Political environment consists of regulations, government policies and laws. These factors usually restrict and influence the management behavior of the enterprise, especially in the long-term investment behavior. For example, Leno is one of the largest computer company in the world. However, because of the policy of its home country supports the development of modern high science and technology, that encourages Leno to improve new information technology application, cloud computing and so on.
Also, China encourages exportation, which means that Leno can successfully enter into the oversea markets. The state council of China actually set up a new policy which includes the implement of software value-added tax preferential policies; and for those eligible enterprises, they shall be exempted from business tax. By complying such supportive policies, Leno could reach its success in oversea markets.
Economic environment Economic environment refers to the social economy and national economic policy which constitute the corporate survival and development; these are the factors that influence consumer purchasing power and consumer behavior, which include the increase of income. Leno provides to clients their award-winning Thinking laptops, Ethnocentric desktops, and equipped Thanksgiving Technology software. Leno PC products reach its market share nearly a third, only in China.
On the other hand, the global PC market became atrophic after year 2009. Due to the external demand growth decreases, the export growth of computer products is slower, especially the laptop exports. However, within recent two years, the economic environment has come well than before, Leno should look forward a good future. Socio-cultural environment Social and cultural factors Society provides the framework for human behavior and conduct.
Culture is the sum total of the inherited ideas, belief, values and knowledge that make up the basis of social action. (Making”o J. Et al, 2001. P. 180) Within the development of economy and rapid popularization of Internet, it promotes a stable demand growth of computer, especially the demand of laptops. No matter from physical consumption or from the value of consumption, consumer’s purchasing rower has a huge enhancement. The development of economy helps an increase of personal income, that also affect the increase in consumer demand.
Moreover, the demand of spirit culture and entertainments is increasing as well, which helps to provide a larger development space for computers. Technical environment New technology can produce new industry or damage some industry. So company take new technology in time is very important. Taking new technology is good for competition and improves management. Companies that do not stay up to date will soon find their products and services outdated. They will miss all of the great opportunities and markets that technology brings. Marketing, 2005) Although, most C products are using Microsoft and Intel technology as their system. But the market situation in the world has been influenced by Apple with its MAC system. MAC system has shaken the WINTER alliance, it seems like that the new pattern is forming. Eleven should not only focus on its PC products, but also put more efforts to develop its mobile phone industry, and put more attention in the future development of information technology, in order to gain more market share.