Hp Change Management Harvard Case Study Solution

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Hp Change Management Case Study Solution and Analysis


Historically, the company's core consumers include the Original Equipment Manufacturers (OEMs), which utilized to sell Hp Change Management Case Study Analysis items withtheir own brand name. Its client circle includes Original Devices Manufacturers (OEMs), who utilized to offer Organization products with their own brand name. He repositioned Business as a worldwide brand name and educated his divisional supervisors to comprehend marketing and its significance.

Issue Declaration

Venture's transition from a product based to a marketing company is not going as smoothly as planned.Overcoming the unwillingness of divisional managers to include marketing efficiently is still a major obstacle. Developing a consistent brand identity across the whole world and using marketing techniques that finest fits the local culture is no easy job. The M-net program analysis have been really practical in determining the high and less possible growth locations, however allocation of resources appropriately is not well gotten among the managers. There is no agreement among the hierarchy regarding the very best fit future technique.
Executive Summary
Situational Analysis

Yun had a rather clear image in his mind about how Hp Change Management Case Study Solution can change from a low end to a high end product supplier. He knew that improvement can just be done through placing Org as a business using high-end items and this might only be done through high level of marketing.

In spite of having a clear vision about how to construct Corporation brand name, with a prospective support of its executives, Yun faced numerous marketing challenges in early years of its efforts.

One of the marketing obstacles for Yun was the understandings of executives about the value of marketing. They considered marketing and selling as same tools and thought that quality products do not needed marketing for increasing sales. As their focus towards marketing was quite low in their previous company practices, and the present marketing requirement was excessive high, the gap was too wider and to fill this gap with incorrect perceptions about marketing was quite tough for Yun.

Along with it the product range of the business was increasing with the ripening of brand-new item concepts by the R&D sector of Corporation. Yun had a challenge to carry out marketing preparation and to create marketing budgets for existing as well as for brand-new products from the very beginning, and this would take a huge time.

A substantial shift would be needed in current marketing expenses to build the Venture brand. This would result in increased marketing expenses for Venture and might interrupt the administration regarding increased costs, as they were unwilling to marketing expenses previously and an abrupt huge shiftwould make them disrupt.

Internal Analysis
SWOT Analysis

Hp Change Management Case Study Analysis strengths lie in its huge item portfolio. Corporation has biggest number of patents in the industry with overall number of 15499 patents approved in United States( USP).

Another strength of Hp Change Management Case Study Solution is its capability to develop ingenious products at a constant rate. It significant shows for the development and product creating of Org is that the business has actually gotten so many awards for its innovation and item design.

Unlike Apple and other rivals, Org is concentrated on producing devices which can be easily integrated with any kind of open source Operating System (OS) and software application. This provides Organization an edge over Apple devices.
Porter's 5 Forces Analysis
Company's ability to produce luxury items at low cost of production is also one of the major strength of Enterprise as it enables the company to record more market by providing quality products with cost control.


Hp Change Management Case Study Help weaknesses are hidden in the company's reliance on outsourcing software for its devices due to business's inability in establishing software application, unlike Sony. Corp also has low earnings margins as compare to Apple due to huge distinction in the costs of Apple and Venture with a much lesser difference in quality. The varied focus of the company due to large number of items in its portfolio, lead to the less efficient production and make the company unable to charge higher rates like Apple. The company is also inefficient in handling its patents and regularly faces the issue of patent offense.


Opportunities for Enterprise lie in the growing Mobile phone market and the company's performance in the market. It can increase its market share and profits from mobile phone as the company is rather efficient in cell phone market. Enterprise currently runs in about 80 nations and the company has a chance to increase its geographical growth by moving towards more emerging markets outside Asia. Enterprise can move towards acquisitions to get patents. It would allow the company to increase its product portfolio with an increase in its wealth.


The vibrant market environment of innovation industry posture a serious threat on Company's survival and force the company to spend much of its revenues share on R&D in order to endure in the long run. The marketplace saturation in industrialized nations i.e. saturation of mobile company is also a huge danger for the business's growth in the presence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Business uses quality products and has a quite rich portfolio which caters to various sectors. LCD and mobile phones are the greatest items of Venture, whereas DRAM is also not far behind in contrast of them.

• Laptops.
• Cellphone.
• Air conditioner.
• Personal computers.
• Disk drives.
• Washing machines.
• Fridges.
• Electronic cameras.
• Microwaves.
• Flash memory.


Hp Change Management Case Study Help utilizes both market competitive and market skimming prices strategies for its wide range of items. In competitive pricing it changes the cost according to the competition in order to acquire advantage, whereas, it uses market skimming strategy where the product has actually an included value and by selling a few items it can reach break-even.


