HCL

TABLE OF CONTENTS
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♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ EXECUTIVE SUMMARY LITERATURE REVIEW COMPANY PRIFILE SCOPE OF THE STUDY OBJECTIVE OF THE STUDY RESEARCH METHODOLOGY DATA ANALYSIS & GRAPHICAL INTERPRETATION MAJOR PLAYERS IN THE MARKET COMPETATORS OF HCL ROLE OF ADVERTISMENT MARKETING STRATEGIES FUTURE SCOPE MANAGEMENT HIERARCHY KEY PARTNERSHIP MARKET SHARE MARKETING & SELLING STRATEGIES CHANGING TRANDS DECISION MAKING PROCESS CRM SWOT ANALYSIS FINDINGS & LIMITATIONS SUGGESION & RECOMMENDATION CONCLUSION BIBLIOGRAPHY

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7 8 9 10 11 12 14 28 29 35 36 37 38 39 40 42 43 46 47 49 51 52 53 54

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Born in 1976, HCL has a 3 decade rich history of inventions and innovations. In 1978, HCL developed the first indigenous micro-computer at the same time as Apple and 3 years before IBM's PC. During this period, India was a black box to the world and the world was a black box to India. This micro-computer virtually gave birth to the Indian computer industry. The 80's saw HCL developing know-how in many other technologies. HCL's in-depth knowledge of Unix led to the development of a fine grained multiprocessor Unix in 1988, three years ahead of Sun and HP. HCL's R&D was spun off as HCL Technologies in 1997 to mark their advent into the software services arena. During the last eight years, HCL has strengthened its processes and applied its know-how, developed over 28 years into multiple practices - semiconductor, operating systems, automobile, avionics, bio-medical engineering, wireless, telecom technologies, and many more. Today, HCL sells more PCs in India than any other brand, runs Northern Ireland's largest BPO operation, and manages the network for Asia's largest stock exchange network apart from designing zero visibility landing systems to land the world's most popular airplane.

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the company was out selling its major competitors.83 Lacs. 1976 HINDUSTAN COMPUTERS LIMITED was incorporated as joint venture between the entrepreneurs and UPSCE.HCL Infosystems Ltd is one of the pioneers in the Indian IT market. across a range of technologies in India.” Quality Policy Statement 4 . we have developed and implemented solutions for multiple market segments. Micro comp marketed calculators and with in a few month of starting operation. with its origins in 1976. For over quarter of a century. inventory levels.1. wastage. SCOPE OF THE STUDY Vision Statement “It is the most preferred employer and principal taking leading edge IT products and services to the masses through sustained excellence.” Mission Statement “We shall increase the shareholders value by improving the PAT through free cash flow. We have been in the forefront in introducing new technologies and solutions. they started to capitalize on their marketing skills. reducing the BR cycle. On 11th August. In the early 70’s a group of young and enthusiastic and ambitious technocrats embarked upon a venture that would make their vision of IT revolution in India a reality. wit an initial equity of Rs. Shiv nadir and five of his colleagues got together and 1975 set up a new company MICROCOMP to start with.

” OBJECTIVES OF THE STUDY Management Objective To fuel initiative and foster activity by allowing individuals freedom of action and innovation in attaining defined objectives. which they make possible. Innovation and growth in every endeavor 5 . People Objective To help HCL Insys people share in the company’s success. Core Values ♦ It is uphold the dignity of individual ♦ It is honour all commitments ♦ It is committed to quality. to provide job security based on their performance. every time.“We will deliver defect-free products. to recognize their individual achievements and to help them gain of satisfaction and accomplishment from their work. services and solutions to meet the requirements of our external and internal customers the first time.

♦ It is responsible Corporate Citizens. 6 .

journals. DATA COLLECTION The researcher collected information through the official websites. newspapers. The research frame included: NATURE OF STUDY The project on which the researcher worked is descriptive and inferential in nature. • PRIMARY DATA is collected through questionnaire. RESEARCH DESIGN • Determined the Information Sources: The researcher gathered data through secondary sources. • SECONDARY DATA is being search sites like magazines.RESEARCH PROBLEM • HCL Corporate selling and feedback and market share of HCL and compared to other IT companies. magazines and journals. websites and the data has been collected through other approaches. search and research through place where today's computer has been mostly used. DEVELOPED THE RESEARCH FRAME: This included deciding upon various aspects for the project on which the entire research is based. 7 . • The business of HCL and the company through its researchers wants to know the potential in order to expand and retain its market share.

