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Product Launch Strategy In International Marketwith reference to Laptop
Sayed Abuturab Ar
Naik Prayag
Vijay Nalawade
Nilam Sawant
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Laptop
A laptop computer, also known as a notebookcomputer, is a small personal computer designedfor mobile use.
A laptop integrates all of the typical components
of a desktop computer, including a display, akeyboard, a pointing device and a battery into asingle portable unit.
The rechargeable battery is charged from an
AC/DC adapter and has enough capacity to powerthe laptop for several hours, enabling it to be usedvirtually anywhere.
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History Of Laptop
The First Laptop was Designed in 1979 by a Briton,William Moggridge, for Grid Systems Corporation, theGrid Compass was one fifth the weight of any modelequivalent in performance and was used by NASA on thespace shuttle program in the early 1980's.
Osborne 1. Adam Osborne, an ex-book publisherfounded Osborne Computer and produced theOsborne 1 in 1981, a portable computer that weighed24 pounds and cost $1795. The Osborne 1 came with
a five-inch screen, modem port, two 5 1/4 floppydrives, a large collection of bundled softwareprograms, and a battery pack
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Types of Laptop
Desktop replacement
A replacement computer is a personal computer that provides the fullcapabilities of a desktop computer while remaining portable. They areoften a larger, bulkier laptop. Because of their increased size, this class ofcomputer usually includes more powerful components and a larger displaythan generally used in smaller portable computers and can have a relativelylimited battery capacity
Sub notebook Laptops weighing typically between 0.8 to 2.7 kg and a screen of 6.4 to13.3 inches diagonally. A subnotebook is a small and lightweight portablecomputer, with most of the features of a standard laptop computer butsmaller. The term is often applied to systems that run full versions ofdesktop operating systems such as Windows or Linux, rather thanspecialized software such as Windows CE, Palm OS or Internet Tablet OS.
Netbooks A new subgroup of the traditional laptop computer, Netbooks are smaller,
more compact laptops that are designed for surfing on the internet andbasic word processing. Most of these Netbooks use 10 in. screens, weigh ataround 1.5 to 3.0 lbs, and are generally powered by either Intel Atom,Celeron, or via processors, due to their more favorable Performance per
Watt ratings and cost.
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Major brands and manufacturers
Acer - TravelMate, Extensa, Ferrari and Aspire Apple - MacBook, MacBook Air and MacBook Pro
ASUS - Asus Eee, Lamborghini
Compaq - Evo, Armada, LTE, and Presario
Dell - Inspiron, Latitude, Precision,Studio, Vostro and XPS
Gateway G7 LAPTOPS - CLASSIC, EXECUTIVE, PROFESSIONAL
Hewlett-Packard - HP Pavilion, HP Omnibook, HP CompaqNotebooks
Lenovo - ThinkPad, IdeaPad, and 3000 series
Panasonic - Toughbook, Let's Note (available in Japan only)
Samsung - SENS: M, P, Q, R and X series
Sony - VAIO: FJ Series, UX, TZ, NR, SZ, CR, FZ, and ARseries
Toshiba - Dynabook
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Reason for selecting product Laptop market has registered 79% Year-on-Year (YoY) growth
during 2006. The laptop sale is growing at much faster rate than projected.
India's personal computer market is undergoing a major transition.
However, laptop computers cannot completely wipe out desktopcomputers, because both are designed to meet different needs ordifferent consumer segments.
Market share of laptops would be 35-40% in the next two years.
The Laptop market is growing at a fast rate because of change inwork life of consumers. As the need for "anytime anywhere" accessto information is increasing, the sales of Laptops are also increasing.
Other factors that are responsible for the hike in sales figure are
reduction in prices and affordability. Laptops are now sold atapproximately half the price at which they were sold two years ago.Laptops prices are now almost at par with the desktop computer
prices.
