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Microsoft Packard Faces Intense Competition Essay

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Intense competition
Hewlett-Packard faces intense competition in all its business segments in terms of price, quality, brand, technology, reputation, distribution, range of products etc. The company faces stiff competition in the PC market. The company has become the market leader in the PC segment in the third and fourth quarter of 2006, relegating Dell to the second position. With Michael Dell returning as Chief Executive Officer, Dell is likely to come back strongly and make a fierce bid for market leadership. Other significant competitors in the PC market include Acer, Apple Computer, Gateway, Lenovo Group and Toshiba Corporation. Moreover, Acer’s acquisition of Gateways has made it the third largest PCs supplier in the world. In some regions, the company faces competition from local companies and from generically-branded or white box manufacturers. The company’s competitors in enterprise servers and storage include broad solutions providers such as IBM, focused competitors such as EMC Corporation in storage, Dell in industry standard servers and Sun Microsystems in UNIX-based servers. The imaging and printing group’s key competitors include Canon USA, Lexmark International, Xerox Corporation, Seiko Epson Corporation, Samsung Electronics and Dell. Hewlett-Packard’s inkjet market share expanded as Lexmark and Epson discontinued their unprofitable printer bundling arrangements with personal computer and retail partners, under which printers were given free with PC
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