Secondary sources being interaction with various IT people of the selected and has been chosen for the research by the researcher. INSTRUMENT USED The researcher for the research used a Questionnaire cum Schedule for market research for both the segments horizontal and vertical. It counts to 55. Secondary sources being the internet as the medium and the official sites of the companies of IT sectors and corporate selling and feedback of HCL. SAMPLE SIZE Sample size for the research is fixed. That is the HCL companies and corporate selling and feed of HCL in comparison between other IT sectors. 8 . The Questionnaire was prepared by the researcher and Schedule was provided by the company in which the researcher did its research report.DATA SOURCE: The researcher took the help of both primary as well as secondary sources.

MAJOR PLAYERS IN THE MARKET            HCL DELL IBM SAHARA APPLE HP-COMPAQ ZENITH ACER IN T E X SONY O TH E R S 9 .

Sahara Systems Pty Ltd. and Annex Distribution Pty Ltd. 10 . the U. company boast an annual turnover over 1. and is based in Johannesburg. including Nairobi & Mombassa in Kenya and Botswana. affordable communication technology and infrastructure. For the deal Sahara Holdings sold 27% of their shares to a newly established consortium represented by mining and mineral resource Group Mvelaphanda Holdings (Pty) Ltd. Owned by Sahara Holdings group.. representing key product and component ranges. chaired by Tokyo Sexwale.SAHARA COMPUTER Established in 1997 Sahara Computers assembles and markets computers & peripherals through a global distribution network that covers established and emerging markets. and Afripalm Consortium.4 billion Rand.. the Sahara business network stretches across South Africa to include Cape Town. South Africa. a local investment company chaired by Lazarus Zim. It is the competency and dynamic attribute of Sahara Computers that has won it the confidence of many major IT suppliers. This venture signals a new era in the transference of the benefit and value associated with technology. Sahara Consumables Pty Ltd. a fully Broad-Based Black Economic Empowered entity. Sahara Computers is currently the largest operation of its kind in Southern Africa. The company is owned by Sahara Holdings. Dubai. The company has established a strong presence globally. An accredited member of the Proudly South African campaign.. Sahara Holdings strictly adheres to the principles of Broad-Based Economic Empowerment and established itself among the frontrunners of empowered organizations within the ICT sector when it confirmed its participation in an empowerment deal valued at R640 million in 2006. Durban & Port Elizabeth. through to communities and individuals.K and China. The deal incorporates subsidiaries and associates of Sahara Holdings including Sahara Computers Pty Ltd. It is the official distributor and Original Equipment Manufacturer (OEM) for a variety of top international vendors. with offices across EMEA. Sahara Distribution Pty Ltd. It also reinforces Sahara’s pledge to provide access to high quality.

total network solutions provider. leading hard disk and storage solutions provider. high quality printing industry giants. the global leader in software. With vast expansion goals set to by the Sahara team. Intel. Thus.2GHz HT CPU 800FSB Genuine Windows® Media Centre Edition 512MB PC533 DDR2 Memory 160GB SATA 7200 rpm hard drive AMD Athlon64 ™ 3500+ 939-Pin Genuine Windows® XP Professional Edition 512MB PC400 DDR 160GB 7200rpm 16X Dual Layer DVD Writer Intel P4 .0GHz CPU . the fastest growing CPU vendor.These Include Internationally Renowned Leading Brand Names Such As: Microsoft. technology giant. Symantec. global leader in PC entertainment products. world leader in internet security. Foxconn. SMC. and a strategic roadmap plan for expansion this multinational group of companies is set to be an explosive force in the future of IT in Africa and Asia. Maxtor. world’s leader in PC microprocessors. SAHARA PROFESSIONAL PC:DT-7120FE Processor OS Memory VGA & Graphics Hard Drive Optical Drive 160GB 7200rpm 16X Dual Layer DVD Writer AMD Athlon64 ™ 3500+ 939-Pin Genuine Windows® XP Professional Edition 512MB PC400 DDR SAHARA WINDOW PC’S:Processor OS Memory Hard Drive Optical Drive Intel LGA775 541. Indeed aiming to be ‘The ultimate in PCs’.630 ® 3.LGA775 2MB +XD+EIST+EM64T Genuine Windows® XP Professional Edition 512MB PC400 DDR 160GB 7200rpm 16X Dual Layer DVD Write 11 . 3. services and peripherals. a leading manufacturer of connectors and cable assemblies in the world. Creative Labs. Samsung. AMD. and Epson and Lexmark.

