Based on Porter’s strategic framework,analysing the strategy of HP

2. ●3 Major Business Segments
● Imaging and printing Systems
(1st in global printer market in 2001)
● Computing Systems
(4th in PC and server markets in 2001)
● Information Technology Services
(8th in global services market in 2001)

3. ●Threat of New Entrants (Barriers to entry): (Moderate)
●PC market-developing computing equipment
Economies of Scale
Low capital requirements
● Product differentiation
Rapid moving industry
Technology constantly improving
● Moderate customer switching costs
Transferring files
Standardization of most computer components
● Access to distribution channels
High for direct to customer
Internet and computer retailers
●Bargaining power of buyers: (low)
●Switching costs are high
● Low number of suppliers
● Suppliers operate with high fixed costs

4. ●Bargaining power of suppliers: (high)
● High number of customers who are fragmented
● A few larger suppliers
● Difficulty reproducing specialized technology
●Threat of substitutes: (Moderate)
● Switching cost for consumers would be high
● Frequent product introductions and continuous improvements
in price
●Rivalry: (High)
● High fixed costs
● Barriers for exit are high
● Constant changes to products and price
● Two big players hold the top two market share spots in the
computer hardware industry.(Dell & IBM)

5. Uniqueness perceived
by customers Low cost position
Overall cost
İndustry wide Differentiation
leadership
Particular Focus
segment only
Hp company strategy based on differentiation strategy.Because it is often charge
A premium price for its products or services in the market.It has better service levels
To customers,better product performance and has high quality hardware equipments.

6. It scan images of 3D objects and post it directly to the web.Stay connected with
innovative web connected printing.