
Contributing entity | University of Southern California |
Repository email | cisadmin@lib.usc.edu |
Full text |
51
Huawei and Pearl River will soon become well known to Americans.
It also bears watching if the backlash and media attention to this issue will single
out China. In the meantime, one can expect a continued growth of Chinese
foreign direct investment, including acquisitions by Chinese companies, be it
private or state-controlled, in the United States. The weaker the U.S. economy
becomes, the greater Americans will be ambivalent, torn between the need for
jobs and the fear that Americans are going to end up “working for the
Chinese.”70 In addition, American firms are reluctant to welcome Chinese
investments into the U.S. market, especially in the high-tech arena. Three major
factors account for this reluctance: (a) the belief that the Chinese government
unfairly manipulates the value of its currency; (b) the belief that intellectual
property and privacy is not respected in China; and (c) the belief that the Chinese
government unfairly subsidizes its exporters.
It is open to dispute whether buying foreign companies is the best way for
Chinese enterprises to succeed. But the trend is irreversible for China’s
investment in developing and developed economies to continue to grow. In
January 2011, Lenovo demonstrated its insatiable ambition for growth again—it
is partnering up with Japanese computer maker NEC for a “strategic alliance.”71
For some countries, China’s growth is formidable. They say that Napoleon was
70 See Note 37.
71 Vlad Savov, “Lenovo and NEC partner up to become Japan's biggest PC
vendor,” Engadget (27 January 2011), retrieved 1 April 2011
|