Management in the Computer World – Presentation

Management in the Computer World Hewlett-Packard, Dell, Lenovo and Gateway

Management in the Computer World Hewlett-Packard, Dell, Lenovo and GatewayChong ZiqiJoanne Tan Pei SanTeoh Choon Kit BrandonWong Pui Yung

Case SummaryGateway left the Australian, New Zealand, South East Asian market.

Slowdown of PC Market in 2001

Many tried retail networks but failed. Tried to follow Dell but unsuccessful

Markets have declined at a rate of 22%.

2001, the appearance of Windows XP was the beacon of hope.

Competitive Advantages

one of the largest organizations for computer products. ability to reduce costs as well as creating a supply chain of management system. provide famous direct selling and built-to-order approach known as just-in-time (JIT) strategy.

HP primarily an engineering firm.

HP merged with Compaq.

Different advantages as they merged together.

Provide a lower cost structure.

Increase account coverage and better competing power

Merging HP & Compaq, a better choice.

HP & Compaq have more financial support.

HP & Compaq can use the companys capital to cover up their extra expenses.

Can manage their value chains while being more responsive to customers.

Strategy AnalysisHP earning revenue but at a loss.

Dell dealing with problems professionally without problems, but theres still room to grow.

Lenovo strong in SEA, but not as strong in other places.

Going through the Growth Strategy of Product Life-Cycle Strategies.

SWOT Analysis For Dell

StrengthsWeaknesses1. Customization of product2. Brand loyalty of customers3. Business model focusing on direct selling1. Lacking of Research & Development2. Lack of retail stores3. Poor customer serviceOpportunitiesThreats1. Penetration of tablet market2. Patent acquirement3. Opening of retail stores1. Competition2. Declining of profit margin3. Market growth of smartphones and tablets

Abbreviated SWOT Analysis for HP

StrengthsWeaknesses1. 17% of International market share2. Strong printing and imaging software3. Brand name1. Weak presence in tablet and smartphone market2. Cant compete for acquisitions 3. Over dependent on printing servicesOpportunitiesThreats1. Penetration of tablet market2. Imaging and Printing Group3. Cloud platforms1. Competition2. Declining of PC market3. Technology change

It is good for Gateway if they decide to pull out of Australian and Asian market.

Current Strategic PlanSell computers directly to their customers in stores.

Inventory turnover faster

Earn profits efficiently

Invest their business

Remodel their stores interior design with a more modern high-tech motif.

Start up Gateway stores inside more than 1,000 OfficeMax stores.

Experience Gateway technology first hand

Built-To-Order

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