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Computer Industry Analysis: Scott Billups Anne Homme James Porter Stephan Rogers Jerome Wade
Computer Industry Analysis: Scott Billups Anne Homme James Porter Stephan Rogers Jerome Wade
Analysis
Prepared by:
Scott Billups Anne Homme
James Porter Stephan Rogers
Jerome Wade
Introduction
Dominate Economic Characteristics
Six Forces
Competitive Position of Major Competitors
Competitive Analysis of Personal Computer
Manufactures
PC Industry Trends
Key Success Factors
Industry Prospect and Overall Attractiveness
Conclusion
Dominate Economic Characteristics
1. Market Size
2. Scope of Competitive Rivalry
3. Stage in Life Cycle
4. Number of Companies within the Industry
5. Customers
6. Technology/Innovation
7. Product Characteristics
8. Scale Economies
9. Learning and Experience Effects
10. Capital Requirements
11. Industry Profitability
Market Size
The computer industry consists of hardware, software, service and
an endless array of products our group chose to narrow the
research to PC’s. The worldwide PC market finished 2004 on a
strong note, with double-digit percentage growth for the year,
according to research released by IDC and Gartner.
PowerPoint X X
Camera X X
Mp3 player X X X
Spreadsheets X X
Word processor X X
GPS navigation X X
Email X X X
Competitive Position of Major
Competitors
4B
Dell
3B
Net
Income Hewlett-Packard
2B
Apple
Gateway
1B
Soya
25 B 50 B 75 B 100 B
Market Capital
Competitor Analysis of PC
Manufacturers
Dell Inc.
Dell Inc. :
Founded in 1984
Mission Statement: “To be the most successful computer company in the
world at delivering the best customer experience in markets we serve.”
Next day delivery
No middlemen or intermediate retailers
Current Situation:
Revenue over $56 billion
Net income of $3.4 billion
Hewlett-Packard
Hewlett-Packard:
Founded in 1939
HP’s mission: “To invent technologies and services that drive
business value, create social benefit and improve the lives of
customers—with a focus on affecting the greatest number of
people possible.”
First product was an audio oscillator
Multi component system model
Current Situation:
$86 billion in revenue
net income of almost $2.4 billion
Apple Computer
Apple:
Founded in 1976
Mission statement of Apple is as follows: “Apple will
be a leader in providing simple, powerful, high-quality
information products and services for people who
learn, communicate, and create.”
Stylish product innovation
Entrepreneurial
Current Situation:
$14 billion in revenue
Net income of almost $1.3 billion
Gateway Inc.
Gateway:
Founded in 1985
Mission statement of Gateway Inc. is, “To invest in our
communities and future by providing state-of-the-art technology
and technical support.”
3rd largest personal computer company in the United States
Ranked in the top ten worldwide
Profit pyramid model
Current Situation:
$4 billion in revenue
Net income of almost $6 million
Soyo Group Inc.
Soyo Group Inc.:
Founded in 1999
The mission statement of Soyo is, “To capitalize on
Soyo’s market position as a leading distributor of
computer and networking products by increasing
penetration of existing markets through acquisitions
and expanding into new markets.”
Computer peripheral devices
Current Situation:
$38 million in revenue
Net income of almost $540 thousand
PC Industry Trends
Increasing Clock Speed
Mass Customization
Outsourcing
Electronic Commerce
Current Trends and Issues
Demand Dynamics
Changing Profit Dynamics
Market and Distribution Trends
New Product and Technology Directions
New Business Strategies
Key Success Factors
PC Industry Services
Technology Services
Consulting and Integration
Managed Services
Industry Prospect and Overall
Attractiveness
Factors that make the Industry Attractive
Factors that make the Industry Unattractive
Special Industry Problems and Issues
Profit Outlook
Conclusion
Dell Leads
Global Market
Diversify the Workforce
New Innovations
PC Improves Society