Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Analysis

Home >> Darden Business School >> The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation >> Porter's 5 Forces analysis

Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Study Help

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Analysis might be conducted to develop various techniques using the strengths of the company to get opportunities, overcome weak points and to decrease the risks. It might also be utilized to evaluate that how certain weaknesses resist specific opportunities and increase the threats. The techniques prepared utilizing the Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Solution are given as follows;
• Usage of strong worldwide brand name position and financial resources in expanding towards possible markets.
• Unique brand name experience could assist the company to better position itself in new markets.
• Resistance in expansion in the possible global markets encouraging diversity.
• High costs limits the expansion in different Asian and African countries with low per capita income.
• Strong brand name recognition, non-traditional ways of marketing and the special brand name experience might be used to minimize the danger from potential customers.
• Rigorous look policies might caused the consumer shift towards Victoria with high social obligation.
• Minimal target audience could resulted in a decline in the overall market share of the company.
These strategies might help the company to improvise its market position and be at the leading position in the market.

Financial Analysis


Monetary analysis for Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Solution might be performed to examine the schedule of financial resources to the business that could be made use of in expansion towards global markets. The monetary position of the business could be assessed by utilizing the data given up the case Display 1. The ratios that might be considered in monetary efficiency analysis are given in the Table 1 below;

From the above Table 1, it might be seen that the company has a reasonable monetary performance with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net earnings margin does not seems to be possible and the business must put efforts in increasing its earnings along with decreasing its functional expenditures to increase its revenue margins.

Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Solution

Segmentation

Many of the company's Brick and Mortar stores are located in United States consisting of above 500 shops in almost each of the state of US. The business has likewise an international existence in 8 various countries with its greatest number of shops located in United Kingdom i.e. 21. The companyhas a total of 54 stores in international markets that is most likely the 10% of its shops in the US.

Targeting


The company targets its clothes brand to the young, tall and good-looking teenagers and kids that are thought about to be cool. This targeting policy is responsible for numerous differences in the company connected to its rivals. The business works with great looking males and women for its shops and follows a strict appearance policy to keep attraction of good-looking people towards its shops and offer a special brand name experience.

Positioning


The business has actually positioned its brand name as a high-end brand name targeting just a specific market sector. The business with its non-traditional methods of marketing through designs and representatives posters its brand name image as a luxury clothes brand targeted to the cool and good-looking characters in society. Although, this market position draws in different elite people towards the brand name however it harms the company's position in different communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (A) Strategy And Valuation Case Solution faces a lot of competitors in the market with the presence of various number of competitors in the market. Space is also thought about to be a possible rival in local as well as in international; markets as the company is thinking about to shift in the global markets.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.