66Ghz CPU LGA775-EMT64T Linux 256MB PC400 DDR DT7120-FC AMD Athlon64 3500+ 939-Pin Genuine Windows® XP Home Edition 512MB PC400 DDR 12 .SAHARA AMD PC’S:Models Processor OS Memory VGA & Graphics Hard Drive Optical Drive 160GB 7200rpm 16X Dual Layer DVD Writer 160GB 7200rpm 16X Dual Layer DVD Writer AMD Athlon64 ™ 3500+ 939-Pin Genuine Windows® XP Professional Edition 512MB PC400 DDR DT7120-FC AMD Athlon64 3500+ 939-Pin Genuine Windows® XP Home Edition 512MB PC400 DDR SAHARA VALUE PC’S:Models Processor OS Memory VGA & Graphics Hard Drive Optical Drive 40GB 7200 rpm 52X CD-RW Drive 160GB 7200rpm 16X Dual Layer DVD Writer DT2510-C2 Intel Celeron-D 331J 2.

This direct business model eliminates retailers that add unnecessary time and cost. Dell was founded in 1984 by Michael Dell. workstations. easier to use and more affordable. Dell could best understand their needs and efficiently provide the most effective computing solutions to meet those needs. placing it No. Dell also introduces the latest relevant technology much more quickly than companies with slow-moving. 25 on the Fortune 500. This global reach indicates our direct approach is relevant across product lines. indirect distribution channels. Dell sells more systems globally than any computer company. richly-configured systems at competitive prices.9 billion and the company employs approximately 78. printers and other electronic accessories. The Dell Effect For more than 20 years.700 team members around the globe. regions and customer segments.DELL COMPUTER Dell Inc. Dell has revolutionized the industry to make computing accessible to customers around the globe. including businesses. The direct model allows the company to build every system to order and offer customers powerful. giving customers the opportunity to take advantage of powerful new tools to improve their businesses and personal lives. listens to customers and delivers innovative technology and services they trust and value. 13 . or can diminish Dell's understanding of customer expectations. standardized product categories. such as network servers. institutional organizations and individual consumers. turning over inventory in just five days on average. Uniquely enabled by its direct business model. Revenue for the last four quarters totaled $57. Because of Dell's direct model—and the industry's response to it—information technology is more powerful. The company is based on a simple concept: by selling computer systems directly to customers. Dell has demonstrated this effect time and again as it enters new. Nearly one out of every five standards-based computer system sold in the world today is a Dell. mobility products. Dell's climb to market leadership is the result of a persistent focus on delivering the best possible customer experience by directly selling standards-based computing products and services. the longest-tenured executive to lead a company in the computer industry.

This was the first of the Compaq Deskpro line of computers. House of Pies. 14 . It was considerably faster than an IBM PC and was. being capable of running all software that would run on an IBM PC.The company was formed by Rod Canion. In November 1982 Compaq announced their first product. Jim Harris and Bill Murto — former Texas Instruments senior managers. Compaq released the Compaq Deskpro 286. as at its formation Compaq produced some of the first IBM PC compatible computers. 1980s Compaq was founded in February 1982 by Rod Canion. It was considerably faster than an IBM PC AT which ran at 6MHz at that time and was. Once the largest supplier of computing systems in the world. The name "COMPAQ" was derived from "Compatibility and Quality". also capable of running IBM software. the original Compaq PC was first sketched out on a placemat by the founders while dining in a local Houston restaurant. It was the second IBM PC compatible. also capable of running IBM software. like the Compaq Portable. a 16-bit desktop computer using an Intel 80286 microprocessor running at 8 MHz and capable of supporting up to 7 MB of RAM. a portable IBM PC compatible personal computer.Compaq Computer Corporation was an American personal computer company founded in 1982.14MHz. considerably more affordable than competitors at the time. The Compaq Portable was one of the progenitors of today's laptop. previously regarded as perhaps the most reputable manufacturer of mid-range hardware it existed as an independent corporation until 2002. a 16-bit desktop computer using an Intel 8086 microprocessor running at 7. Deskpro 286 In 1985. and now a brand name of Hewlett-Packard.000 to form the company. Each invested $1. when it merged with Hewlett-Packard. It was released in March 1983 at $2995. like the Compaq Portable. Deskpro On June 28th 1984 Compaq Released the Compaq Deskpro. Jim Harris and Bill Murto. Their first venture capital came from Ben Rosen and SevinRosen partners. It cost $2000 for the 40-MB hard disk model. Like many small startups with unique beginnings. the Compaq Portable. three senior managers from semiconductor manufacturer Texas Instruments.

