INTRODUCTION
This research presents a strategic analysis of the Hew lett Packard Company. The results of the analysis are pre sented in separate sections concerning: (1) company profile; (2) strengths and weaknesses; (3) competitive advantage/dis advantage, and opportunities/threats; (4) primary strategies; (5) alternative strategies; (6) managerial assessment; and (7) an overall assessment of the company.
Hewlett Packard is a major designer and manufacturer of precision electronic products.1 In the context of annual sales volume, the company is the fourth ranking in the computer and peripherals industry. When those ahead of you are IBM, DEC, and Unisys, the steps back to number four are quite large.2
William Hewlett and David Packard started their business in David Packard's garage in 1938, in Palo Alto, California.3
1G. A. Niemond, "Hewlett Packard," Value Line Investment Survey, 4 August 1989, 1096.
2G. A. Niemond, "Computer and Peripherals Industry," Value Line Investment Survey, 4 August 1989, 1077 78.
3M. Moskowitz, M. Katz, and R. Levering, Everybody's Busi ness, rev. ed. (San Francisco: Harper & Row, Publishers, 1982), 432.
2Their first product was a new type of audio oscillator, which is a device used in the measuring of sound waves. The initial order for the product was placed by Walt Disney Studios.
During the Second World War, the company received a government contract to build microwave signal generators for use in anti radar devices. The earnings and experience derived from its war work placed the company in a good position to take advantage of the opportunities which were opened up by the development of thepost war electronics business.
The company grew through both new product introductions, and acquisitions. It was their introduction of the hand held scientific calculator in 1972, however, propelled the company to the forefront in c...