Sun Microsystmes

8/7/2019 Sun Microsystmes

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Aditya Gupta

Anoop Shukla

Rahul Kumar

Saurabh SachdevaPGDM-2008-10-A

SUN MICROSYSTEM

Presented by:

Presented toPresented to:-:- Prof. JayantProf. Jayant

BoseBose


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Introduction

Founded By Andreas Bechtolsheim, Bill Joy, Vinod

Khosla Scott McNealy in 1982. Headquarters in Palo Alto, California. Operating in 150 companies with 35000 employees

worldwide.

Sun has emerged itself in Global Fortune 500companies.


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What is the case all about ?


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Suns mission,& Vision statement

Establish Starbucks asthe preEEeeeeemierpurveyor of the finestcoffee in the worldwhile maintaining our

uncompromisingprinciples as we grow.

Mission Solve complex network computing problems forgovernments, enterprises and service providers.

Vision Everyone and everything connected to the network.


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Performance & Growth of Sun

Sun reached $ 1 billion in revenue in 1988.

Net revenue in fiscal 1998 increased to $9.7 billion.

Companys revenues have grown an average of

34.1% annually company is generating 49% of the total revenues

from outside the United States.


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Java Technology Revolution

Sun introduced the first universal software

platform i.e. Java Technology.

Introduction of Java 2 software.

Sun licenses Java Technology to all major

hardware $ software companies.

More than 75% authorized Java centers facilities

help companies around the world implement Java

solutions.


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Rivalry:

MCROSOFT, IBM,HP, DELL, INTEL

New entrants :High & mediumentry barrier

Buyers:Govt.depart.Enterprises.ServicesProviders,

Substitutes

No substitutes

Supplier:

San Jose,Green Hills,

5 force

Model


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SWOT ANALYSIS

Strengths:R & D expenses 10.41% of net revenues.Direct & indirect Distribution.Introduction of Java Technology.Storage System has price Flexibility.

Open, participative management style.Collaborative relationship with suppliers.

Weaknesses: low revenue in IT service industry.

Low market Shares in mid range serves.Delay in introducing new products.Solaris was not user Friendly.Blindly acquiring the Companies.


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Opportunities:Acquiring the untapped market outside us.

Increase the product line thorough innovation.

Sun can come into WAP technology.

Threats:Intense competition.

Short PLC.

Employee retention .


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Star

Question mark

Cash cow Dog

Marketgrow

thrat e

Hig

h

Low

LowHigh

Sun Microsystems's BCG matrix

Storage & services,software

Server

Java Technology

Relative Market Share

Disastersequences

Success

Sequences


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The Frappuccinos

Key Success Factors of the Company

Technological Change.

Research & Development.

Brand Loyalty.

Product Innovation.

Superior Quality.

Price/ Value of the product.

Distribution Channel


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Sun Microsystems IBM HP

KEY SUCCESS FACTOR Weight Score Weighted Score Weighted Score

Score Score Weighted

ScorePRODUCT INNOVATION 0.15 3 0.45 1 0.15 4

0.6

MARKETING 0.05 2 0.1 1 0.05 2

0.1

TECHNOLOGICAL CHANGES 0.20 4 0.8 1 0.2 3

0.6SUPERIOR QUALITY 0.1 3 0.3 2 0.2 3

0.3

BRAND LOYALTY 0.1 3 0.3 3 0.3 3

0.3

PRICE/VALUE OF THE 0.1 2 0.2 4 0.4 2

PRODUCT 0.2

DISTRIBUTION CHANNEL 0.05 4 0.2 3 0.15 2

0.1

RESEARCH AND 0.15 4 0.6 2 0.3 3

DEVELOPMENT 0.45

MERGER AND ACQUISITION 0.1 4 0.4 1 0.1 3

0.3TOTAL SCORE 1.00 3.35 1.85 2.95

COMPETITIVE PROFILE MATRIX


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Corporate Governance of Sun Microsystems

Scott G McNealyCEO

Michael E Lehman--- CFO

Alan E BaratzPresident Java Soft.


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Sun Microsystems Corporate Strategy

Integration forward, backward and horizontal.

Market penetration.

Market development.

Product development.

Joint ventures.


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The Frappuccinos

Recommendations

Market development in Asian Countries.

Product Development.

Developing Java for cellular market.


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The Frappuccinos

Thank you

Sun Microsystmes

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