An IBM machine eventually reached the market seven months later. who were not yet using this processor. a tablet notebook 15 . but also the first product to feature the EISA bus which was designed in reaction to IBM's MCA (MicroChannel Architecture). most notably IBM and Packard Bell. Compaq became the first first-tier computer manufacturer to utilize CPUs from AMD and Cyrix.Systempro This technical leadership and the rivalry with IBM was emphasised when the Systempro server was launched in late 1989 . PC Products Compaq Armada M300 Compaq Portable Compaq Deskpro Compaq LTE Compaq Presario Compaq ProLinea Compaq ProLiant Compaq Armada Compaq Evo iPAQ Compaq Professional Workstation AP400 Tc1000.this was a true server product with standard support for a second CPU and RAID. and was one of the first manufacturers in the mid-1990s to market a sub-$1000 PC. from this market. The price war resulting from Compaq's actions ultimately drove numerous competitors. in the early 1990s Compaq entered the retail computer market with the Presario. 1990s At the same time as they began to dominate the server market. In order to maintain the prices it wanted.Deskpro 386 When in 1986 Compaq introduced the first PC based on Intel's new 80386 microprocessor. they began a period of increasing performance leadership over IBM. the Compaq Deskpro 386[1]. but by that time Compaq was the 386 supplier of choice and IBM had lost its image of technical leadership .

7 Million units.5% increase from 2006.Worldwide (2006)”. “Emerging markets and mobile PCs will continue to provide growth. said Gartner India’s principal analyst.5% from last year to reach 255. research director with Client Platforms Markets Group of Gartner Dataquest. As said by IDC. Diptarup Chakraborti while commenting on Indian market.” 16 . The statement appeared in IndiaTimes Infotech on March 21. IBM has signed Saif Ali Khan to endorse his products Shahrukh khan was endorsed by compaq so that more & more computes can be sold out. the revenues are anticipated to grow just 4.7 billion. Indian PC Market to Show Double Growth than the World PC market in India will likely grow at 20%. overtaking sales in the desk-based segment.ROLE OF ADVERTISEMENT Advertisement plays an important impact on consumers to purchase destop pc’s of brands. the growth in Indian PC market will be five percentage-points lower in comparison to what it was last year (2006).7 million units worldwide this year. In 2007. the government spend is expected to propel the market further”. worldwide shipments of PCs are expected to increase 10. with a greater focus given to e-governance. almost double of global PC market this year. 2007. However. In addition. High demand for mobile PCs bolstered the growth. and further declines in mature market desk-based PC shipments will keep PC vendors under pressure to rationalize their operations or exit the market. Now a day we see that each and every company endorsing brand ambassadors so that to attract customers and make their customer base more & more. a 10. Emerging markets will play a key role in this growth.6% to US$213. 2007. as average selling prices continue to drop.” as per George Shiffler.7 Billion with continuous decline in average selling prices. slowing replacement activity. as per Gartner. “The consumer and the SMB segments will be the major drivers of the Indian market. the research firm. falling average selling prices (ASPs). As per the RNCOS report “Portable Electronics Market .6% and reach US$ 213. However. is projected to increase only 4. PC shipments in India increased 25% in 2006. On the other hand. Gartner forecasts that PC makers will ship 255. IndiaTimes Infotech published this statement on March 21. Revenue. on the other hand. “A fundamental move toward mobile computing going on in the market is making significant contribution to the top line growth.

