This research provides a brief marketing analysis of the International Business Machines Corporation (IBM). The corpor ate headquarters are located at Armonk, New York; however, the firm operates research, production, sales, and service facili ties in locations throughout the United States (US), and in many foreign countries (Standard & Poor's, 1989). IBM operates in several industries. The emphasis in this analysis, however, is on the company's operations in the compu ter and peripherals industry, which accounts for well in excess of 50 percent of the company's total revenues and profits (Standard & Poor's, 1989).
IBM's chairman and chief executive officer (CEO) is John Akers. In total, the company employs in excess of 387 thousand persons (Niemond, 1989b).
More than eight hundred thousand individuals and organiza tional entities own common shares in IBM. Of the more than 580 million common shares outstanding, six tenths of one percent are held by insiders (Niemond, 1989b).
Total sales at IBM increased annually from 1986 through 1989, and such increases are projected through 1993 (Niemond,
1 21989b). Total annual sales of $51.3 billion in 1986 increased 5.6 percent to $54.2 billion in 1987, and a further 9.8 percent to $59.5 billion in 1988 (Niemond, 1989b). The sales increase in 1989 was 5.9 percent, which brought total sales to $63.0 billion (Niemond, 1989b). Total sales of $66.0 billion, an increase of 4.8 percent, are expected in 1990, and, by 1993, annual sales of $90.0 billion are anticipated (Niemond, 1989b). Annual sales increases in the 1991 1993 time period are pro jected to be in excess of 12.0 percent.
IBM is the dominant firm in the computer and peripherals industry. A comparison of industry and IBM sales for the 1986 1989 time period are presented in Table 1, which may be found below on this page. As the data presented in the table indi cate, IBM's total market share deteriorated during t...