Project Work

MARKETING STRATEGIES OF HP IN INDIA
INTRODUCTION
HP (Hewlett Packard) is a market leading brand of personal computers, laptops
and printers. It came into being in 1939 through a partnership between
William R Hewlett and David Packard. The brand was incorporated in 1947.
Apart from computing and other access devices, the brand also sells imaging
and printing products as well as other related technologies, solutions and
services.
In 2015, the company got divided into two companies – HP Inc and HPE
(Hewlett Packard Enterprise). Hewlett Packard Enterprise, as the name would
suggest, is focused on enterprise hardware products, such as servers and
networking equipment, whereas HP Inc sells printers, laptops and desktop PCs.
HP Inc currently holds the largest market in the entire industry followed by
Lenovo, Dell, Apple and Acer.
In these seventy-eight years HP had acquired a lot of companies to gain
leadership in its industry. Some of the companies acquired were Apollo
Computers, Compaq, Convex Computers, etc. Due to these acquisitions HP
overtook Dell in terms of market share in personal computer industry.
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In the first quarter of 2020, Hewlett Packard's market share of global PC
shipments stood at 21.5 percent, making HP the second largest PC vendor
overall behind only Lenovo. HP Inc’s PC market share has mostly increased
since 2012, reflecting an overall trend of consolidation within the PC market.
The combined share of global PC shipments of the three major vendors in the
market (Lenovo, HP Inc, and Dell) has risen from around 40 percent in 2011 to
more than 60 percent in 2020.
The level of competition in the Personal Computer industry has grown very
high and that has resulted in brands including HP spending a lot over research
and development as well as marketing. HP Inc has a large and diverse product
portfolio. The brand has continued to grow its product range and apart from
the lower end market, it also caters to the upper end market through premium
laptops and other products. Its strategic focus has remained on research and
innovation for faster market growth.
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VISION STATEMENT
HP vision statement is “to create technology that makes life better for
everyone, everywhere — every person, every organization, and every
community around the globe.” It has the following components:
Promote innovation
Global reach
The focus of HP is to bring the best products to its clients. That is why it
prioritizes innovation. The company also ensures that there is no geographical
limitation by expanding into global markets.
Core Values
HP core values include “customer loyalty, market leadership, growth, and
commitment to employees.”
Today, HP as a brand has gained global recognition due to the quality and
value that the company offers. This has been promoted by the practices within
the organization as influenced by the core values.
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HP’s Three Pillar of Success
The new HP is a textbook example of innovation. Established 77 years ago and
reinvented one year ago with the separation of Hewlett-Packard into two
companies, the new HP Inc. began a journey to reinvent everything.
The reinvention journey started with a vision to create amazing technologies
that make life better for everyone, everywhere. To do this HP needed to
embrace new ideas, methods and products and market changes in order to
turn change into opportunities.
First a powerful new board of directors was assembled, the most diverse board
in the industry. Together, with the company’s experienced management team
they crafted a new, highly focused business strategy based on three pillars:
Core, Growth, and Future. And the foundation of those three pillars is constant
innovation.
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Protecting the Core
HP has been a global leader in Personal Systems and Printing for decades, and
is aggressively protecting and defending our Core business. Constant
innovation keeps products and solutions fresh, highly relevant and drives
customer demand.
In office printing, HP rolled out an entirely new line of ink, laser and Page Wide
devices—delivering the world’s most secure print experience, as well as a
comprehensive range of Managed Print Services. In consumer printing, the
pocket-sized Sprocket is a huge hit with smartphone-toting millennials.
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In Personal Systems, HP took profitable share with innovative new commercial
products including Elitebook Folio G1 and new ZBook workstations. On the
consumer end, HP delivered beautifully designed, high performance solutions
for premium consumer categories like gaming and entertainment. This
included the introduction of Spectre 13, the world’s thinnest laptop and the
Omen X gaming system.
Capturing Growth
Profits from the Core enable HP to pursue profitable growth in naturally
adjacent markets. To that end, HP began to reinvent the A3 copier market—an
industry that is ripe for disruption by introducing the A3 portfolio, including 16
new next-generation HP PageWide and LaserJet printers. Then to accelerate
innovation, HP reached a $1.05 billion agreement to acquire Samsung’s printer
