HP Company vs. Its Competitors
The products that HP Computer Company in the United Arab Emirates deals in include laptops, toners, calculators, all in one printers, notebooks, digital cameras desk tops, all in one pc’s, fax machines, scanners and media storage devices, accessories and services, and all consumer products.
HP remains to be the leading technology and solutions provider in the region. Dubai internet city has attracted other key players in this sector that are competing with HP. These are Oracle and Microsoft computer based companies (Rehman, 2007, p. 157). Besides, Hp being a US based company has other competitors that include Dell, Sony Ericsson, PeopleSoft Computer Associates and Cisco systems. However, Hp has managed to occupy about 60% of the server market.
HP has very unique and quality products that make it very outstanding in the Dubai market. For example, it developed the HP Envy laptop which is among the global’s lightest and smallest laptop. It is protected with an advanced protectsmart that prevents data loss from the laptop incase it is dropped by accident.
In 2010, HP liaised with Jacky’s electronics in Dubai to come up with a Facebook competition that required fans to win the HP envy. This did not only improve the marketability of the company’s products, but also penetrated the market and received customer feedback on its products. In the last few years, HP managed to outdo Dell in the sale of PCs.
Hp markets most of its products such as low cost computers to Africa, and South and Central Asia. In addition, the government provides between 40% and 45 % market of the IT sector in Dubai. Besides doing this, the company encourages both businesses and consumers to utilize the products from HP and other companies (Oxford Business Group, 2007, p. 183).
Hp is a first mover company in the UAE market. Given that it could not compete with Dell in its direct sale approach, it devised and invented its own strategies in the market aimed at reaching at the retailers. Consequently, Dell imitated this as a second mover.
The competitors of HP have devised certain strategies. For example, Dell invented a marketing strategy to sell directly to customers at friendly prices. On the other hand, Oracle has liaised with Amazon Company. Oracle’s software runs on Amazon EC2 without allowing the customer to use an extra license.
Through this, its marketability is widened. The market share of HP and IBM has been rising while that of Dell and CAN has been declining. The reason for this is Dell’s strategy to sell directly to its customers at low costs. On the other hand, HP and IBM are performing well due to access to a greater market and research and extension.
SWOT Analysis
The strengths for HP are that first, it leads not only in the provision of imaging and printing, but also in the provision of personal computers. Second, it offers diverse customer based services such as support services, infra structure technology, business process outsourcing and maintenance. Moreover, it has a strong financial capability, global presence and a work force that is highly talented and seven organized business units which arte effective.
The company’s weaknesses include first, the dependence of its financial position on the nation’s economy. Second, the investments of research and development are less compared to the company’s expenditure. Third, employees have been demoralized due to pay cuts. Moreover, there’s inability to manage third party suppliers.
HP’s opportunities include, first, increased market growth and use of IT. Second, the internal IT structure is being restructured and this may provide more opportunities. Additionally, its digital printing portfolio is being expanded. The threats include stiff competition from other providers in the sector, competition in printing and imaging is increasing, and changes in foreign exchange of currency.
Database Segmentation and Targeting
HP is an IT based industry that has about 670 employees. It’s the leading provider in both technology and service. It has several outlets in numerous Middle East countries. It has occupied at least 60% of the market. The company has a long list of potential buyers and distributors of its products. Examples are Atlantix Global Systems, Web IT, West Coast ltd and Jap Tech Inc, among many others.
Market segmentation
Demographically, HP has a greater market share compared to its competitors. It is about 60% within the Middle East. Other markets include Africa and some Asia (South and Central). To access a greater number of consumers, HP provides the market with highly competitive products that suit the user needs. The products marketed by the company are need – based such that they are environmental friendly and enable customers to use IT in sustaining the environment.
Through HP, consumer based enterprises area able to get resources and tools to help in minimizing environmental effect of IT. Globally, the company ensures that consumers are provided with information on labor laws, environmental impact, social investment, privacy and human rights. Thus, this segmentation gives a clear picture of the target.
HP sells most of its products through numerous purchasing firms who help it distribute them to customers in different parts of the world. Their products are not only environmental friendly, but also enable consumers to save. Through its clear mechanisms in marketing its products to the customers, HP can influence the decision maker. The company also understands how the products should be used.
Reference list
Oxford Business Group (2007). The Report: Dubai 2007. Web.
Rehman, A. A. (2007). Dubai & Co: global strategies for doing business in the Gulf States. NY: McGraw-Hill Professional. Web.