Swot

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Octavia Brown MGMT303 – Professor Runyon July 29th, 2011 SWOT Analysis Introduction Hewlett-Packard is a global technology company that provides various products, software, and services to a range of customers, including data storage, servers and solutions to business customers as well as a consulting services segment that offers information technology integration solutions for a range of technology issues. After its merger with Compaq, it became the world’s biggest computer hardware company, ranking number 20 in the Fortune 500 list. HP is doing business in more than 170 developed and under-developed countries. Being a large company gives HP many advantages such as dominating the market for printers (laser and inkjet), both…show more content…
HP has a long history of innovation in the area of mobility including a broad span of products from handhelds and notebooks to fault-tolerant servers, which form the backbone of the telecommunications industry. The company has a leadership in public and wireless local-area networks which enables HP to integrate its printing products and software using Bluetooth technology so that people can even print from their mobile phones. The company also focuses on Internet-protocol (IP) telephone technology to leverage networks for voice and video communication that drives cost savings for service providers and customers which is an important strength among competitors. (W) Weaknesses Hewlett-Packard’s majority of earnings are coming from its printing supplies division. This makes the company’s total earnings extremely sensitive to this segment which is a potential weakness for the company. HP also lost shares in the PC and server markets in 2002 and 2003 while its top competitors Dell and IBM increased their shares in the same period. The company’s profitability is currently very low at the server and storage markets. Some analysts evaluate HP’s weak peformance as signaling a trend for IT spending (Rivlin, 2004). (O) Opportunities HP expects recovery in the personal computer market during 2004. The company launched more than 150 products between 2003 and 2004. Product launches are

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