HP case analysis

Topics: Project management, Innovation, Marketing Pages: 3 (750 words) Published: July 16, 2014
Hewlett-Packard: The flight of Kittyhawk (A)
Introduction
Hewlett-Packard is a pioneer of printer industry, and they considered getting involved in to the Rigid Disk Drives. It was not convinced at first, and they needed professional advice from The Disk Memory Division (DMD). Bruce Spenner, the general manager of DMD, came to Hewlett-Packard and set up a project working on developing The Kittyhawk. He picked up the project team that meant they were going to figure out what the specification would be and how they were able to get access to achieving their goals. In addition, they analyzed every factors of marketing to target their costumers, indentify their competitors, and find the potential market of the Kittyhawk. They went through a hard time because only few companies might have the needs of the Kittyhawk. Eventually, they cooperated with Nintendo to obtain profit on 1.3” disk drive and make it breakeven to prevent failure of the new development. Analysis

Project: The project was too big so that it was difficult to implement. Hewlett-Packard was not exactly unable to do it; however, the failure of the project could hurt Hewlett-Packard deeply. Price: The cost was too high to afford by other companies. Hewlett-Packard’s customer was hoping that the price should be $49.95, but Hewlett-Packard cost $250 per unit that was immensely over the customer’s expectation . Market: Hewlett-Packard targeted wrong markets that meant the 1.3” hard drive was a potentially disruptive technology, but Hewlett-Packard had positioned it as a sustaining technology. Vertical Integration: Hewlett-Packard had come up with a new idea;however, they only focused on the specific item. Other technological integrations were not their consideration. Conclusion

The case of Hewlett-Packard had shown how important disruptive technology was for a company. In order to make the development of disruptive technology perfect, every company is supposed to clarify everything clearly such as the...
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