It has among the best supply chain networks, with retail suppliers, their own sole distributors, E commerce channels like Amazon etc. All its products are prompt supplied to the selling location/ provided to the clients directly in case of online order.

Vrio Analysis
It uses both offline & online channels of promotion to market their products. Paid item ads, social promotion and digital advertisements are uses to produce awareness about Corp products.

Value Chain Analysis.

It's an analytical structure for recognizing business activities that add value or competitive benefit for the company.

Inbound Logistics.

It has among the most efficient and effective supply chain network and has over 2700 suppliers throughout different industries all over the world. Almost 80% of which is based in Asia and the remaining around the globe. For its inbound logistics it owns various logistics firms as it subsidiaries. It takes care of its providers and creates a harmonious relationship with them and even decreased their payment cycles to increase this relationship even more which adds value to their chain network.


Corporation's core competency is its mass producing it produces 90% of its products in-house. Divided into three different divisions its operations are specifically IT & Mobile Communications, Device Solutions and Consumer Electronic Devices. It is keeping operation hubs worldwide to even more add worth to its value chain network.

Outbound Logistics.

Its outgoing logistics system efficiency is among the main factors Hp Change Management Case Study Analysis is able to take on Apple. Company's own Electronic Logitec system plays a significant role in the outgoing logistics operations. It even performs the tasks of collection of payment, settling insurance claims, etc. on behalf of Company.

Marketing and Sales.

Attracting target customer attention towards the item is done through marketing and sales to communicate with them the value and competitive benefit the item offers. Hp Change Management Case Study Analysis marketing spending plan is continuously rising considering that they began their repositioning globally and will continue to do so as they are constantly seeking to broaden and invest in high possible development markets. The spending plan is invested in occasions, print and media ads, public relations and so on.

Company put their clients at the leading and continually make every effort to provide unmatchable consumer service standards. By adding a direct support line to call them 24 hours they have actually further increased the added value of Business service.


Hp Change Management Case Study Solution has diversified market segmentation, based upon its provision of large range of products to large number of customers. Enterprise target consumer sectors can be divided into 3 categories i.e. Hp Change Management Case Study Analysis IT and Mobile Communications, Corporation Consumer Electronic Devices and Company Device options.


Hp Change Management Case Study Help geographic division is based upon two criteria i.e. area and density. Company serves about 80 nations worldwide with its items supplied to Urban in addition to Backwoods of the nation. The Enterprise is also growing its worldwide presence and the business's flexibility in locating its plants motivates worldwide expansion of Business.


Enterprise produces products that can be utilized by both males and females. The target consumers for Company IT and mobile communication items have an age range of 18-65 with majority at a young or recently wed life cycle phase. Apart from it, Enterprise Customer Electronic devices are targeted to a consumer segment with an age variety of 25-65.


The psychographic division of Hp Change Management Case Study Solution s based upon the social class and the life style of the consumer. Venture target consumers on the basis of social class are mainly upper middle, middle and working class consumers, as Corporation sell items like mobile phone very little cheaper i.e. Motorola in addition to very little expensive i.e. Apple. It supplies quality items to middle level consumers at a somewhat high rate than others targeting the very same section.


Hp Change Management Case Study Solution bulk target consumers have distinct behavioural qualities. They are drawn in towards Corp since of its moderate prices with a degree of quality.

Quantitative analysis.

Sales of Hp Change Management Case Study Analysis has actually increased amazingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net earnings of.48 billion $ to 5.9 billion $. Digital media is the largest selling classification of Corporation with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales.

Qualitative analysis.

Whereas, the core strength of the business is presently making however long gone are those days when great items were offering themselves. Kim has already begun to reinforce the marketing activities of Org and extremely soon it will end up being one of its core strength like producing if not better.



Enterprise operates designs, produces and offer a large portfolio of consumer electronic devices. It runs in a very competitive environment and has effectively placed itself as the maker of quality items. So, the response is yes.


As, said previously that Hp Change Management Case Study Solution runs in an extremely competitive environment, which means all the business have comparable products. The answer for rarity is no.


Due to the nature of the industry, it is really simple for competitors to understand the performance of the items and quickly make their own designs. Yes, Venture is just behind IBM in signing up new patents yearly, however the advantage is very short term in this market.


Chairman Lee has completely turn-around Venture, from going nearly bankrupt during the Asian monetary crisis of 1997 to the top 25 business in the world. Certainly yes there appertains organization in the company and the results promote themselves.

