Swot

Essay text:

SWOT ANALYSIS STRENGTHS -completely compatible -sell their products through retailers such as Sears, Circuit City, Office Depot, and Comp USA -provide retailers with sales training and other forms of retail support (dealer advisory council, with reps from many of its retailers, established to provide feedback and advice -very liberal return policy (good customer service) -aggressive push into international markets (leader in most major markets) -developed 10-20% of its dealers into specialists in the new file servers and provided them with extensive training -1995, number one worldwide market share position in PCs -performing well in the business desktops and servers product segments in 1995 WEAKNESSES -ended its business relationship with Businessland in 1989 -low R&D expenditures -low investment on sales and marketing -lack of participation in the “Intel Inside” promotional campaign OPPORTUNITIES -pursue new segments of the PC market, including the home, education and small business -increased use of the Internet and e-mail -expansion to new foreign markets -more investment in R&D -gaining relationships with Walmart and other retail stores -establish a direct sales force THREATS -customers becoming more price sensitive -recession (early 1990’s), large corporations reducing or delaying further investments in information technology -Intel providing motherboards and full computers to Compaq’s competitors -PC market polarizing--rapid growth in low-end mass market and the high-end file server market SWOT ANALYSIS STRENGTHS -completely IBM compatible -sell their products through retailers such as Sears, Circuit City, Office Depot, and Comp USA -provide retailers with sales training and other forms of retail support (dealer advisory council, with reps from many of its retailers, established to provide feedback and advice to Compaq) -very liberal return policy (good customer service) -aggressive push into international markets (leader in most major markets) -developed 10-20% of its dealers into specialists in the new file servers and provided them with extensive training -1995, number one worldwide market share position in PCs -performing well in the business desktops and servers product segments in 1995 WEAKNESSES -ended its business relationship with Businessland in 1989 -low R&D expenditures -low investment on sales and marketing -lack of participation in the “Intel Inside” promotional campaign OPPORTUNITIES -pursue new segments of the PC market, including the home, education and small business -increased use of the Internet and e-mail -expansion to new foreign markets -more investment in R&D -gaining relationships with Walmart and other retail stores -establish a direct sales force THREATS -COMPETITORS (IBM, Apple, Macintosh, Packard-Bell, Hewlett-Packard, Dell) -customers becoming more price sensitive -recession (early 1990’s), large corporations reducing or delaying further investments in information technology -Intel providing motherboards and full computers to Compaq’s competitors -PC market polarizing--rapid growth in low-end mass market and the high-end file server market