business. Expected to close mid-2017, this acquisition will not only impact
innovation but significantly strengthen HP’s intellectual property portfolio.
HP also is aggressively pursuing growth opportunities in Graphics printing as
the industry accelerates from analog to digital printing. Already holding a No. 1
position with powerful and versatile new commercial printers and presses, and
just delivered the 13th consecutive quarter of revenue growth.
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In Personal Systems, HP is delivering innovative new commercial mobility
solutions like the Elite x3, a versatile all-in-one device that won 24 industry
awards at Mobile World Congress, and created a new standard for commercial
mobility.
Creating the future
HP has a rich heritage of innovation and category creation. To build on this, the
company continues to redefine industries by investing in the third strategic
pillar: The Future.
HP Labs, one of the eminent private research laboratories in the world,
celebrated its 50th anniversary in 2016. Because the world around us is
changing at an exponential rate, HP takes a long-term perspective on the
Megatrends that are shaping the world and then creates products and
technologies based on those insights.
The world is on the cusp of the Fourth Industrial Revolution, one that will
change the world even more than the ones that came before: steam powered
machines, electricity and mass production, and networked digital computers.
This revolution will be characterized by the blending of the digital and physical
worlds into what HP calls “Blended Reality.”
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The new HP Jet Fusion 3D Solution, a highly innovative commercial 3D printing
system, is poised to disrupt the $12 trillion manufacturing industry.
HP is also investing in immersive computing, including virtual and augmented
reality. The new Sprout Pro has the potential to bring immersive computing to
schools and offices worldwide.
Built on a foundation of strength
Across all three pillars is the foundation of services and solutions, an incredibly
important and growing area given the changing world.
The company’s strategy and innovations are driven by four key factors: market
and customer trends, competitive dynamics, investor perspective, and
practical capabilities.
Innovation decisions are measured carefully against our capabilities to ensure
that HP can deliver both innovation and execution. The scale and power of
HP’s supply chain and go-to-market operations are immense; its sales channel
orientation and partner relationships are strong; and the HP brand is one of
the most respected in the world. All these things provide a strong foundation
for advancing the company’s strategy to keep reinventing.
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ORGANIZATION
HP Inc’s shift to a single commercial organization with 10 geographic markets
will drive more seamless integration and alignment across many aspects of the
customer journey. By reducing the number of management layers in our go-to-
market (GTM) process, we will drive faster decision making and increase
flexibility and authority at the local level, where it counts most.
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The new model better positions HP Inc in a landscape of accelerated
innovation and changing needs. This will also enable tighter coordination
across sales and sales operations teams, helping ensure the have the right
demand generation and omnichannel strategies, as well as consistent local
execution of “the 4Ps (product, price, promotion and placement) of
marketing”.
HP Inc is also building a more digitally-enabled organization, with smarter and
more consistent systems, tools and processes—powered by data—to reinvent
the entire customer and partner journey. And at the same time, we’re evolving
our strategic priorities and transforming our business model, portfolio and
profit pools.
Combined with these fundamental changes in the org structure to help thrive
in a data-rich, hyper-connected world, and better enable our shift towards
contractual engagements. Certainly, this needs to work through some
challenges, but the spirit of reinvention has always been central to HP Inc. It’s
what propels HP Inc business forward and keeps focused on how they can
better serve customers.
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Omnichannel partners are very different to partners in the classic go-to-
market. If we want to manage an omnichannel partner you must communicate
with data and actually automate the communication. Becoming a company
that can operate within an agenda of digital transformation and evolve how it
communicate is a very key component.
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CORE TEAM
Global Executive Leadership:
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Regional Executive - India:
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India Market Share
Personal Computers
The India PC market declined 8.3 percent — for the third consecutive quarter –
to 2.15 million units in Q1 2019, according to IDC’s PC market share report.
The Indian PC market remained weak outside big commercial deals due to
weak consumer demand, high inventory from previous quarters, and supply
issues for Intel chips.