Sahara. Now it has launched the software for the masses. i. better search. Vista is being shipped in 18 languages including Hindi. The consumer launch took place on 30th January across 70 countries. The consumer editions are Windows Vista Ultimate.Marketing Strategies of Each company to attract Customers Now a days every companies playing strategies so as to attract customers and increase revenues and also customer base.Pent-up demand. Office 2007 comes in two consumer editions—Office Home & Student 2007 and Office Basic 2007. HP.e. Windows Vista Home Basic and Windows Vista Starter. OEMs including HCL. Windows Vista is the first major Windows launch by Microsoft since the launch of Windows XP in 2001. Windows Vista Home Premium. 17 . and Office 2007 with a grand launch across 70 countries. Microsoft released the latest version of its operating system Windows Vista and Office 2007 for corporate customers in November 2006. According to Ravi Venkatesan. Microsoft will have 13 more Indian languages including Telugu and Marathi and support for these is expected by early 2008. Wipro and Zenith are launching Vista compatible PCs. Windows Vista. Lenovo. These products are launched to ‘wow’ customers with features like enhanced security. PCs are acting as entertainment centres with TV functionality. “This is the launch of the decade for Microsoft and the biggest for us in India. supported by the digital sound experience and large screen displays Some Of The Strategies They Are Playing Vista and Office 2007 hit the market Microsoft has opened the doors for consumers to purchase its latest Operating System.” In India. Chairman. non corporate consumers. attractive price points and economic stability propelled PC growth. improved parental control and an all new interface. Extending the Indian language support. Windows Vista and Office 2007 will be made available to the public in several editions. with the design of this product we have dealt with the security issues. Microsoft India.

HP’s Sai Chandrasekhar says that their assessment is an expectation of 10-15 percent growth. which pulled in more than 5. which he feels is very realistic.On the commercial front. surely even low two digit growth rates are better than negative growth.” And that seems to be the future that India’s PC brigade faces-but well. However.. Munglani feels that decision cycles are still slow. as a good example of what government enthusiasm for IT can do. He feels that government funded projects need to increase. though caution is still the prevailing sentiment. “We can no longer look at heady growth rates like 40 percent or 60 percent. and that’s the reason for the cautious smiles on the faces of PC vendors. While IDC has predicted 22. the next quarter will bring even broader smiles. but there is a definite increase in queries and tenders. . going by what the industry feels and what the numbers reveal. recovery is definitely taking place in the industry.000 units.In conclusion.. Kochhar of Skoch seconds that when he says.the market has been growing more in single digit to low two digit growth rates.3 percent growth in 2003. the bottom line is that the days of super growth seem to be over. and points to the recent Andhra Pradesh schools project. “It is unlikely that the market will return to the heady days of 30 percent growth. Hopefully.” he explains. 18 . not everyone in the industry seems to be ready to join in the chorus.

Chairman and CEO HCL Technologies Ajai Chowdhry Co-Founder HCL.LEADERSHIP Shiv Nadar Founder HCL. Chairman and CEO HCL Infosystems J V Ramamurthy Chief Operating Officer HCL Infosystems Ltd Vineet Nayar President: HCL Technologies Ranjit President and CEO of the HCL Technologies (BPO) 19 .

KEY PARTNERSHIPS 20 .

which is still a challenge towards all.9% From the above graph it is clear that in Indian Hardware Industry the HCL Infosystems Ltd. Printers have been traditionally the fastest growing segment of the PC peripherals market. and augur well for branded PC 21 . 836.122 printers were sold and that included inkjet. with sustained hardware spending by all the verticals. share is highest in all branded companies. But still very high portion about 57.2% 3.000 printers. Sales of notebooks have averaged around 50. Even when PC sales were increasing by 39%. Laser printer sales are growing fastest.5% 3. facilitated in part by the recent reduction in excise duties on PCs. a continued reduction of price points.0% 4.HCL Compaq 8.0% 1.000 in the past two years. especially the banking and financial services sector. In future. In that year.9% 57. A recent phenomenon has been the increasing share of Tier 2 towns and cities in the PC sales thereby indicating increased PC penetration into the hinterland.4% 7. in retail hardware sales. HCL’s hardware sales to the institutional segment are likely to remain stable. is likely to reduce the price advantage of the small assemblers. laser and dot matrix. The momentum is expected to pick up in 2002-03 and the printer market would grow at 8% to reach 900.3% Zenith IBM Acer Hewlett-Packard Wipro Vintron Siemens Nixdorf Dell Others* 1. The share of the unorganised sector has been falling steadily with the fall in price of branded PCs. Due to falling prices. Besides. printer sales increased by 41%.6% 3. The slowdown affected printer sales too and in 2001-02. the increase was just 1%.7% 1.5% 7.5% is in favour of unbranded local companies.

substantial liquid investments and unutilised working capital limits. 1Q 2006. IDC declared its numbers for the Indian PC market for financial year 2005-06 today. May 2006 preliminary release. despite its sales tax advantages. The year recorded an impressive growth in terms of unit shipments .6 million-mark. In the medium term. With imported PCs becoming cheaper. 22 .the market grew 30% over financial year 2004-05 to exceed the 4. Nonetheless. may be affected by the likely removal of duty protection on manufactured PCs from the year 2005. it may be critical for HCL to establish an alternate supply chain based on imports of finished PCs. HCL’s margins. according to IDC's India Quarterly PC Market Tracker. its financial risks are mitigated by its low gearing.manufacturers like HCL.

