Porter’s Five Forces Analysis of Hewlett Packard (HP)

Hewlett-Packard is categorized in the Diversified Computer Systems industry of the Technology sector. Within the Computer Systems industry Hewlett-Packard has many high profile competitors such as: Canon, Dell, IBM, Apple, and Cisco Systems. The Computer Systems industry contains a large range of products including but not limited to: desktop computers, personal notebooks, printers, scanners, cameras, and different software programs. Most companies, such as Dell, Apple or Gateway, tend to be limited to a small product range. Compared to other industry competitors, Hewlett-Packard has a wide variety of consumer products. This gives HP a competitive advantage in the consumer market due to their brand name coverage in the technology industry. Hewlett-Packard offers desktops, notebooks, handhelds (pocket PC’s), monitors, home networking, televisions, digital photography, printers and printing supplies. Hewlett-Packard does not specialize in just one product line. With new technology innovations, some of their previously lesser known lines have grown to be some of their largest. In the past five years, Hewlett-Packard’s imaging and printing division has grown substantially due to the popular home photography printing.

Porter’s Five Forces Analysis Competitive Force 1: Rivalry among Existing Firms

Competition among existing firms is one of the biggest threats for Technology Industry companies. There are many large companies with a strong foothold in the technology industry, making each competitor’s revolutionary idea a factor in the consumer’s decisions. In the past ten years, the technology industry has grown exponentially. The size, quality, functions and appearance of all technological devices and software are continually improving. A good example of the technological revolution is the ever changing photography world.… Read the rest