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Notebook business, which contributed 61.4 percent of the overall India
traditional PC market shipments, posted 9.8 percent decline.
The consumer PC market dropped 26.5 percent mainly because of low
discretionary spending and seasonality. The low spending was partially
because of macroeconomic factors such as shrinking industrial output and
slowdown in consumer spending.
Gaming PC segment saw good traction through both online and retail as
vendors decreased GPU prices.
“Spending towards Ultra slim notebooks is increasing as owing to factors such
as improved mobility due to the thinness of the product and enhanced
aesthetics,” said Bharath Shenoy, market analyst, PCs, IDC India.
Indian commercial PC market grew 7.3 percent to 1.35 million units —
primarily driven by ELCOT shipments of around 159,000 units which got
partially executed in Q1.
Demand from BFSI and IT/ITES sector remained good in 2019Q1 but the main
segment driver was ELCOT.
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HP has market share of 28.1 percent in Indian PC market. HP India’s PC
shipments fell 9.7 percent mainly due to 21.3 percent drop in consumer
segment. HP did not see any major dip in the commercial PC shipment despite
elections leading to delayed projects.
Printers
HP Inc. Leading Indian HCP Market With 37.7% Market Share Followed By
Epson. HP Inc. (Excluding Samsung) maintained its leadership in the HCP
market with a share of 37.7 percent while its shipment declined by 7.6 percent
YoY. The decline was primarily led by the inkjet segment, which declined by
11.6 percent YoY, due to muted demand from the consumer market even
though multiple end-user and channel schemes were active. In the inkjet
segment, HP retained its 2nd position with a share of 24.6 percent. On the
Copier side, HP shipments grew by 15.7 percent quarter over quarter due to
strong demand from the corporate and Government segment. In the Laser
segment (excluding Copiers) HP maintained its leadership position, capturing
more than 60 percent of the market share.
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MARKETING STRATEGY
Marketing Mix of HP analyses the brand/company which covers 4Ps (Product,
Price, Place, Promotion) and explains the HP marketing strategy. As of 2020,
there are several marketing strategies like product/service innovation,
marketing investment, customer experience etc. which have helped the brand
grow.
Marketing strategy helps companies achieve business goals & objectives, and
marketing mix (4Ps) is the widely used framework to define the strategies.
HP Product Strategy:
The product strategy and mix in HP marketing strategy can be explained as
follows:
HP Inc, earlier known as Hewlett-Packard, is a leading computer hardware &
software company. HP Inc. produces hardware like personal computers and
printers. The categories of products offered by HP in its marketing mix are as
follows:
• Computers
• Laptops / Tablets
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• Printers
• Scanners
• Digital cameras
• PDAs
• Servers
Various printers offered by HP include Black and White Laser Printers, Color
Laser Printers, Inkjet All-in-One Printers, HP DesignJet Large Format Printers,
HP Indigo Digital Presses, HP Latex Printers & Network Print Server. Computers
are further divided based on usage, viz. High volume, office and personal. HP
personal computers consist of the following brands. HP Omni book, Compaq
Presario, HP Envy, G series, HP Mini are the more popular brand of computers.
Tablet computers include brands like HP Slate, HP Touchpad, HP Omni 10 and
HP Stream. Other than the above mentioned it also produces digital camera
pocket computers, workstations and servers.
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HP Price/Pricing Strategy:
HP has a very in-depth product portfolio and hence a very diverse pricing range
in its marketing mix. It operates in computers, printers, workstation and
servers only but within these categories also the product depth is high. So
many variations to suit the needs of businesses. HP follows fair pricing
strategy; it charges for the quality and expertise it gives in the field of
hardware and software. HP fights with competition based on its quality regime
and supreme performance and after sales services. Newer products with latest
innovative technologies are priced at a premium and as competition enters the
prices are reduced gradually.
HP Place & Distribution Strategy:
HP is a global brand and it has its presence across the world. With its products
& services, HP is present in more than 170 countries worldwide. HP sells its
products both directly and indirectly. It has exclusive stores of HP and multi-
brand store where it is available. HP has a presence on online portal as well
products can be bought directly from websites or from other shopping
websites. It has a lot of partners which can be located through its website who
sell HP products. HP is known to have presence of service centres most cities
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making post sales services easily accessible. Its subsidiaries are located around
the globe. HP remains in touch with all parts of its supply chain, viz.logistics,
middlemen, suppliers, manufactures, etc.
HP Promotion & Advertising Strategy:
HP uses 360 branding in its marketing mix for creating brand awareness. HP ad
campaigns are spread across different media like TV, newspapers, magazines,
website, billboards etc. HP has a campaign called One Voice, this campaign was
designed to resonate the image of HP as one stop solution to hardware and
software needs. The campaign was successfully integrated to its website and
outdoor campaign as well. HP also has an exchange program which allows to
exchange old products for new. Other than regular discounts, sometime HP
has offered some services for free for a period in order to promote HP. HP has
also played the sponsor in many sports like formula one and Premier League
Club. Hence, this gives an insight in the marketing mix of HP.
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India Business Strategy
“HP INDIA MOVES TOWARDS PERSONALIZATION”
The HP brand is positioned around the philosophy ‘Keep Reinventing’ in India,
as they want their technology to inspire people to reinvent their lives, stories,
success and productivity every day. Their numerous activities in branding,
marketing, business and product innovation take this philosophy forward to
create amazing experiences. Be it the new Spectre launch or the Omen X
launch, it is all about how they are reinventing the game, luxury or
performance. They also take forward the reinventing thought process in their
CSR activities. So, this is one philosophy that binds HP Inc as a company, right
from insight and product innovation to business and brand innovation.
If we look at India, it’s a huge market with different consumer segments right
from urban to rural, and from first-time buyers to replacement buyers. For
everyone it’s a different story through which we can use technology and
reinvent life. ‘Reinvent My Story’ was a series of stories which was created
around the newer trends which are emerging in the millennial segment - for
example entrepreneurship. Going forward, they will have many such ‘slice of
life’ stories in different segments.
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Consumers look for simple things. They do not look at just a product or its
price tag; they look for value, as in how a particular product will add value to
them. In this age of human experience and emotional connect, the purchase
experience of a consumer is imperative. If you look at the way retail,
premiumization or urbanization is emerging, it will work only if brands are able
to connect back to the culture and the context in which those brands are used,
thus providing a seamless brand experience right from the time they see the
product in the store or online, to the time they make the purchase. Moreover,
today consumers are willing to pay a premium for the service they get by the
brand. They are also willing to pay a premium for the touch and feel, as well as
the experience and engagement which they get and the affinity which the
brand drives. In this technology industry, what matters is the way HP Inc can
humanize, personalize and customize the brand and provide an experience
that will make a consumer’s life better.
Personalization and customization are one major insight wherein HP Inc see
the potential of digital and social media. The second big insight which they are
also looking at is global branding with a local soul. This is because people don’t
just buy brands, they buy emotions. They don’t just look at price points, but
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emotional connect with the brand. This is where humanization of the brand
comes in. The third big insight which they are already exploring is passion
marketing. It is about how they can really create a powerful brand which
consumers are passionate about by showcasing product performance and the
way in which they can improve the life of consumers.
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STRATEGIC ANALYSIS
The laptop industry has been through a situation of decline during the past five
or six years. The number of shipments and sales of laptops and desktops have
kept declining. In 2016, the signs of growth in the industry were visible for the
first time. However, since then the rate of growth has remained relatively flat
in the industry. The most important reason that has affected the growth of the
laptop industry is the rise of mobile computing. In 2016, HP Inc returned to the
first position in the laptop market with the highest number of shipments
followed by Lenovo, Dell, Apple and Acer. After 2016, market again saw a
decline in 2017 when the number of total shipments according to research by
Gartner was around 262.5 million units. This was around 2.8% less than the
previous year. HP and Lenovo were at the top with 55.2 and 54.7 thousand
shipments.
HP Inc. (Excluding Samsung) maintained its leadership in CY2019 HCP market
with a market share of 39.1%, while posting a YoY decline of 7.4%. HP’s Ink
Tank shipment grew by 14% YoY as a result of strong channel schemes and
end-user promotions. It’s Laser A4 segment witnessed a decline of 9.7% YoY,
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its highest decline since CY2009. On the bright side, HP’s share in the copier
segment grew by 29.4% YoY owing to strong channel push.
The rise of the smartphone and tablet industry has led to reducing demand for
