Phase 1 IP

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SWOT Analysis: Hewlett Packard
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In today’s technological windfall, the
opportunities are plenty for this giant. Two
words come to mind, technological innovation.
Research and development is the key to the
future opportunities of Hewlett Packard. The
company has been innovative over the past 70
years to get to where they are today, but one
can never rest. To be innovative and keep their
market share, Hewlett Packard must introduce
new and upgraded products.

What is the biggest threat that Hewlett Packard is
up against today? The economy. Just this month
alone, MSNBC has reported a worldwide market
meltdown. (MSNBC 2008) What does this mean
for Hewlett Packard? Plenty. If large businesses
such as banks have Hewlett Packard equipment on
lease or purchased the products over time, once
the company folds due to the economy, who will
pay the bill? How many company closings will it
take before Hewlett Packard sees a significant
decrease in their profits and market share? Over
time, the market will dictate the stability of
Hewlett Packard.

Hewlett Packard has both. Hewlett Packard has the
competitive advantage and competitive strategy.
How? Today any one can make a purchase with the
click of a mouse. Families can have face to face
conversations half way around the world. Wireless
technologies have made it possible for passengers on
airplanes to watch any show he or she wants to 37,000
feet above the ground. This is all done through
advantage and strategy. The company’s competitive
advantage lies in the printing supply division. As
stated previously in this paper, no other company can
touch Hewlett Packard when it comes to printing. This
in itself gives Hewlett Packard the competitive
advantage.

The product I find to be the most advantageous to the
firm is the all in one copier, fax, printer and scanner.
This product is such innovation and very cost effective.
The average all in one starts in the $99 range, making
the product affordable to all. Small business can have
such a machine for one price. A student can also own
the all in one without breaking his or her budget.
Moms can use to scan photos of baby for emails; dad
can fax business documents to clients after hours and
on weekends; sis can print out the latest high school
fads and the list goes on. According to the company’s
website, Hewlett Packard is reporting 98% increase in
sales for the first year of production. (Hewlett Packard
2002)

New strategic alternatives are nothing new to Hewlett
Packard, as the company’s history has proven. The
company should begin research on opening operations in
Iraq. Why Iraq? When the war is over, land will be cheap
and labor costs low. The area will welcome the business
and the residents will have an opportunity to learn and
grow. Some might say this will not work, but we must look
at other former war zones which are now profitable for
companies. Cannon camera company has a plant in
Vietnam. LG Electronics has a manufacturing plant in
Korea. Citizen Watch Company has a plant in Japan. These
countries were war zones at one time or another. If Hewlett
Packard ceased the opportunity, after the war, the company
can expand affordably and pass the affordability of new
products on to the public. This is a winning situation all
around.


In closing, Hewlett Packard is a successful
company and has been since inception. The
founders wanted to make quality products and
they did. The founders wanted to share the wealth
with their employees, and they did by offering
stock options.
Through innovation, Hewlett Packard is the leader
of technology. Through leadership, the company
has stood the test of time. Through strategic
alternatives, the company will expand and grow to
new heights. Hewlett Packard is the perfect
example of the American dream.

Gois, O. (2008) World Markets Tumble after Hugh US Loss, Associated
Press retrieved from
http://www.msnbc.msn.com/id/27107914/
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Hewlett Packard Corporate Website (2002) HP Leads Market Shift to AllIn-One Printers,
retrieved from
http://www.hp.com/hpinfo/newsroom/press/2002/020826a.html
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Hewlett Packard Corporate Website 2008, Online Media Services
retrieved from
http://h71036.www7.hp.com/hho/cache/532676-0-0-225-121.html
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Miller, L. (2008) Hewlett Packard’s Profits Jump 14 Percent, Associated
Press retrieved from
http://www.msnbc.msn.com/id/26309785/
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