Porter's Five Forces Analysis of HP

This assignment examines Hewlett-Packard (HP) through the lens of Porter's Five Forces framework. It analyzes the industry structure, competitive forces, and internal factors influencing HP's position. The report identifies key threats and opportunities, highlighting the importance of innovation and customer attraction. Recommendations are made for HP to leverage its strengths and overcome challenges, emphasizing the adoption of latest technologies to maintain a competitive edge.

HP computers

Table of Contents
INTRODUCTION...........................................................................................................................1
5 PORTER'S FORCES....................................................................................................................1
RESEARCH ON HISTORY............................................................................................................3
MARKET SHARE ..........................................................................................................................3
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
HP Computers is the company which provides technology solution to the customers,
businesses and all forms of institutes. It is a well-known brand which also provides computer,
laptops and tabs. This is known as it solution which helps other companies to make effective
operation activities with the help of high advanced software. Present report is based on HP
computers which will describe the 5 Porter's Forces. This present report will discuss about the
competitors of the business sector which affects the company’s competitive advantages and
affect the market environment. Overall, it also explains that how company can maintain its
position in log term and explains about the competitive position of the company such as supply
chain, pricing of the services, brand value of the company etc.
5 PORTER'S FORCES
COVERED IN POSTER
RESEARCH ON HISTORY
HP Computers was established by Bill Hewlett and Dave Packard who are the classmates
at Stanford universities, HP established in 1993. The first product of the company was audio
oscillators, electronic testing items by sound engineers. There products developed in the Palo
Alto garage. The first customer of HP is Walt Disney who bought a number of audio oscillators
for testing the sound system. At the initial stage, company got enough popularity from the
customers (Rothaermel, 2015). There main aim was to provide quality of services to the buyers.
It had become the number one infrastructure support company in 2003 among world’s other
popular companies. They get popularity by providing the technical solution. They providing IT
consulting, IT services. Outsourcing, software application etc. the business coverage are covered
from the consumers, business and enterprise. HP provides its service in more than 170 countries.
Its best success objective is to set the goals and aim that provides consumer support and comfort
in working. They always follow the values of the company and customer services. Organisation
positioning to attempt and maintain the competitive advantage (Yunna and Yisheng, 2014).
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MARKET SHARE
The main objective of the HP computers is passion for customers, Customer loyalty,
Profit making, Growth and opportunities, buyers trust, achievements and contribution, speed and
agility, leadership capability, uncompromising integrity, global citizenship.
Information Technology in HP
HP is a leading Information Technology (IT) company. HP has recorded tremendous
position in the market (Zhao and et.al, 2016). In accordance with the analyst firm report that HP
increases there support service revenue from $7.889 billion to $8.028 billion in 2002 and 2003.
Overall, it enhances 6% structure of support services. It identified 450 IT services providers
which is categorised in the following categories.
 Major services in hardware maintenance and support services.
 Major geographical region and country.
 Platform and industry (Dälken, 2014).
HP takes lead in all categories and earn high brand image. It is well known for operating
IT services, data storage, networking infrastructure, software design etc. HP implemented the
high advanced techniques to take higher level of customer satisfaction such as Blade PC for st.
Peter's that if system meant that when a blade down, the system automatic would pick up the
active session. These techniques are unique and competitive as compare to other brands.
Information system in HP
HP is not only famous in IT sector they also contribute their part in information system as
well. They also provide some techniques to Defence Information System Agency (DISA) they
also provide service oriented architecture to deliver reliable kind of interoperability services.
These services of HP adopted by the companies for making planning, engineering, acquiring,
fielding, supporting. For which they get rewarded for that in 2005. They also provide SOA
services for the customers to use SOA life cycle to make attractive designs, build, integration etc.
it has collaborative partners who work with HP is BEA systems, J boss, Microsoft, Oracle and
SAP (Rothaermel, 2015).
Competitive advantage
Competitive advantage is the type of element in which company needs to invest on the
promotional activities to get the customer attraction. For that, company needs to manage their
profit and set average profit margin. It is the main objective of the very company to achieve the