desktops and laptops. Worldwide the demand for smartphones and tablets
has grown as people are trying to remain active on the go. Demand for higher
mobility led to people using large screen smartphones and tablets. The
Personal Computing industry is expected to shrink further with the rise of
mobile computing. However, there is still a large market for PCs since they
cannot be substituted in every sphere of life and most importantly
professional. The demand will remain high from corporations and
professionals. In case of individual use, people will continue to depend on
smartphones and tablets for day to day use.
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HP SWOT ANALYSIS
STRENGTHS
Strong Brand Image:
HP has maintained a strong brand image. Its focus on quality and innovation
have helped it create a reliable brand image and a high level of trust among its
customers. The brand brings a large range of products. From the lower end to
the higher end its products in various price categories cater to the needs of a
diverse customer segment. A strong brand image in the technology industry
leads to higher sales and revenue as well as customer loyalty.
Large Product Portfolio:
HP has a large product portfolio and apart from a large range of desktops,
laptops and tablets, the brand also provides printing and imaging solutions and
related technologies. The large product portfolio of the brand is targeted at a
large and diverse customer segment. This also helps with beating the effects of
economic turmoil. Apart from that a large product portfolio can help build a
large customer base which is an important strength for any brand.
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Large Market Share:
HP is currently ruling the personal computer industry with highest sales and
shipments. In 2017, its market share was 21% according to research by IDC.
The brand is ruling the PC industry with highest market share followed by
Lenovo and Dell. Apple’s market share is also much lower than HP’s. However,
Lenovo is a very close competitor with a small difference in the market share
of the two. The large market share of the brand means a larger customer base
than the other brands is also a reflection of high-level popularity, trust and
customer loyalty.
India HCP Market Declines by 4.7 % YoY in CY2019 even as Ink Tank Printers
Overtake Laser Printers to Lead the Market in 2H19; IDC India Reports
Focus on Innovation:
HP has focused on innovation for the growth of its brand and market share. Its
focus on innovation also shows in its R&D spending. the brand has kept
investing in research and design to bring new and more efficient as well as
attractive models that are more popular. This is important in a highly
competitive market since you want to keep your customers engaged if you
want your brand to grow at a fast rate.
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Strong Financial Condition:
HP’s condition is financially strong which gives it extra leverage in terms of
research and innovation as well as marketing expenditure. Moreover, Human
Resource Management is also a costly affair and in the technology industry you
need to hire the best to remain competitive and ahead of the others. Apart
from paying competitive salaries, brands also need to provide appropriate
motivators in the form of financial and non-financial benefits to attract the
best talent.
Global Presence:
HP is a global brand that sells in all corners of the world. It is a globally popular
brand. However, United States is the largest and most remarkable market for
the brand. It accounted for around 35% of the brand’s revenue. Global
presence of the brand is a major strength and accounts for the higher revenue
of the brand.
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WEAKNESS
Declining Gross Margin:
HP’s Gross margins have continued to decline over the past few years. From
19.3% in 2015, it fell to 18.7% in 2016 and then 18.4% in 2017. Higher
commodity costs as well as unfavourable foreign currency impacts have
continued to affect this decline. Another important factor that has affected the
gross margins of HP is the brand’s dependence on PC business.
Higher dependence on US markets:
US markets are accountable for the largest part of HP’s revenue. Around 35%
of HP’s revenue came from US in 2017. This also leaves the brand open to
several kinds of risks associated with the US market. Economic fluctuations in
the US market can reduce demand and lead to lower sales there which will in
turn affect the brand’s revenue. US being the most advanced economy of the
world is the largest market for several of the world’s technology brands.
However, if demand is distributed more evenly globally, then it proves good
for a brand. In case of the technology brands this may be slightly difficult to
achieve.
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Higher dependence on PC segment:
The brand is dependent on the PC segment for the highest part of its revenue.
This has continued to affect its gross margins. Over the last three years its
gross margin reduced from 19.3 to 18.7%. This as also been adding to its
operational costs.
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Opportunities
Product innovation:
Product innovation presents a major opportunity for the laptop and desktop
