Hp Case Study - Marketing Strategy Class

1794 Words Mar 3rd, 2007 8 Pages
Feb 22, 2007

Executive Summary

Hewlett-Packard (HP) is one of the largest technology companies in the world. Founded in 1939, HP employs nearly 88,000 worldwide, supports 540 sales and administrative offices, and distributes to more than 120 countries. HP is a technology solutions provider to consumers, businesses and institutions globally. The company offers IT infrastructure, global services, business and home computing, imaging and printing.

The case study reflects the appraisal of HP’s high performers, internal and external problems and the growth of the company’s future. We see their sales have grown but profits have fallen $230 million short. With a slow economy on the rise HP needs to find a solution to their growth
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All of these two competitors are focused on their industries.

Some of the opportunities HP figured out are by pursuing long-term visions that will create new markets. This includes the new HP Fiorina Way where she breaks the management into two sectors, front end and back end. The new structure boosts collaboration, giving sales and marketing executives a direct pipeline to engineers so products are developed from the ground up to solve customer problems. Another one is to come up with new e-services and then making the gear to deliver them. Couple other new innovations HP is thinking taking their company to the Web where they identified three solutions – the digital imaging effort to make photos, drawings, and videos as easy to create, store and send as e-mail. A commercial printing thrust aims to capture business that now goes to offset presses. And a wireless services effort might, say, turn a wristwatch into a full function. A net device that tracks the wearer’s heart rate and transmits that info to a hospital.

The threats HP posses are from its rival members such as Dell, Sun and IBM. The printing and imaging business is the company’s crown jewel. As HP becomes more heavily reliant on commoditizing markets like PCs and servers the company will continue to face margin pressure. HP's biggest threats on a system level looking at companies with a broad breadth of storage, servers, and professional
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