For nearly a decade this dream has struggled to become a reality. However. For a long time the industry has resisted moving to lower price points. buyers are not holding their breath for these devices. India has the ability to absorb 10-20 million PCs a year for the next several years. those propagating low-cost computing solutions have taken a different route. Users are expectant. "I remember five to seven years ago when the first $1.000 PC appeared (introduced by Compaq). which is a sign of commoditisation of the industry. And yet." he says. 23 . Even institutions like the IITs are enthusiastic.000 PC (5KPC). and now they are actually seeing that there is demand in that space and they are buying into it. India Inc. And since then there has been a continuous push down in the price points for PCs. or the much-talked about handheld device. director for International Marketing at VIA attributes this sudden interest by vendors to the "real growth potential" of the low-cost PC market. The company netcore is doing groundbreaking work to make possible the Rs 5. says that if the price point of a PC comes down between Rs 5. The buzz is in the air again. PC manufacturers are excited. This potential gains further significance when one realises that the present market size is just two million PCs a year! In the last 20 years the installed base has barely crossed six million PCs in India. The reason: India’s dream of an affordable PC (priced below Rs 10. this time around. For experience has proved that expectations are seldom met. people wondered if the price point was for real. Be it Wipro’s Janata PC.000 per user. iStation. has made many noteworthy attempts in the past to introduce low-cost computing solutions. iNabling Technologies’ e-mail device. but in vain. Chris Ann Fichardo elaborates on the difference .000) is ready to hit the market. According to Richard Brown. the Simputer—all brilliant concepts that have not quite made it commercially yet.REVISITING THE LOW-COST PC MARKET A computer at nearly one-third of current prices is a dream for most Indians.000 to 10.

among others Companies. which we hope to grow to 15000 by the end of 2009. Chairman and Managing Director. Depreciation period of IT products should be reduced to further boost growth. the education sector is expected to see a high demand for personal computers. Prices of computers have been falling rapidly. Customers.CHANGING TRENDS IN PC MARKET              With prices of PCs being slashed. which will offer affordable innovation will gain market share.  24 . Unicode will drive PC penetration into rural markets SME will continue to be a major segment. Retail may get a renewed thrust. Observes Raj Saraf. The enterprise space will witness more stress on security. Trends Expected In 2009  In the future. Zenith Computers. Linux on the desktop is unlikely to make inroads in the enterprise. both in the consumer as well as in the commercial space will demand better service levels from vendors.” While vendors are bundling in Linux to bring down costs. manageability and multiple levels of redundancy. analysts believe branded PC players will gain further against assembled players. analysts see desktop Linux confined to the government and education sector. The industry has standardised on 80 GB HDDs. Service and support is going to be a critical aspect of vendor strategy. “We have1300 retail outlets today. Linux might gain ground in the government and defence sectors. Consumers are shifting their focus of PC computing from an average system to one that is closer to a high-end system and upwards. TCO. but vendors do not think prices of PCs will fall significantly in 2009. The desktop space will see more and more entertainment-oriented features getting integrated into the normal PC. The need for the most powerful multimedia computers is increasing. with more duty cuts expected.

