Dell faces significant competition as it tries for a share of the Chinese buying market. Lenovo is offering a low price, entry level computer:

“BEIJING — Lenovo Group Ltd. said Friday it will sell a basic personal computer aimed at China’s vast but poor rural market and priced as low as $199.

…Some 800 million people live in China’s countryside, where incomes average about 4,200 yuan ($560) a year but are rising at an annual rate of more than 10 percent.”

link: Lenovo to sell $199 PC in rural China

The market is obviously huge. The advantage may favor Lenovo, since it is based in Beijing. It is like a ‘home field advantage’ and Lenovo will compete fiercely to cater to its Chinese demographic.

Catherine Forsythe

Tags: lenovo, dell, personal computer, china, market share