Competitive Advantage of Intel
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Intel is a US-based semiconductor company founded in 1968. It produces microprocessors, chipsets, flash memory and other products. Intel was initially successful with memory chips but lost market share to Japanese competitors in the 1980s due to stronger manufacturing capabilities. It exited the memory business in 1985. Intel transitioned its focus to microprocessors and used strategic branding and partnerships to dominate the microprocessor market, gaining over 80% share.
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The global shortage of computer chips is due to several factors including unexpected demand increases during the pandemic for consumer electronics, geopolitical tensions causing supply chain disruptions, and the difficulty and costs associated with chip manufacturing. The shortage is impacting global businesses, expected to increase consumer electronic prices and decrease automobile production. Key stakeholders in the chip industry include TSMC, Samsung, and GlobalFoundries, who are engaged in a competition that involves massive investments in manufacturing capabilities. Countries like the US and China are developing plans to bolster domestic chip production in response to the shortage and geopolitical concerns.
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The document discusses the transition from proprietary computing systems dominated by single firms like IBM to open systems defined by open standards. It describes how technological changes like the microprocessor lowered costs, allowing new entrants. This increased pressure for open and compatible systems. Early "open" systems like Unix gained adoption through large developer communities and compatibility. Competition then occurred between different open systems through strategies like proprietary extensions, alliance shifting, and achieving full interoperability between hardware and software.
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The document discusses the transition from proprietary computing systems dominated by single firms like IBM to open systems defined by open standards. It describes how technological changes like the microprocessor lowered costs, allowing new entrants. This increased pressure for open and compatible systems. Early "open" systems like Unix gained adoption through large software markets. Later, "super-compatibility" strategies and shifting alliances led to competition between open systems, with Microsoft/Intel eventually dominating the personal computer market.
Open computer systems
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market analysis on semiconductor manufacturing companies
The document analyzes the semiconductor manufacturing market, focusing on key metrics for the top 10 companies. It provides market share details, comparing revenue, employees, and revenue per employee. Texas Instruments is among the top companies, holding the 5th position in market share and revenue. Charts and data from Weka and SPSS tools are presented to analyze Texas Instruments' performance.
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[To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
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Competitive Advantage of Intel
- 1. Competitive Advantage b y A d i t y a P r a t a p S i n g h | 1 7 5 S M 0 0 3 P r a j n a P a l l a v i | 1 7 5 S M 0 2 0 R a s h i q u e S | 1 7 5 S M 0 2 2
- 2. Intel Corporation is an American MNC headquartered in California. Founded on 18 July 1968 by Gordon Moore & Robert Noyce. It is the world's largest semiconductor chip maker. Manufactures IC’s, graphic chips, embedded processors etc. Introduction
- 4. Challenges Faced Litigation Reduction in market share Decline in PC market Emergence of Smart phones Threat from Hyper scale
- 5. Brand name Regular updates R&D and Manufacturing integration Able to leverage its manufacturing capacity Sets high standard in high-quality lean production Competitive Advantages
- 6. Strategies Involved- The Tick Tock Model Every micro architecture change is followed with a die shrink of the process technology. Every "tick" represents a shrinking of the process technology of the previous micro architecture. Every "tock" designates a new micro architecture. One tick or tock is expected every 12 to 18 months.
- 7. Conclusion Some companies dominate an industry, fail to innovate, and fall into irrelevance, others have great ideas but never manage to capitalize on them. The company that can leverage intellectual firepower with commanding market share is the company that can stay both powerful and relevant for decades. Intel is the archetype, and is situated to continue to be, well into the future.
- 8. References • https://www.investopedia.com/articles/insights/062016/buffetts-moat-intels- competitive-advantage-sustainable-intc.asp • http://businesscasestudies.co.uk/intel/using-innovation-to-create-competitive- advantage/competitive-advantage.html • https://www.bartleby.com/essay/Competitive-Advantage-Case-Study-Intel- Corporation-F3C7TUGATC • https://brightkite.com/essay-on/competitive-advantage-case-study-intel-corporation • https://en.wikipedia.org/wiki/Intel
- 9. THANK YOU