Beruflich Dokumente
Kultur Dokumente
ON
MARKETING STRATEGIES OF
HP IN INDIA
Submitted By:
Ms. SUMEDHA
SEJAL
VISHNOI
Associate Professor
MAIMS
BBA GEN
STUDENTS DECLARATION
ACKNOWLEDGEMENT
First of all, I would like to express my thanks to Prof. C.S.
SHARMA(Director, MAIMS) for giving me such a wonderful
opportunity to widen the horizons of my knowledge.
In no small measures, I would also like to gratefully thank to all those
who gave me constructive suggestions for the improvement of all the
aspect related to this project.
In particular, I would like to thank Ms. SUMEDHA, my research guide
for her valuable suggestions and guidance.
I also owe a deep sense of gratitude to other faculty members for their
continuous encouragement.
Despite all efforts, I have no doubt that error and obscurities remain that
seen to afflict all research project and for which I am culpable.
TABLE OF CONTENTS
TITLE PAGE
STUDENTS DECLARATION
II
ACKNOWLEDGEMENT
III
INTRODUCTION
ABOUT HP
HP FAST FACTS
GLOBAL CITIZENSHIP
MARKETING MIX
10
COMPETETIONS
23
RESEARCH METHODOLOGY
26
RECOMMENDATIONS/SUGGESTIONS
45
46
CONCLUSION
47
QUESTIONNAIRE
48
BIBLOGRAPHY
51
CHAPTER-1
INTRODUCTION
INTRODUCTION
About HP:
Hp is a technology company that operates in more than 170 countries around the
world. It explores how technology and services can help people and companies
address their problems and challenges, and realize their possibilities, aspirations
and dreams. It applies new thinking and ideas to create more simple, valuable and
trusted experiences with technology, continuously improving the way our
customers live and work.
No other company offers as complete a technology product portfolio as HP. It
provides infrastructure and business offerings that span from handheld some of
the world's most powerful supercomputer installations. It offers consumers a wide
range of products and services from digital photography to digital entertainment
and from computing to home printing. This comprehensive portfolio helps us
match the right products, services and solutions to our customer's specific needs.
MISSION
Hps mission is to invent technologies and services that drive business values,
create social benefit and improve the lives of customers with a focus on affecting
the greatest number of people possible.
HP FAST FACTS
1.
2.
3.
4.
5.
6.
7.
8.
9.
TECHNOLOGY LEADERSHIP
Hps three business group drives industry leadership in core technology areas:
1. The personal system group: business and consumers pcs, mobiles
computing devices and workstations.
2. The imaging and printing group: inkjet, laser jet and commercial printing,
printing supplies, digital photography and entertainment.
3. The technology solutions group: business products including storage and
servers, EDS, managed services and software.
CONTRIBUTION
Global citizenship encompasses our commitment to align our business goals
with our impact on society and the planet. It is one of our seven corporate
objectives, rooted in hps founding values and key to success. For more than
70 years, global citizenship has influenced how it runs our business, holding
us to higher standards of integrity, contribution and accountability in
everything it do.
It focuses our energies and expertise in five areas:
1. Ethics and compliances
2. Human right and labor practices
3. Environmental sustainability
4. Privacy
5. Social investment
Global citizenship
Serving enterprises
At hp, it continually explores how technology and services can create new and
better way for people to live, work and to transform their current play. Every day it
partner with our largest customer IT environment into business assets. It recognizes
that CIOs are now business managers who specialize in technology. It work hard
to help them create more manageable IT environments that costs less to operate
their IT infrastructures, speeding access to information, enabling faster
communication between branch offices and headquarters or helping them deal with
obsolete IT equipments. HP solutions leverage our broad portfolio- from servers
and storage to software and services, imaging and printing, and personal
computing technology-to help companies drive growth, lower business risk, and
cut costs.