PC vendors began to take a profitability approach. thanks to increasing memory prices. the one fact you cannot afford to ignore is the current slowdown not just falling growth. but they need to decide on an unambiguous competitive pitch. will discourage speculative and rash pricing and margin policies that result in price wars the industry can ill afford. 2008 could be relatively flat as most BPO firms are in the process of consolidation and not growth. That should be one of the key differentiators between last year and the financial year ahead PC prices are not likely to come down. Indian brands will survive. While 2007 saw strong demand emerging from select sectors such as the government and BPO outfits. But then. And that took the PC to almost commodity status in India. and as of now. According to industry association MAIT’s president Vinnie Mehta. This move. history is not what sells. promises of a rosier future do. but the horrible spectre of negative growth. will actually see marginal rises. when it began to hurt. PC MARKET: TOP TRENDS PC market revival may happen in second half of this year. And in business. sales have picked up in the JFM quarter. They are now seeking out the more profitable deals and aiming for better prices with lower volumes. which is traditionally a high sales quarter. they’re hoping that this will be a sustained phenomenon in spite of a lacklustre Budget that did almost nothing to push up demand for PCs. “While the initial response to the slowdown was to slash prices. coming in the wake of big defaults among IT channels. and in all probability.” Another factor that will contribute to stable prices is the move by the big distributors to cut credit periods down the line from 30 to 15 days. If you want to know what the future holds for the Indian PC industry. PRICES DO AN ABOUT-TURN Immediately after this year’s Budget. 25 . Thrust into the B & C class towns will be aggressive. that’s history. The notebook market will show significant gains in 2002-03. Says Vasu Srinivas of IDC India. Post-Budget PC prices will remain constant or rise marginally. most PC vendors said PC prices would remain constant. or a gentle trough. and some even pointed out that prices would rise. The near panic the industry witnessed in the wake of this terrible time was reflected in the price slashes and bundling offers anything to kick start stagnating sales graphs was acceptable. by Indian and MNC players alike.

and they’re expected to continue to be the saviours of the beleaguered PC industry this year too. IDC India says the PC industry is expected to grow by 5. the leader in the desktop segment. is as Indian as they come. when a growth rate of 20 percent is forecasted. the biggest buyers of PCs pretty much remained constant. even though it revised industry sales projections for 2001-02 downwards from 2. though he warns that heady growth rates will not return without policy measures like 100 percent depreciation from the government. While everyone admits that the market share of MNC brands has gone up. head-marketing.65 million units. HCL Infosystems. Yes. All it will take is the HP-Compaq deal going through in the United States. OUTLOOK When will the good times start rolling again? The pundits have differing opinions. and mostly at the expense of Indian brands. according to George Paul.TRIUMPH OF THE MNC BRIGADE In recent times. this issue generates a lot of heat and passionate arguments. this may just be the beginning of things to come in the Indian PC market. and the company’s leadership position seems in no immediate danger. which currently stands at 8. 26 .6 percent.1 percent in 2002. one of the most important trends in the Indian PC business is the sight of MNC vendors turning leaders. HCL Infosystems. And in many ways. ANYONE Mobile computing is also expected to have some effect on the PC market in the coming year. and adds that PC buying is expected to revive in 2003. Retail’s still in vogue MOBILE COMPUTING. and HCL will become No 2 to an MNC behemoth that will then control almost double of HCL’s market share. Another segment expected to contribute significantly to PC buying this year is the telecom sector. Kochhar of Skoch says this year will see some revival.45 million units to 1. The honours go to the government both at the Centre and the states. but it’s not insurmountable either. and the banking and financial sector mainly PSU banks. BIG BUYERS MATTER While the move to B & C class cities attracted attention. MAIT is hoping that the slight upturn in the JFM quarter is a portend of things to come.

THE DECISION MAKING PROCESS Decision makers. 27 . the ability to successfully view the current situation through the traditional "good judgment" viewpoint is weakened through increasing external noise (a multitude of information sources on multiple topics) and changing. must make decisions and take actions in the rapidly changing world we face today. In this turbulent environment. who are used to depending on their past experiences.

there is no complete agreement upon a single definition. It is marketing orientated rather than product orientated. CRM from the Business Strategy Perspective. The Business Strategy perspective has most in common with many of the lessons and topics contained on this website. power and memory. Our model contains three key phases . Essentially. 3. CRM from the Customer Life Cycle (CLC) Perspective. and has the payoffs associated with modern technology. However. looks at the products of services that customers need throughout their lives. From the technology perspective. However. For many. the three perspectives are: 1. However. the renaming of traditional customer services. CRM from the Information Technology Perspective. such as speed. 28 . and indeed within the field of marketing itself. The Customer Life Cycle (CLC) has obvious similarities with the Product Life Cycle (PLC). customer retention and customer extension.customer acquisition. In summary.marketing orientation.e. or an IT-based customer management system to support sales people. This is because CRM can be considered from a number of perspectives. companies often buy into software that will help to achieve their business goals. IT is vital since it underpins CRM. 2.CUSTOMER RELATIONSHIP MANAGEMENT (CRM). value creation and innovative IT. ease of use. CRM is far more than a new software package. and three contextual factors . CLC is a summary of the key stages in a customer's relationship with an organization. The diagram below shows the Marketing Teacher Model of CRM and Business Strategy. CLC focuses upon the creation of and delivery of lifetime value to the customer i. WHAT IS CUSTOMER RELATIONSHIP MANAGEMENT (CRM)? CRM is a term that is often referred to in marketing. and so on.