makers. It is because people’s preference and taste are changing continuously
and brands have to innovate the products to match their changing preferences
and market situation. People want products theatre lighter and more efficient
since they have to remain active throughout the day. Higher need for mobility
has led to higher demand of slim laptops. The need for product innovation is
now stronger than ever.
Digital Marketing:
Digital Marketing offers several new opportunities for brands to grow. The
growth of digital technology has created new opportunities for brands to
market their products to a larger customer base. It is a great opportunity for
the brand and it can engage its customers using digital channels as well as
utilise new and improved marketing and customer engagement strategies.
Moreover, new technologies like AI also offer a great opportunity for the brand
to create better customer experiences as well as engage its customers in new
ways.
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Supply Chain Digitization:
Digitisation of the supply chain can help bring more efficiency as well as reduce
costs and create better relationships with suppliers and customers. In today’s
highly competitive environment of the technology industry, it is important to
manage the supply chain strategically so as to achieve a source of competitive
advantage. Moreover, digitising the supply chain will reduce costs as well as
help ensure the availability of raw material at the right time.
Diversification:
Diversification can also help HP Inc extend its brand presence. It is leading in
the laptop and PC industry and can extend its presence into new business
areas like cloud computing and other technology related areas which can also
help it grow its business. The technology industry is evolving fast and there are
several channels open for HP to explore. Being a financially strong business, it
can easily move into new fields and create new channels of revenue for itself.
This will also act to reduce its dependence on the PC business.
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Threats:
Declining PC market:
The PC market has declined a lot in this decade and that has led to reduced
demand and sales for the PC brands. The demand for desktops and laptops will
continue to fall as per predictions and this can be a major threat for the
Personal Computer brands. HP too will bear the heat as the rising sales of
smartphones and tablets continues to affect the demand for PCs and laptops.
Legal and Political Regulations:
Legal and political regulations too pose a major threat before the brand.
Around the world and especially in the technology industry, large businesses
are facing heavy legal regulations and government oversight. Noncompliance
can result in heavy fines as resulted in the case of several technology giants in
EU. Legal pressure is also adding to the compliance and operational costs of
the brands. Brands have dedicated compliance teams to deal with legal issues.
From HR to environment and product design and quality there are several
areas where law has tightened its grip leading to higher pressure on
technology brands.
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Competitive Pressure:
Rising competitive pressures are a major threat for the desktop and laptop
businesses. The number of brands in the computing industry is large and each
one is aggressive about growth. Moreover, continuously changing technology
environment also necessitates that brands continue to remain invested in
innovation for faster growth. From Dell to Apple and Acer there are several
brands in the PC industry that are battling for market share and sales growth.
This has led to higher costs of marketing as well as higher R&D expenditure.
Apart from that brands like HP have to continuously focus upon product and
design innovation as well as customer engagement to remain competitive.
Rising labor and raw material costs:
Over time operational costs have increased in the computing industry driven
by the high costs of labor and raw material. While brands have adopted better
strategies of supply chain management, still costs of labor and raw material
have kept rising consistently which has led to higher cost related pressures on
brands.
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PESTEL ANALYSIS
PESTEL is an acronym for Political, Economic, Social, Technological,
Environmental and Legal. These are some important forces in the international
business environment that affect businesses directly and indirectly.
Understanding these forces helps mousiness managers analyse the
opportunities and threats in the international business environment as well as
predict their future course. PESTEL is a useful analysis for businesses that are
planning to expand into new markets.
Political:
Political forces have kept growing in importance for the business industry.
They have continued to acquire a bigger role as governments locally/globally
have continued to grow the level of oversight. the political scenario
locally/globally has changed very fast during the last two decades. In the
technology industry especially, government oversight has grown globally.
Political environment is related directly to the economic environment of a
nation. The Stabler the political environment, the Stabler and stronger the