DRIVING TECHNOLOGY
TRANSFORMATION
With the volume of data today increasing faster than our abilities to capture and
use it, the industry is rapidly shifting to a model where everything can be delivered
as a service. People want instantaneous access to content and information that they
care about. Meeting this worldwide demand for information and rich digital
content will require dynamic, compelling services. The fundamental building
blocks of this model will be smarter, more intelligent networks, next generation
data centers; and perhaps most importantly, software that blinds all the disparate
elements together. Over the next five years, hp will invest $20 billion in research &
development. It believes that the power to propel the industry forward and improve
the ways our customers live and work.
HP Retains Leadership
2009 PC Shipments (Desktop PCs +
Notebook PCs)
PCs)
Vendor
Market Share
Vendor
Market Share
Hewlett-Packard
15.6%
Hewlett-Packard
18.2%
Dell
11.0%
9.8%
9.6%
Dell
9.7%
Acer
7.7%
Acer
7.3%
Lenovo
6.6%
Lenovo
4.7%
MARKETING MIX
Marketing Mix
Product
Place
Promotion
Price
A firm does not sell only a product. It sells product benefits. Product is the most important
variable in the marketing mix of the firm. If the product is sound &easily acceptable
to the market if it satisfies sellers need, consumers preference & is carefully fitted to the
needs & desires of the customers, sales success is assured. Hence, product is the center of
all marketing policies &decisions. The marketing planning begins with the product
& also ends with the product.
Company plans to increase their product range in the future. A brief description of
some products is as follows: Products Name:
1. Laptops, Notebook Computers & Tablet PCs
i. Everyday computing
Laptops for movies, music, photos and multitasking in your home
home office
ii. Performance & entertainment
Laptops for cutting-edge entertainment and gaming
iii. Ultra portable
Laptop computers or tablet PCs for on-the-go personal
productivity and connectivity
iv. Mini
Perfect companion PC to keep you connected while you
are on-the-go
i.
or
ii.
Compaq laptops
Advanced features for business
iii.
ProBook laptops
Stylish and affordable for small business options
2. Other laptops
i.
ii.
Color Printers
a) Inkjet printers
DeskJet, Office jet, and Business Inkjet printers
I. Home inkjet printers
II. Business inkjet printers
b) Color laser printers
Color laser printers with HP LaserJet performance
I. Home colour lasers
II. Business colour laser
c) Large-format printers
HP Design jet, Design jet Commercial and Scitex printers; HP Indigo presses
I. Design jet printers
II. Other graphic arts products
ii.
1. Laser printers
HP LaserJet printers for high-speed, high-volume, high-quality
Printing
of
wires
Competitive pricing: - HP India Pvt. Ltd. adopted the method of pricing called
competitive pricing for their PCs. Under this policy, the price of HP PCs is fixed
according to the price of other competitor brand of the market & the price moves
accordingly.
The price list of the some IT Products of HP India Pvt. Ltd. is as follows:
Desktop
Price
$972.99
$999.99
$349.99
$799.96
$659.99
Model
$379.99
$1175.0
0
$979.95
$972.99
$1299.9
9
and convinces the buyer & enters into this consumer behavior. Promotional efforts
act as powerful tools of competition providing of cutting edge of its entire
marketing programmed. Promotion has been defined as the coordinated self
initiated effort to establish channel of information & persuasion to facilitate or
faster the sale of goods or services, or the acceptance of ideas of points of view. It
is a non-price competition.
Broadly speaking, promotion means to push forward or to advance ideas in such a
way as to gain its acceptance & approval. It is an effort by the marketer to inform
and persuade buyer to accept, resell, recommend, or use the article, services or
ideas, which is being promoted. The promotional activity always attempts to affect
knowledge, attitude, preferences & behavior of recipient, i.e. buyers. The element
of persuasion to accept ideas, products, services etc., is the heart of promotion.
You may have the best product, package & so on. It may have a fair price. But
people will not buy your products, if they have never heard of it, and they are
simply unaware of its existence.
The market must communicate to his prospective buyer & provide them adequate
information in a persuasive language. People must know that the right product is
available at the right place & at the right price. This is the job of promotion in
marketing. In essence, promotion is the spark plug in our marketing mix. It is said
that:Nothing until somebody promotes something
Promotion can create & stimulate demand, capture demand from rivals and
maintain the demand of your products even against keen competition. It is true that
nothing can be sold & nothing can make money (except mint) without means of
promotion.
