We've seen this kind of strategy in recent history by another struggling Taiwanese OEM, HTC Corp. (TPE:2498). In HTC's case the strategy proved a double-edged sword as much of the company's top level talent defected elsewhere. Some HTC executives even plotted to steal company secrets after the pay cuts were announced. We'll see how well it works out for Acer.Source: DailyTech
In a press release Acer writes:
Acer acknowledges missteps in the past on resource allocation, and the over expectation of ultrabooks and notebooks with touch panel. Although the products were leading in design they did not accurately fulfill market needs.
Taking immediate action, Acer will formulate its product strategy with more caution and implement precise production planning and inventory control. Senior executives have also taken voluntary salary cuts of 30% from January to share responsibility.
Acer executives take pay cut due to poor financial results
Posted on Monday, Jan 20 2014 @ 13:06 CET by Thomas De Maesschalck