Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Solution

Home >> Darden Business School >> The Merger Of Hewlett-Packard And Compaq (B): Deal Design >> Porter's 5 Forces analysis

Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Study Analysis

A Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Solution might be carried out to create various methods utilizing the strengths of the business to obtain chances, get rid of weak points and to lower the dangers. It could likewise be used to examine that how certain weaknesses withstand particular chances and increase the risks. The techniques drafted utilizing the Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Solution are offered as follows;
• Usage of strong worldwide brand name position and financial resources in expanding towards prospective markets.
• Distinct brand name experience could help out the business to better position itself in brand-new markets.
• Resistance in expansion in the potential international markets encouraging variety.
• High prices limits the expansion in numerous Asian and African countries with low per capita income.
• Strong brand recognition, non-traditional ways of marketing and the unique brand name experience could be used to reduce the risk from possible clients.
• Rigorous look policies might led to the consumer shift towards Victoria with high social duty.
• Limited target audience might resulted in a decline in the overall market share of the company.
These techniques might assist the business 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 (B): Deal Design Case Solution could be performed to assess the availability of financial resources to the company that might be used in growth towards international markets. The monetary position of the business could be assessed by using the information given up the case Display 1. The ratios that could be considered in monetary performance analysis are given in the Table 1 listed below;

From the above Table 1, it could be seen that the company has a sensible financial performance with a ROE of 7.9% and a high sales development of 18.4%. Although, a 4.3% net profit margin does not seems to be potential and the company should put efforts in increasing its earnings along with lowering its operational costs to increase its revenue margins.

Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Solution

Segmentation

Many of the company's Brick and Mortar shops are situated in US including above 500 shops in nearly each of the state of United States. The company has also a global existence in 8 various countries with its greatest number of stores situated in United Kingdom i.e. 21. The companyhas an overall of 54 shops in global markets that is most likely the 10% of its shops in the US.

Targeting

The business targets its clothing brand name to the young, tall and attractive teens and kids that are thought about to be cool. This targeting policy is accountable for different differences in the business related to its rivals. For example, the business hires excellent looking men and women for its shops and follows a stringent look policy to keep tourist attraction of attractive individuals towards its shops and supply a distinct brand experience.

Positioning

The company has actually positioned its brand as a high-end brand targeting just a specific market segment. The company with its non-traditional methods of marketing through models and representatives posters its brand name image as a high-end clothes brand targeted to the cool and good-looking personalities in society. Although, this market position draws in numerous elite individuals towards the brand but it hurts the company's position in numerous communities focused at the equality in society.

External Analysis

Competitor Analysis

Porter's 5 Forces analysis of The Merger Of Hewlett-Packard And Compaq (B): Deal Design Case Solution deals with a lot of competition in the market with the existence of different number of competitors in the market. Gap is also thought about to be a prospective rival in regional as well as in global; markets as the company is thinking about to move in the international 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.