1.
2.
3.
4.
1. Sales promotion
Sales promotion is an important instrument in marketing to lubricate the marketing
efforts. Today, sales promotion is a necessity & not a luxury. It is not expenditure,
it is an investment, which can pay a rich dividends. It is an integral part of
marketing effort.
In a specific sense, sales promotion includes those sales activities that supplement
both personal selling & advertising & coordinated them and help to make them
effective such as displays, shows and expositions, demonstration and other
nonrecurring selling effort not in a ordinary routine. Sales promotion aims at
stimulating the purchasing at the point of sales & dealers effectiveness at the retail
channel of distribution.
Sales promotion with the reference of HP India Pvt. Ltd.
Company plans to follow two kinds of promotional tool for their products. They
are: (a)
(b)
Dealers promotion
Customers promotion
the industrial associations in the form of trade fairs & conventions o stimulate the
sale result of their intermediaries.
2. Advertising
The modern age is an era of competition. To withstand competition manufactures
have to think of new & unfamiliar uses for their products or they have to find out
new buyers for their products. The patent medicine people were the first to prove
what advertisement could do.
Advertisement is the art of influencing human action the awakening for the desire
to possess & possess your product.
Advertisement consists of all the activities in presenting a group a non-personal,
oral or visual, openly sponsored message regarding a product, services or idea.
After making proper distribution channels, corporate plans to come through the
media, because advertisement on media requires heavy investment.
As far as advertisement is concerned HP India Pvt. Ltd. provides claim to their
respective stockiest of the different districts of the state for the local awareness /
promotion as per required by the stockiest of the districts.
Local promotion includes Banners, Holdings, and Cable TV. Adz Installing, Trade
fairs, sponsorships etc. for the awareness of their products to the local customers.
Because of the company doesnt come through the media in present time i.e. why
company bears all the expanses for the local promotion as required by the
distributors?
It is true, that it is not sufficient in todays high competitive marketing scenario, but
after the attainments of the proper distribution channel company definitely come
through the media which is a powerful source of demand generation in todays
tough marketing scenario & it is definitely provides a strong consumer pull to the
new products of the HP India Pvt. Ltd.
3. Personal selling
A salesman is one who practices the profession of selling. One can learn a lot about
selling and salesmanship just by thinking about definition of personal selling.
American marketing association defined salesmanship as the process of including
and assisting a prospective buyer to buy a commodity or service or to act favorably
upon an idea that has commercial significance to the seller.
E.F. Schumaker defined selling as the process affecting the transfer, with a profit
to buyer & seller, of goods & services that gives such lasting satisfaction that the
buyer is predispose to come back to seller for more of the same.
Personal selling refers to oral presentation in conversation or more prospective
customers for the purpose of making sales.
Personal selling involves two-way communication, a well defined problem is half
solved. Due to seller buyer interaction, personal selling alone can provide
immediate feedback of information, which enables salesman to understand
properly the buyers mind, his problems, his needs & his preferences.
through which products move from the point of production to the point of
consumption. Distribution channels are also called Trade channels.
Distributors
Retailers
Customers
Central
Distributors
Western
Distributors
Retailers
Retailers
Customers
Customers
COMPETITORS
Major Brands of Computers in India
HCL Info systems:
HCL Info systems Ltd is one of the pioneers in the Indian IT market, with its
origins in 1976. For over quarter of a century, we have developed and implemented
solutions for multiple market segments, across a range of technologies in India.