economic environment of a country. Political chaos and disruption can affect
the business environment and create pressures that can lead to disruption of
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the sales and distribution channels. this can lead to losses for the businesses.
Moreover, trade relationships between nations also affect businesses and their
sales and revenue.
Economic:
Economic forces too have acquired major importance in the world of
international business. The world has been through a period of recession some
years ago. This period saw millions of people around the world losing their
jobs. In such periods, people’s purchasing power reduces and so does the sales
and revenue of large corporations like HP. The sales of brands like HP directly
depends upon the purchasing power of the people. To remain immune from
such economic fluctuations to a large extent, HP has brought products in a
varied price range unlike Apple. However, that too cannot manage the
negative effect of economic downfall in its entirety. Since the economic
recession has passed and employment rose around the world people’s
dispensable income has increased. The condition is especially good in the
advanced economies like US, China and Japan and the fast-growing economies
like India. It has led to better sales and revenue. Overall, economic forces have
played a central role in the growth of technology and computing industry.
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Social:
Social factors too have a major impact on technology businesses. From
marketing to sales and HR, the effect of social and cultural factors can be felt
everywhere. Changing social trends too affect the level of demand of certain
products. Worldwide digital technology has brought major changes and every
society has embraced it with excitement. From the most advanced countries to
the developing countries, the wave of digital technology has connected
millions worldwide. Social media has also fuelled a major change at the social
and cultural level. At the social level, people are adopting more and more
technology and a lot of work around the world depends on computer alone.
Businesses are also focusing on social and cultural factors in terms of
marketing and social strategy.
Technological:
Technology has become a central force in the world of international business.
Every second thing here is dictated by technology from sales growth to the
effectiveness of marketing and HR strategy. technology has not just helped
brands grow their reach and market themselves with higher efficiency and
effectiveness but also expand their market share and consumer base. From the
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supply chain to production and sales everywhere brands are investing heavily
in modern technologies including digital technology and Artificial Intelligence.
Digital technology and social media are helping brands engage their customers
better. HP is a technology brand and so the relevance of technology in its
business is even higher. The brand also makes a big investment in Research
and Development every year.
Environmental:
Environmental factors are now more important than ever for the businesses
worldwide. Whether a technology business or any other business sustainability
has grown important than ever. Sustainability is not just a passing fad but the
brands investing in sustainability are reaping its benefits in both shirt and
longer term. Apart from lowering operational costs, it is also helping brands
maximize output while growing customer loyalty and retention. It is not just
the sustainability laws that have caused this shift but there are other factors
too that have encouraged this change. Reduction in costs, better reputation as
well as higher customer loyalty are also the benefits of sustainability. This is an
important reason that brands like HP are investing heavily in sustainability and
making their products and processes more sustainable.
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Legal:
Legal factors are now also central to the growth and management of
businesses. Worldwide legal oversight of businesses has grown a lot. from
labor to product quality and safety as well as environment, there are several
laws in areas that businesses must comply with. Noncompliance results in
severe fines and leads to major losses. It is why large technology brands like
HP have dedicated compliance teams that take care of the legal matters.
Moreover, laws vary from nations to nations and from market to market and
so brands must take care of each region’s laws where they are doing business.
A tussle with law can also hurt a brand’s reputation.
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BIBLIOGRAPHY
The content for this project report has been taken from the following sources:
Resources:
Hewlett Packard Annual Report 2017
HP Innovation Journal Issue13 Winter 2019
IDC Press Release 2019
Web Sites:
• https://www8.hp.com/in/en/home.html
• https://www8.hp.com/us/en/hp-information/index.html
• https://garage.ext.hp.com/us/en.html
• https://press.ext.hp.com/us/en.html
• https://investor.hp.com/home/default.aspx?/en/corp/about_us/explore-hp/investor-
relations
• https://support.hp.com/in-en/products/
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MARKETING STRATEGIES OF HP IN INDIA