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competitive advantage. Competitive advantage consists of two major advantage that is cost and
differentiation advantage
Cost advantage: In this cost advantage, company has to focus on the part where they
need to minimise their cost and try to achieve the objective at minim investing. For example, HP
can adopt the strategy here they provide high quality of laptops at cheaper rates in order to
maintain its competitive advantage. This approach helps to enhance customer’s attraction in
order to beat with rival companies (Pinto, 2015).
Differentiation competition advantage: this is the competitive advantage in which
company is liable to make product and services with different fractures or with advanced
services which makes difference in other products. Overall, it defines that company needs to
increase the value of customers and getting more profit for the company itself (Rothaermel,
2015).
How Competitive advantage helps HP computers.
HP is the most leading brand among all IT companies. The overall quarter revenue of the
company is $97.1 billion. HP maintains a wonderful record in the market in order to sustain the
best competitive advantage for the company growth. Sustainable competitive advantage has
given several benefits to the company in many ways. Competitive advantage of the company
gives higher revenue profit margin, customer attraction, customer support, enhance market
examination, enhance brand image of the company. It also helps to develop the market demand
for the computers. In 2006 HP record earns revenue about $91.7 billion as compare to its rival
firms. IBM with $91.4 billion. In the year of 2007 the annual revenue of the company was $104.
HP is become the first and largest company in the Computer sector. Overall, all the achievement
and advantage provides high advantage to the company in order to enhance the company
development and take product enhance strategy for the company. It becomes the largest seller of
Personal computers (Hatch and Howland, 2015). It is the global leader in the technology sector.
Besides, to gain more competitive advantage company needs to adopt the latest technologies and
unique idea through which they maintain its sustainable advantage in long term in the market.
All the benefits and success do not come by chance it comes by giving great input and
techniques for creating the best technique and information solution for the company.
Analysis of competitive advantage in HP Company.
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HP is the best company who know how to manage the sustainable business in the market.
Competitive advantage analysis of the HP computers is its value is the best way through which
they get maximum attentions and brand value (Mathooko and Ogutu, 2015). They committed
with the high advanced services. HP values helps to determine the competitive advantage of the
company. HP pioneers based on the corporate culture of critical opposites. They also adopt cross
functional concept through which they getting more advantages and competitive scope. They
make their employees more competitive and challenging rather than they used to hire employee
and give them particular role.
CONCLUSION
From the above discussion, it can be seen that organisation cannot achieve the target
without planning and certain objectives. It discussed about HP Computers and its 5 Porter's
Forces and company history research in which report explained the different facts of the
company which gives the importance of the company. Besides, it also helps to sustain the
competitive advantage of the company. Moreover, this present report recommends the company
to adopt the latest device and product in order to beat the latest technologies. Through this, HP
computers will get more customer attraction.
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REFERENCES
Books and Journals:
Asiedu, E., 2015. Developing Market as a Source of Competitive Advantage: The Role of
Management Tools. Elixir International Journal of Management Arts. ISSN, pp.36319-20.
Barney, J. B., 2014. Gaining and sustaining competitive advantage. Pearson higher ed.
Dälken, F., 2014. Are porter’s five competitive forces still applicable? a critical
examination concerning the relevance for today’s business (Bachelor's thesis, University of
Twente).
E. Dobbs, M., 2014. Guidelines for applying Porter's five forces framework: a set of
industry analysis templates. Competitiveness Review. 24(1). pp.32-45.
Hatch, N. W. and Howland, C., 2015, January. When Does Competitive Advantage
Improve Customer Welfare?. In Academy of Management Proceedings (Vol. 2015, No. 1, p.
18091). Academy of Management.
Johnson, G., 2016. Exploring strategy: text and cases. Pearson Education.
Mathooko, F. M. and Ogutu, M., 2015. Porter’s five competitive forces framework and
other factors that influence the choice of response strategies adopted by public universities in
Kenya. International Journal of Educational Management. 29(3). pp.334-354.
Pinto, J. K., 2015. Project management: achieving competitive advantage. Prentice Hall.
Rothaermel, F. T., 2015. Strategic management. McGraw-Hill Education.
Yunna, W. and Yisheng, Y., 2014. The competition situation analysis of shale gas industry
in China: Applying Porter’s five forces and scenario model. Renewable and Sustainable Energy
Reviews. 40. pp.798-805.
Zhao, Z. Y., and et.al, 2016. Competitiveness assessment of the biomass power generation
industry in China: A five forces model study. Renewable Energy. 89. pp.144-153.
Online:
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