The countrys number one desktop brand had yet another great year selling
4.76 lakhs units. The company targeted aggressively the B and C class cities and
upped its distribution network. The significant milestones over the last year include
the launch of the low cost Ezeebee Pride that came with an attractive price tag of
Rs 12,990. It attacked all the buying segments with low cost processors like via to
industry standard P4 HT offerings. The aggression HCL showed in pricing its
product in a way kick-started the price war with brands like Acer, and vendors like
HP cutting down end-user price points. Another significant development for HCL
was its launch of the high-end home PC called Neo, complementing its Beanstalk
range. Neo was also the first desktop brand in India to come with Windows XP
Media Center OS. Meanwhile, on the Notebooks front, HCL is the exclusive
distributor of Toshiba in India whose volumes scaled to 20,000 units, compared to
last years 11,600 units. With Toshiba aligned to the
Higher end of the spectrum HCL was unable to tap the low and mid-end segments
of the portables. And to plug that, during the year the company made a low key
launch of its own brand of notebooks called eZeebee and Powerlite, which
summed up to 3,000 units during the fiscal. Meanwhile, the banking vertical did
buy aggressively with large mandates from SBI and other nationalized banks. From
the government side, nodal agencies like Tamil Nadus ELCOT also went for largescale installations. As a result of growing demand for its offerings, the company is
in the process of expanding its Pondicherry plant.
Compaq India:
The worlds largest seller of PCs entered India in 1994. Initially, the commercial
segment (large corporations, government, educational & research institutions) was
its main target segment. But with recession in the economy in mid 1990s and the
consequent slashing of IT budgets of corporate, it turned its attention to the home
segment. However, it soon realized that its PCs, although perceived well on
reliability and quality, were considered too expensive. The assemblers and Indian
brands were cornering a major chunk of the market. It slashed prices of its sub
brand Presario from Rs.65, 000 to Rs.50, 000 to penetrate into the price conscious
Indian households.
At the same time, Compaq is aggressively going after corporate segment by
offering a range of products tailored around services to meet specific needs. Its
merger with Digital Equipment further strengthened its position in the high-end
server market.
Wipro Limited:
Wipro intends to focus more on the lucrative services business in future. Already,
services accounts for more than half of its turnover. In contrast, the contribution of
systems business dropped from 43 per cent to 25 per cent.
It had a joint venture with Acer for marketing the Wipro-Acer brand of PCs.
However, they called it off in 1999.
Wipro has a 500-strong dealer network. It also distributes IBM PCs and Sun
Microsystems.
Research Methodology
In application of market research the research has to go through several steps or
stages and these steps are following.
Step 1: Defining the Problem:
Defining the problem is the most important part of the market research process,
because wrong definition misdirects research.
The type of the research to be carried out, the questions to be raised, and the
sampling procedure to be followed and the data to be collected, all depend on the
current understanding of the problem.
HP is having tough competition in the market with other players these players are
assemblers and branded. There are many factors, which influence the buyer for
purchasing the PC.
A major step in the conduction of marketing research is the decision regarding the
nature of research design we are selecting for the purpose of our study.
The benefits of research design are that it evaluates clients need in terms of results
and the analytical work on the gathered data that will convert it to useful findings
for the management.
The selection of a particular design depends on the causality of the variables
involved.
For the purpose of our study we intend to take up descriptive design.
They cover research designs that are intended to produce accurate descriptions of
variables relevant to the decision being faced, without demonstrating that some
relationship exists between variables.
Decision makers very often choose or are willing to accept descriptive data, which
would permit only inferences to be drawn about causation.
Here we are using cross-sectional design to produce a picture of the phenomena in
which the decision maker is interested for example, the market shares of various
firms, consumers brand images and consumption, consumer perception regarding
PC
Step 2: Develop the Research Plan:
The second stage of marketing research calls for developing the most efficient plan
for gathering the needed information.
Designing a research plan calls for decisions on the data sources, Research
approaches, research instruments, sampling plan, and contact methods.
Research Approaches:
Primary data can be collected in five ways: Observation, Focus groups, Surveys,
Behavioral-data, and Experiments.
Observation research:
Fresh data can be gathered by, observing the relevant actors and settings.
Focus group research: A focus group is a gathering of six to ten people who are invited to spend a few
hours with a skilled moderator to discuss a product, service, organization, or other
marketing entity. The moderator needs to be objective, knowledgeable on the issue,
and skilled in-group dynamics. Participants are normally paid a small sum for
attending. The meeting is typically held in pleasant surroundings and refreshments
are served.
