INTEL CORPORATION

STRATEGIES

By Group 2 :
Harpreet Singh Nitin Malik Rochak Khanna Saurav
Rawat Somyata Krishna Suchita Khanna
INTRODUCTION
 Integrated Electronics Corporation (Intel Co. Ltd.)

 World's largest semiconductor chip maker

 Started as a memory controllers company and switched to

microprocessors

 Unprecedented growth in PC market guided Intel to change

its business operations and domain

 Intel is a known household name today

Core Competency
Intel Corporation has three elements of its core competency:
 Underlying process technology
 Being able to manufacture in high volume
 Doing sophisticated high-volume design

This has helped the firm to achieve high brand loyalty and
speed to market
Important Strategic Alliances
 Emulex – technology initiative for processors
 Cisco – networking expertise
 Dreamworks – for created high end 3D animations
 Oracle – health care products
 Nokia – innovations in mobile computing devices, combine
the performance of powerful computers with high-
bandwidth mobile broadband communications and
ubiquitous Internet connectivity.
 Close partnerships with DELL, HP and Gateway
Product portfolio and strategies
Product Categories
Processors (core processors, atom
processors are the latest)
MotherBoards
Networking – Adapters for wireless
and Ethernet networks
Chipsets (enhanced capabilities for
audio, video and communication)
Consumer Electronics – media
processing, demodulators and tuners
Software Products – compilers, tune
analyzers etc.
Storage devices
Health systems
Strategies
 Continuously innovate so as to
make products hop between
introduction and growth stage
 Customized products –
Community PC (Intel India)
 Earlier Supplier Involvement
(Case of Applied Materials)
 High investment in R&D to
improve manufacturing process, to
ensure speed of delivery to market
 Adopts a preemptive competitive
strategy
Promotional Strategies
 Pull strategy – “Intel Inside Campaign”

 Global Events - Intel Developer Forum (IDF) & Intel Extreme Masters

 Corporate Responsibility Initiatives - Intel Teach Program and Intel World

Ahead Program

 Trade Shows - “Computex” in Tapei, “Consumer Electronics Show Las Vegas”

etc.

 Support Programs – Intel Software Partner Program

 Social Media – Intel Blogs, Inside Scoop, Software Network and Community
Discussions
Customers
Original equipment manufacturers (OEMs) and original
design manufacturers (ODMs) who make computer systems,
cellular handsets and handheld computing devices, and
telecommunications and networking communications
equipment

PC and network communications products users (including

individuals, large and small businesses, and service providers)

Other manufacturers, including makers of a wide range of

industrial and communications equipment.
Distribution Channel
IPDs VAR
(Inte s
(Valu
l
Inte e
Prod Adde
l uct d
Deal Resll
ers) ers)
 Partners with VARs (Value Added Resellers) - For instance Core
Corporation is leading VAR in Japan for Intel

 Helps in recruiting Deployment Value Added Resellers

 IPDs (Intel Product Dealers)

 Programs for channel members

- Intel Channel Partner Program
- The Intel Channel Conference

 SCQI (Supplier Continuous Quality Award) is awarded every year to

motivate quality from suppliers
Achieving Supply Chain Efficiencies
 Addressing uncertainty based on a planning approach consisting of
three methods; the Product Transition Index (PTI), the Transition
Playbook, and the Transition Dashboard

 Efficient capacity planning

 Open architecture standard called OPENSTAR* for semiconductor test

equipment is used

 Unified global procurement solution

 Use of automated data systems and tools - RosettaNet

Pricing
 Pays rebates and financial incentives to OEMs and dealers to
push Intel products. Has been accused of making such
payments illegally by AMD.

 Pricing is strongly driven and influenced by competition from

AMD - evident from the price cut initiatives taken by company
in mid 2009. The prices of five different versions of the Intel
Core 2 Quad processor were cut by as much as 40 percent

 Intel trims the price of its older generation product line while
introducing a new product so as to move out its inventory of
older version
Empowered employees and training
 Intel University - training courses offer in-person and online
opportunities for learning and applying new skills

 Tie ups with universities for carrying out R&D

- ParLab at UC Berkeley
- UPCRC at Univ. Illinois
- Intel Visual Computing Institute at Saarland
University

 Research@Intel Day - a yearly program conducted to

display newer technologies on which personals are working
Conclusion
 Intel’s strategy is to be at the heart of new developments in
home entertainment, security, medical care, etc.

Intel
THANK YOU…..