This is the core of CRM. The relationship delivers value to customers.CRM MODEL A commonly cited definition of CRM is that of CRM (UK) Ltd (2002). as follows: Customer Relationship Management is the establishment. maintenance and optimization of long-term mutually valuable relationships between consumers and organizations. and profits to companies. The relationship is supported (but not driven) by cutting edge IT. solutions or experiences to customers. retention and extension of products. 29 . services. development. The business strategy is based upon the recruitment.

Long standing relationship with customers. Thus. Nokia. Best-value-for-money offerings. Telecom and System Integration. resellers and retailers which helps bring technology usage closer to the individual.STRENGTHS: HCL’s strengths are many. Toshiba. Ability to understand customer's business and offer right technology. Pan India support & service infrastructure. Training. Fast paced and flexible work culture which provides its employees autonomy to accomplish the task without much pressure from the higher authorities. to mention a few : a) b) c) d) e) f) g) h) i) Global Presence: • Its collaborations and joint ventures with international companies such as Perot System. Software. • 24 locations in 16 countries.” The mass markets handled through a chain of dealers. Its pool of competencies : Hardware. Oracle and Microsoft. enable it to bring the best technology available world wide to its consumers. It has very strong distribution network. 30 . The core strength of HCL is the talent and innovativeness of its people which enables it to provide the “right solution at the right time. and partnership with world leaders like Ericsson. Less promotional campaigns. Networking. WEAKNESSES: a) b) After sales service. employees are motivated to give their best to the organization.

1 IT conglomerate. analysis in words that prosperity lies ahead for HCL. it has to come out with the state of art as well as futuristic technologies to its consumers well before time. Tremendous untapped potential of IT products in India. Govt. In order to retain its position as India’s No. Daily new technologies are emerging.W.OPPORTUNITIES: a) b) c) d) e) IT industry booming at a rate of 45% every year. Increasing consumer awareness about IT and its use.T. Technological shift as a result of research & development.e. 31 . Compaq giving direct competition. THREATS: a) b) c) d) Local assemblers are biggest menace for the company. Tie ups with various MNCs enable to extract their core competencies. Entry of MNCs i. Increasing competition. instability has a long term repercussions affecting company’s policies & its growth.O. Concluding the S. IBM.

FINDINGS & LIMITATIONS Every project has some limitations even the researcher came across some limitations while working on the project which made the analysis a little inappropriate at times. companies and other authorized and unauthorized areas which affected the result of the project being done by the researcher. 32 .  There was a bias on the part of the respondents.  Most of the research was based on cold calls.e.  At times there was a problem of non response from the hospitals. authorized and local areas and where it had not responded much.  The IT manager or the person heading the IT Department did not have the rights to give the authorized official information to people other then the members of the official itself and the high officials.  Companies that were contacted through telephone at times did not give correct information to the researcher. companies and other areas where it has been found 55 players was covered in the study. Some of the basic limitations faced during the research are listed below:  Only limited number of authorized. so then visited many places i.

I have completed my summer training project in which are involved in its successful completion. which will be of no value. After completion of my summer training project I have gained several experiences in the field or sales marketing. In spite of few limitations and hindrance in the summer training project I found that the work was a challenge and fruitful.Marketing is a very crucial activity in every business organization. This summer training project has given me the opportunity to have first experience in the corporate world. This summer training project has enabled my capability in order to manage business effectively and in my career in future. I have realized this fact after completion of my summer training project. I have tried my level best to find out the most relevant information for the organization to complete the assignment that was given to me. which fluctuate in different situation and time. I have got the opportunity to meet various people. Every product produced within an industry has to be marketed other wise it will remain as unsold stock. It gives enough knowledge about the computers market and the distribution process undertaken by an organization. Theoretical knowledge of a person remains dormant until it is used and tested in the practical life. The training has given to me the chance to apply my theoretical knowledge that I have acquired in my classroom to the real business world. Despite of various difficulties and limitations faced during my summer training project on the topic “ Corporate Selling and Feedback ”. 33 .

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