External Environmental Analysis

PESTLE Analysis


Being an international brand spread nearly in every nation worldwide, bulk of the environments like U.S.A., Europe, China etc., are very conductive for its operations. It deals with some political pressures in less industrialized countries where law and order situation is not good. Latin American, African and some Asian countries fall in this classification, where political instability do have an effect on Hp Change Management Case Study Solution operations.


Purchasing power of clients is essential for companies like Venture to be successful and grow. Emerging markets like India, middle-eastern nations etc. supply growth chances, whereas, due to economic crisis even the customers of industrialized nations suffer badly. Hence it is extremely important for the business to keep an eye on the continuous economic circumstance of the country before getting in the market.


Multinational companies need to deal with different social and cultural problems during its operations in a foreign nation. Corp has also dealt with lots of issues however have embraced to the local environments of the majority of the nations extremely well. It has actually tailored its items, practices, policies etc. accordingly in order to be successful.


With an annual expenditure of 2.4 billion dollars in Research study & Advancement, and with constant ingenious product launches, Hp Change Management Case Study Solution is among the leading ingenious companies of the world. With a clear objective to be ahead of the rest when it pertains to technological improvements, Enterprise has increased to the no 25 of the top successful companies of the world.


Each nation has their own laws and policies, being an international company Enterprise need to strictly follow those laws in their jurisdictions. Failure to do so, will lead to serious legal repercussions. It has to study or employ a local law specialist prior to starting its operations in a particular country.


With the rising awareness among consumers about the ethical & ecological infractions of business, Org needs to make sure that it follows all the safety guidelines. Environmental damages, ethical misbehaviors are not appropriate and in some countries the repercussions can be really serious. On the other hand it needs to do some Business Social Duty practices to reveal the locals that it cares about their environment and people.

Porter's 5 Forces

Risk of Substitution

Danger of substitution for Corporation's each item classification is rather significant. Running in a very vibrant industry lead the company to deal with a high danger of substitution. Aspects for high danger of alternative for Hp Change Management Case Study Solution Smartphone consist of the existence of high variety of suppliers and Market saturation in developed nations, that make the expense of switching for consumers almost absolutely no. Alternative hazards for Corp visual display screen depend on the altering life style of clients. Consumers can change to watching visuals at home towards outdoor activities. In addition to it, Corp printing options products are threatened by the increasing attraction of customers towards cloud storage.

Rivalry Amongst Existing Companies:

The rivaly amongst Corporation and its close competitors is extreme. The significant reason behind this is the approach of market saturation in different number of item classifications, requiring Enterprise to present more ingenious features in existing products and brand-new ingenious items to preserve its growth. The major rivals for Hp Change Management Case Study Solution samrtphones include Apple, Motorola, LG, Nokia, Huawei, OPPO etc.

Hp Change Management Case Study Help has a vast supply chain consisting of about 2700 suppliers across the world.( Enterprise Sustainability Report, 2016) Provider's bargaining power for Company is low as Enterprise runs economies of scale and its orders are of potential size and worth. These substantial orders enable Company to negotiate prices with its providers. Due to incapability of Company to develop its own software application, it has to outsource its software application advancement to Google, which ends up being a potential provider of software for Venture, resulting in high bargaining power of Google. In many of Hp Change Management Case Study Help has a power to negotiate rates, however it provide substantial prices to its suppliers to construct a strong supply chain and to have strong relationships with its suppliers.

Bargaining Power of Buyers:

Market saturation in most of the item classifications likewise make the bargaining power of purchasers more intense in for Company. In spite of igh bargaining power Venture is quite capable of offering its items at a greater price than much of its rivals, due to high end quality product and a reasonable brand image.

Threat of New Entrants:

Threat of new entrants for Hp Change Management Case Study Help is rather low. Along with it, requirement of big proficiency and research study and development expenditures for survival in the market also make new entrants hesitant to go into in the market. Market saturation is likewise one of the barrier of entry in technology market.

Competitive Analysis

Organization's high product diversity provides it differentiation from its competitors. Unlikely to its close rivals including Sony, Intel and Nokia, who focus majority on a single item classification with Sony focusing on customer electronic devices, Nokia on cell phones and Intel on chips, Hp Change Management Case Study Solution had a huge R&D costs on all of its product categories which make it possible for the company to make prospective earnings from sales of almost all of its items.

The company ranks first in 4 item categories i.e. DRAM Chips, LCD Displays, Big Screen TVs and Microwave, in regards to international market share, among 8 various item classifications. Org was the global leader in producing DRAM, SRAM and NAND flash chips. Organization incomes from chips was less than Intel however its earnings from chips was growing faster than Intel and has actually grown close to the revenue levels of Intel, as given in the case Exhibit 2.

