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Hewlett Packard Strategy Report

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Table of Contents Company Profile 1 Industry Environment 3 Competitors & Competitor Market Share 3 Products & Services Produced by Firms in the Industry 3 Which Strategies are these firms pursuing? 4 Porter’s 5 Forces 5 Threat of New Entrants 5 Buyer Power 5 Supplier Power 6 Threat of Substitutes 6 Rivalry Intensity 7 Strengths 7 Innovation 7 Size and Scale 8 Synergies among products and services 8 Brand name 9 Product manufacturing 9 Weaknesses 9 Acquisitions 9 Supply Chain Dependencies 10 Flat R&D spending and less patents 10 Financial Performance 11 HP vs. Industry 12 Non-Financial Performance 13 Opportunities 13 Cloud Computing 14 Emerging Markets 14 Supply Chain …show more content…

While Hurd was considered a decent CEO, a scandal emerged consisting of missing funds and legal issues which ultimately resulted in his resignation. HP brought in Leo Apotheker to replace Hurd as CEO. Unfortunately for the company, Apotheker proved to be an incompetent leader who did not know how to succeed in the market and deal with the press. In August 2011, Apotheker decided to utilize a “surprise press release” to announce that HP was planning to spin off from its PC business. As a result of this unexpected announcement, investor confidence plummeted as did HP’s stock price. After less than a year as CEO, HP’s board of directors fired Apotheker. Meg Whitman, the next CEO who previously ran eBay, unfortunately took control of a company which dropped 50% in corporate value. ("Leo Apotheker Dumped as HP CEO.")

Although Whitman possesses no experience in the IT industry, her past in politics and success at eBay has given HP hope that they can once again achieve sustained profitability. The company’s success will rely heavily upon the decisions made in the next few years.

Industry Environment
HP is a player in 4 different yet related industries. The four industries are the computer hardware/personal computing, computer software, IT services, and IT consulting industries. We will focus on the personal computer and tablet industry.
Competitors &

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