In its Pavilion dm1-3101ea laptop, Hp has used the latest technology to make this product the most innovative, fastest, and the most liked electronic gadget in the market (Dixons 2011). To stay competitive, HP has to keep on introducing the latest models of its Pavilion laptops so that no other competitor can snatch its market share.
Social factors such as education, income levels, preferences, and other cultural factors influence demand patterns in the different regions and therefore affect how a company operates in different regions. The education and income level of consumers affect the perception of brand of different laptop manufacturers (Oliver 1999). The prices of laptop must be ascertained considering the income levels and other social factors affecting the purchase decisions of the consumers. HP has to keep in mind all these factors in order to attract the most potential customers from the target market (Farley 1964). The HP Pavilion dm1-3101ea is manufactured to target the quality and brand conscious people who want a reliable, fast, and modernized laptop (Dixons 2011).
Cultural aspects of different regions affect the occurrence of seasonal sales, which significantly affect the performance of HP laptop sales. For example, it is anticipated that HP Pavilion dm1-3101ea laptop will be best sold in Christmas and during new academic sessions (Dixons 2011).
Internal Environmental Analysis in the light of International Marketing Management Theories and Concepts:
SWOT Analysis for HP Pavilion dm1-3101ea
A. Internal Analysis:
A very well-established Brand in the field of Information Technology all over the world
Competitive Product and Process Design
One of the leading brands in innovation
The business has large amount of cash and has no financial issues.
Sales volume always shows a growing trend (HP 2011).
HP always thinks in strategic perspective, which makes its policies remain effective for a long period of time.
The HP products; including HP Pavilion dm1-3101ea 11.6" Laptop are very much appreciated throughout the world due to their products' design, reliability, and style (Dixons 2011).
A strong emphasis is given on Total Quality Management (TQM) even in making small low price accessories.
HP is a global enterprise and after some collaborative agreements with Compaq, the company became the world's biggest computer hardware and peripherals partner.
HP is operating in more than 170 countries including both developed and underdeveloped which is a proof for its high level of acceptability and appreciation (Clemons 2000).
Being a global dealer of hardware, HP dominates hardware market all over the world.
HP competes at local and international level with its strategies that support free-market economies. HP Pavilion dm1-3101ea 11.6" Laptop is available for the customers from all the developed, developing, and under-developed countries which are a proof that HP has a vast distribution network for this product as well as all other products (Dixons 2011).
The company remained in heavy debt for a long period of time which kept it away from investing in different growth opportunities (Dean & Tam 2005).
High machinery, manufacturing, and technology costs, etc.
HP's touch pads need improvements as they are comparatively lower in quality than those offered by Apple, Acer, and Toshiba.
The mouse buttons on various HP laptops are said to be clumsy to use. HP Pavilion dm1-3101ea 11.6" Laptop has brought a good level of precision in its mouse clicks but there is still a room for improvement (Dixons 2011).
Some of the heavy software is paired with slow hardware that resulted in poor performance in HP Pavilion dm1-3101ea 11.6" Laptop.
B. External Analysis:
Making the product cheaper to attract more customers. HP Pavilion dm1-3101ea 11.6" Laptop is expensive as compared to the other laptops of the same category and specifications
Entry in new markets though expansion or with long-term strategic coalitions and consortiums. This will help HP to generate more revenues and reduce its marketing costs. For this particular Pavilion dm1-3101ea 11.6" Laptop, HP can take the services of more retailers and distributors so that this laptop is available in every town and city.
HP can make more investments on R & D. To bring improvements in the upcoming models of its HP Pavilion dm1-3101ea 11.6" Laptop (Dixons 2011).
It can spend money on HR Development which will help produce highly skillful and specialized workforce (Clemons 2000). This specialized workforce will enable HP to stand on competitive grounds and keep on introducing such astonishing laptops as the HP Pavilion dm1-3101ea is.
HP must make its products with extendable capacity so consumers will not have to spend a big sum of money to buy latest models with advanced features every time. This will strengthen its brand loyalty
In this recession, new and small competitors are unable to compete, so HP has more chances to capture new customers for its HP Pavilion dm1-3101ea 11.6" Laptop (Dixons 2011).
HP has an opportunity to develop antivirus programs which will help secure operating systems from the ever increasing number of latest virus attacks in technology. This will contribute to an increase in its sales.
HP is restructuring its internal IT structure and expanding its digital printing portfolio; both are the ways it has adopted to create more opportunities for itself (Dean & Tam 2005).
HP Pavilion dm1-3101ea 11.6" Laptop faces a strong competition with the latest laptops of top brands; especially those offered by the few top market leaders of the world like Microsoft, Dell, Sony, Toshiba, Nokia, Apple, Samsung, etc. (Dixons 2011).
Day by day increasing costs of R&D.
Inflationary pressures associated with economies pose big threat to its sales and profitability.
Political & economic situations of different countries in which HP sells its products (Peattie 1997).
Consumers' ever changing and unpredictable priority changes and short life of IT products can make a model outdated in a very short period of time.
Some Chinese companies are very active in making replicas of the HP Pavilion dm1-3101ea 11.6" Laptop which are offered at low prices. These low priced products are also a big threat to original HP laptop sales world over.
Different cultural norms and religious views are also a threat for HP laptops. For example; some Islamic countries do not like American products to be sold in their markets and hence, cause threat to the firm's sales (Peattie 1997).
Global economic recession is also a threat to HP Pavilion dm1-3101ea 11.6" Laptop which restrains its entry into new markets due to increased import duties and taxes imposition in different parts of the world (Dixons 2011).
PRODUCT DESCRIPTION AND MARKET ANALYSIS
Product features and target market:
The HP Pavilion dm1-3101ea 11.6" silver laptop is a powerful laptop PC that can play DVD, video games and do everything that an inexpensive laptop would do. The market for HP laptop computer is all age groups; i.e. everyone who needs a portable laptop as opposed to a tower PC and anyone who requires fast computer working and networking (Dixons 2011). The consumers include business people who travel very frequently and also college students who are on regular move and also need computer for their tasks to be done on time. The market for HP Pavilion dm1-3101ea 11.6" silver laptop also includes the gamers who need a strong laptop with all latest features to support heavy video games (Dixons 2011).
Segmentation of the Target Market:
Target market segmentation is essential as customers vary with respect to their life styles, brand preferences, values, attitude and beliefs, and the ways they accept or reject a product (Perreault, Cannon & McCarthy 2009). The target market for HP Pavilion laptop can be segmented on the following basis:
1. Behavioral Segmentation:
Behavioral segmentation is done on the basis of customers' varying responses towards a particular product. It includes; seeking the benefits that can be realized from the product, the frequency of usage, brand preference, readiness to buy, and the impact of season, events, and occasions on the customers' purchasing behavior (Mohr, Sengupta, & Slater 2010). The target market for HP Pavilion laptop consists of customers from all the segments of the society, but each of those segments believes it to be a reliable brand in the IT industry that not only provides high quality products but also gives the value which customers seek from a brand.
It is obvious that customers only buy those products that either fulfill their unfulfilled needs or are they able to satisfy their inner self (Perreault, Cannon & McCarthy 2009). HP has designed its Pavilion dm1-3101ea to meet the requirements of the today's young generation and the business professionals. The astonishing features and modernized design along with the reliability of the World's top IT brand has made it the number one choice among all its competitor brands. Customers believe that their purchase behavior for HP Pavilion Laptop will never disappoint them in any case. Although the sale of HP Pavilion Laptop does not take…