Survey research: Surveys are best suited for descriptive research. Companies undertake surveys to
learn about people's knowledge, beliefs, preferences, and satisfaction, and to
measure these magnitudes in the general population.
This approach best suited for project-research hence this method was adopted
(survey-research) for the project work.
Behavioral Data:
Customers leave traces of their purchasing behavior in store scanning data, catalog
purchase records, and customer data bases. Much can be learned by analyzing this
data.
Experimental research:
The most scientifically valid research is experimental research. The purpose of
experimental research is to capture cause- and-effect relationships by eliminating
competing explanations of the observed findings.
1. Data Sources: The researches can gather secondary data, primary data, or both.
Secondary data are data that were collected for another purpose and already exit
some-where. Primary data are gathered for specific purpose or for a specific
research project.
When the needed data do not exist or are dated, inaccurate, incomplete, or
unreliable, the researcher will have to collect primary data. Most marketing
research projects involve some primary data collection.
Same is the case for our project as well. For the purpose of our study we have
collected primary data in the form of (1) the datas nature and (2) its function in the
ultimate interpretation and analysis.
Types of data
1. Demographic
2. Sociological
3. Psychographic
4. Behavioral
Here we are going to analyze the opinions that how people perceive something
what they believe about it and what those believes signify. The most potent form of
opinions tends to be attitudes, which are mental sets of predispositions to act in
some manner.
Here in our project we intend to analyze the opinions and attitudes of the target
population by using appropriate sample. So the data collected in our project is
basically demographic and behavioral.
Communication approaches
In deciding on which of the several of communication means to choose, a
researcher has much to consider a simple division of communication media into
two broad types: observation and questioning. Also we will consider the matters of
whether to use structure and disguise.
From the point of view of our project we have selected the questioning method of
communication with our selected respondents, and for that purpose we have
drafted a questionnaire to quantify and evaluate the customer responses.
2. Questioning
In the majority of research problems, the required information can be gained only
by asking for it. This is done mainly by interviewing, but also data maybe obtained
through self-administered questionnaires distributed by mail and other ways. As
explained earlier that we have selected the questionnaire method of data
acquisition, therefore, we choose to draft the questionnaire having closed ended
questions and that will help us quantify the results in an appropriate format.
Research instruments:
instruments:
FUNCTIONS OF QUESTIONNAIRES
CONSUMER BEHAVIOUR
CONSUMER BEHAVIOR- BASIC STRATEGY
It is a matter of wonder that why people behave the way they actually do in the
market place. At times we are mystified by our own acts being unable to rationalize
them. Innumerable questions constantly agitate the mind. For example, do
advertisements lure us into buying the products advertised? Why people buy
impulsively on some occasions, but in other instances act as careful shoppers?
These questions and such other questions infact are of equal importance to the
marketer. For example, if a marketer can unravel the consumer behavior what do
they buy, how do they buy and so on he can orient his strategy around these
answers. Such a marketer can acquire, serve, and retain the customers for life.
Knowing the customer thus is very important. A study of consumer behavior,
though not guaranteeing 100% success in the market place, raises the possibility of
success. By studying the potential customer, marketer gains insight into the
attitudes, interests, lifestyles, etc. of the target segment. It will help, for example a
marketer to understand how westernized portrayal of women will be acceptable to
the customers in say, a cosmetic advertisement. Thus, broadly speaking, consumer
behavior study aims at identifying groups of consumers with similar life styles who
are likely to behave in a similar manner when some product related news is
communicated to them. Then a marketer can adopt effective strategies to reach
them, and make an offer.
DECISION MAKING PROCESS
When a prospective customer receives a marketing cue (product, price, promotion,
and placement related) he undergoes a process of decision making. This decision
making is conditioned by a variety of factors like personal, interpersonal, and nonpersonal factors. If the impact of these factors is positive, then the customer can
decide to purchase else a purchase may not take place.
The consumer decision-making model is an appropriate tool this time to present
the real conditions in which the consumer decides to purchase. The all