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 user 2005-09-23 at 12:39:00 pm Views: 104
  • #12911

    HP plans divergent India, China strategies

    New Delhi September , 2005

    Hewlett-Packard (HP) has
    chalked out aggressive plans for Asia Pacific with major thrust on
    emerging markets such as India and China. The company will bank upon
    different strategies for these two countries.
    In India, HP will continue to ride on its highly successful dual brand
    strategy and look to address the entry-level segment, while for China
    the focus will be on aggressive geographical expansion to tier II
    cities, said See Chin Teik, vice-president, consumer desktops and
    mobile products, Asia Pacific, Personal Systems Group.
    “Our plans for India also include the launch of entry-level Compaq
    Presario PC with unique chassis and aggressive geographic expansion
    with retail expansion,” Chin Teik added.
    As per IDC India Quarterly PC Market Tracker report, for the quarter
    ended July 31, HP has retained its top slot with a sequential rise of
    19 per cent and a y-o-y 45 per cent growth in the overall client PC
    market in the country.
    Apart from the PC market, company executives remained confident that
    its newly unveiled inkjet printers, based on the scalable printing
    technology platform, will see large takers in Asia-Pacific among home
    users, medium-sized businesses and high-volume printers.
    “As per our expansion plans, H-P will bring its digital entertainment
    solution- the Pavilion Media Centre PC, to the entire region, with
    focus on markets such as India, Indonesia, Malaysia, the Philippines,
    Taiwan and Thailand by October 2005,” said Chin Teik.
    The company is buoyed by the fact that strong sales from the
    Asia-Pacific and Japan region has resulted in the US giant post a
    healthy 10 per cent growth to $20.8 billion worldwide for the fiscal
    ended July 31.
    The company’s Asia-Pacific sales registered the highest growth of 15 per cent and it crossed the $3.5 billion-mark in revenues.
    In yet another strategic move, the company is using its Asian R&D
    centres, including the one in Bangalore, to drive its research and
    innovation. For instance, the R&D work for its latest range of
    printers, which were the result of a five-year $1.4 billion investment,
    were predominantly from its Asian bases and coordinated by the
    Singapore centre.
    “We rely on our Asian centres for local market research and product
    development as cost sensitivity is best addressed in Asia,” Christopher
    Morgan, Senior V-P, imaging and printing, H-P Asia.