H-P’s PC Chief Waits for Resolution

Key Points

Responding To Dynamic Business Challenges – Strategically & Operationally

The company has been facing a great competition from its rivals in production of PCs especially due to the changes in the IT sector with most of the major companies branching into mobile technology and production of other IT-related gadgets. The company has hence decided to have a spin-off from its normal task of PC production to a different sector of the business.

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Achieving Strategic, Sustainable Competitive Advantage In The Global Marketplace

The company has come up with strategies to improve its competitive advantage against its competitors as well as ensuring that it deals with up-to-date technology and market demand

Creativity, Innovation & Dynamic Change

The company is applying creativity and innovation into new and newly-publicized products that it is spinning-off into. These major improvements have then been characterized by a dynamic change from just PC producers to mobile technology.

Analysis

Hewlett-Packard Co. (HP) is a technology-oriented company engaging in production, distribution and sale of personal computers and other IT products. Over the past few years, the company has been faced by a serious competition from rivals, most of who have gone ahead and branched into mobile technology and production of other IT gadgets.

The company has also faced a major challenge since it has undergone major restructurings in its management with poor communication to the public concerning such changes, factors that have left the company at a situation where it has to put effort to maintain its market share no matter the challenges.

The company has undertaken different activities in efforts to be more successful. First, there has been a reorganization of its management, with the company seeking some of the best and most experienced people in IT companies to join the company and render their services there.

Also, this leadership has come up with strategies aimed at making the company more productive and competitive. There has therefore been a decision laid down for the company to spin-off from the PCs business it has been engaging in all along to the latest businesses in market including mobile technology.

Conclusions

The HP is a company that has established new strategies for its operations so as to ensure it maintains its market share and even attracts more people even as it is venturing into new business lines. The company has portrayed positive results in its productivity and sales even though there have been fears that customers have a misconception that the company may be about to crumble down due to the major changes in its organization.

The company is also being faced with the challenge of how to implement the proposed changes of a spin-off since it is not clear whether the new business line will be integrated into the computer productions and sales business or will be independent, requiring the current business to be operated as a separate entity of the company. This notwithstanding, the company has decided to maintain its branding since this is its strength and symbol of success and reliability to its potential customers.

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