Along with the chips Venture mobile market was also flourishing at a high rate than its competitors i.e. Motorola and Nokia. Venture's mobile phone's sales growth was 51% as compare to Motorola with only 4% and Nokia with absolutely no sales growth. The major reson behind Business's high development despite of greater rates than Nokia and Motorola was the company's high-end quality cell phones.

Venture was likewise reaping the benefits from increasing market share of luxury LCDs as given in case Exhibition 3. The major factor, making the company allow to obtain the opportunity is its mass production at low cost. Sony was the biggest competitor for Hp Change Management Case Study Solution in LCD market, nevertheless, it had also begun joint venture with Organization in 2003 for LCD manufacturing, minimizing the competition for Business.

Porter's Competitive Method

Low Cost Leadership strategy of porter is fully implemented by Org the way they accomplish economies of scale by enhancing their core proficiencies of manufacturing. They constantly bring something innovative and new whether it's a product or a service.


Alternative Service 1

The Chief Marketing Officer (CMO) of Hp Change Management Case Study Help would develop a brand-new brand image by targeting the younger generation of the particular country. As, especially cellphones of Company are popular amongst the more youthful demographic.


1. It is the very best strategy to build Client Life time Worth (CLV) by producing a long-term relationship with clients. Develop commitment through providing value and profit for long-lasting, as research study has actually showed it is much cheaper to retain existing consumers than to bring in new ones.
2. Another pro of this option is that word of mouth spread quicker amongst younger individuals and which in turn will generate brand-new consumers for my products.


1. Old clients who were related to Corp prior to might not like this brand-new image the company is trying to represent.
2 It will incur additional expenditures to rearrange some products and it may not even bring success as the trends change extremely rapidly amongst the younger market.

Alternative option 2.

Organization has made making its core competency for the many part of their company and due to which its supervisors are not afraid to totally step out of their convenience zone. It would be done by setting up training workshops throughout which significance of marketing will be taught and numbers will be given. Failure to get the passing scores will get demoted. Marketing environment need to be created internally initially as genuine marketing begins inside the corporation.


1. Its pro will be that all the marketing technique fans will come out and also the opposite ones.


2. Its con can produce a really unhealthy environment in the office, as people frequently resist modification due to the fact that they fear it.

Recognize the very best alternative

Alternative is the finest as it clearly has more pros because as soon as a Consumer Lifetime Worth is built the business will benefit from it till that client is alive and has acquiring power. Plus, our target customers are the more youthful generation which are bound to live longer than the current old age people. Organization's primary goal is to produce commitment among its clients and make them redeemed it from them and even purchase their various products.

Application Plan

• Targeting younger generation through social marketing, producing a link with them like Pepsi finish with music. And set the expectations possible and practical.
• A team consisting of finest marketing and sales experts must be put together, and both views need to be taken into account prior to protecting the resources required to implement the plan.
• Thorough interaction of the plan must be done as it is extremely important for everyone to be on the same page to make it work.
• Tasks and timelines should be develop and interacted accordingly to each person responsible.
• The supervisor ought to use a dashboard which reveals the development of all the jobs which have actually been done or about to be done and by whom.
• The supervisor need to keep an eye on and keep a consistent check on the overall and individual efficiency.
Since any new trend or policy might come in due to which all the things currently planned have actually to be changed, • Everybody should be ready to adapt midway. It's better to have contingency plans currently prepared.
• At the end of the campaign the manager ought to communicate the results and if effective must celebrate with the group.


This modification the spending plan allowance of lots of supervisors and different countries were unhappy and argued however the analysis done by the program was accurate and revealed figures like North America and Russia development possible warranted a 35% allowance while they were receiving 45%. It truly assisted to fairly disperse the resources and catch more customers by spending more on ads on the high growth potential areas of the world.

Hp Change Management Case Study Help is a top 25 company worldwide now and plans to get ahead of Sony who sits currently at no. 20. Its constant investment in R&D and innovative practices have moved them to new heights but for them its' only the start and they want to be amongst the leading 3 brands on the planet. They entirely turnaround from practically going bankrupt during the Asian Financial Crisis to a world renowned brand, understood for quality and development. Their value chain and their core proficiency their manufacturing ability, along-with international brand name image building have seen their sales go from 16 to 44.6 billion $ from 1997-- 2002. With further growth in China and other emerging markets those numbers will just increase further in the future. Their marketing efforts should be directed towards younger group in the middle of the internal arguments about marketing and must produce Client Lifetime Value as it will not just provide benefits now however will continue to gain it till the consumer lifetime. As the cost of keeping the customer is more affordable than bring in a brand-new one.