HP (Hewlett Packard) is a market leading brand of personal computers, laptops

and printers. It came into being in 1939 through a partnership between

and printing products as well as other related technologies, solutions and

(Hewlett Packard Enterprise). Hewlett Packard Enterprise, as the name would

suggest, is focused on enterprise hardware products, such as servers and

Lenovo, Dell, Apple and Acer.

In these seventy-eight years HP had acquired a lot of companies to gain

leadership in its industry. Some of the companies acquired were Apollo

Computers, Compaq, Convex Computers, etc. Due to these acquisitions HP

overtook Dell in terms of market share in personal computer industry.

In the first quarter of 2020, Hewlett Packard's market share of global PC

shipments stood at 21.5 percent, making HP the second largest PC vendor

since 2012, reflecting an overall trend of consolidation within the PC market.

more than 60 percent in 2020.

innovation for faster market growth.

everyone, everywhere — every person, every organization, and every

community around the globe.” It has the following components:

prioritizes innovation. The company also ensures that there is no geographical

limitation by expanding into global markets.

HP core values include “customer loyalty, market leadership, growth, and

the organization as influenced by the core values.

HP’s Three Pillar of Success

The new HP is a textbook example of innovation. Established 77 years ago and

companies, the new HP Inc. began a journey to reinvent everything.

The reinvention journey started with a vision to create amazing technologies

that make life better for everyone, everywhere. To do this HP needed to

turn change into opportunities.

in the industry. Together, with the company’s experienced management team

Protecting the Core

is aggressively protecting and defending our Core business. Constant

devices—delivering the world’s most secure print experience, as well as a

comprehensive range of Managed Print Services. In consumer printing, the

pocket-sized Sprocket is a huge hit with smartphone-toting millennials.

In Personal Systems, HP took profitable share with innovative new commercial

products including Elitebook Folio G1 and new ZBook workstations. On the

consumer end, HP delivered beautifully designed, high performance solutions

for premium consumer categories like gaming and entertainment. This

Omen X gaming system.

Profits from the Core enable HP to pursue profitable growth in naturally

adjacent markets. To that end, HP began to reinvent the A3 copier market—an

industry that is ripe for disruption by introducing the A3 portfolio, including 16

new next-generation HP PageWide and LaserJet printers. Then to accelerate

innovation, HP reached a $1.05 billion agreement to acquire Samsung’s printer

innovation but significantly strengthen HP’s intellectual property portfolio.

HP also is aggressively pursuing growth opportunities in Graphics printing as

just delivered the 13th consecutive quarter of revenue growth.

In Personal Systems, HP is delivering innovative new commercial mobility

Creating the future

company continues to redefine industries by investing in the third strategic

pillar: The Future.

HP Labs, one of the eminent private research laboratories in the world,

celebrated its 50th anniversary in 2016. Because the world around us is

changing at an exponential rate, HP takes a long-term perspective on the

technologies based on those insights.

machines, electricity and mass production, and networked digital computers.

worlds into what HP calls “Blended Reality.”

The new HP Jet Fusion 3D Solution, a highly innovative commercial 3D printing

system, is poised to disrupt the $12 trillion manufacturing industry.