The third most important factor is duty free import of Laptops as apersonal baggage that has helped a lot in increasing the penetration
level of the product among the consumer population. Awareness about laptops has also increased over the years.
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Company Profile
A new world company
Extensys Techpad was incorporated on 11 November1999, with Capital of 50 million dollar.
Company has benchmarked its operation based on topmost player like HP IBM.
Extensys Techpad a new kind of PC company, defiesgeographic and organizational boundaries on a globalscale:
We develop, produce, and deliver our products acrosscontinents
Our global company has corporate headquarters atMUMBAI
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Company Profile
Worldsourc
ing World sourcing Extensys Techpad answer to globalization. Our strategy
unleashes the power of innovation across our global team. World sourcingdramatically differs from outsourcing, the original globalization model. Withoutsourcing, developed markets manage innovation, marketing, and generalmanagement, while low-cost emerging markets manage raw materials, labor,and manufacturing. World sourcing means resources, opportunities, and
ideas can be found everywhere around the world.
We locate hubs of excellence where they create the most value. Our hubsenable us to solve customers needs with outstanding products. We can thendeliver these products expediently and efficiently thanks to our supply chainand logistics.
For our Think line of products, we focus our R&D efforts on solving
challenges companies face: managing their PC population efficiently,realizing a low total cost of PC ownership, and protecting valuable data fromtheft and damage. For our Idea line of products, we focus on individual andsmall business customer needs such as superior audio experience, personaldata protection, and a entertainment environment.
In todays economy, Lenovo believes customers judge companies solely bythe level of value they deliver to customers worldwide. Therefore, Lenovoromises customers and artners to deliver award-winnin PCs with an
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Product Features and Pricing
Brand Name: Extensys LS71
The Extensys
LS71 is a stylish 35.81 cms (14.1) notebooks delivered in ExtensysTechpad cool new chassis design and backed by the new architecture T2390
Intel Pentium dual core processor.
Specifications
Price Rs.39990.00*
Processor Intel Core 2 Duo T5450 (1.66 GHz, 667 MHz FSB)
Operating system Genuine Windows Vista Home Premium
Display size 15.4" WXGA Vibrant View TFT with integrated camera and TVtuner
Memory (std / max, type, speed) 2 GB / 4 GB, DDR2 SDRAM, 667 MHz
Memory slot (available / total) 0 SODIMM / 2 SODIMM
Hard drive160 GB, Serial ATA
VOptical drive DVD Recordable (Dual Layer), 24X Max ersion 2.0
Wireless Intel PRO/Wireless 3945ABG, Bluetooth + EDR Ethernet 10/100 Ethernet
Graphics chipset 128MBNVIDIA GeForce Go 8400M GS
Security deviceNone
Weight 2.71 Kg
Warranty7 Customer Carry-in Repair - One year parts and labour (systembattery: one year)
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Product Features and Pricing
ExtensysHS 99
The Extensys HS 99 emerges among the Extensys Techpad. Gallantly sporting sublime
looks, the Extensys HS 99 is a 12.1" ultra-portable notebook with crisp racing lines,luminescent dashboard lights, and space-age carbon-fiber reminiscent of a graceful Ferrari
race car that exudes uncompromising performance in an elite expression of style and class.
Specifications
Price
$1349 RS 62000
Processor Intel Core 2 Duo L7500 processor (1.60 GHz, 800 MHz FSB) Operating system Genuine Windows Vista Home Premium
Display size 11.1" WXGA TFT with integrated camera LCD Glossy
Memory (std / max, type, speed) 2 GB / 3 GB, DDR2 SDRAM, 667 MHz
Memory slot (available / total) 0 SODIMM / 1 SODIMM
Hard drive 120 GB, PATA
Optical drive USB Super Multi-Burner 24X Max, 24X Max
Wireless Intel Wireless WiFi Link 4965AG
Ethernet 10/100 Ethernet
Graphics chipset Intel Graphics Media Accelerator X3100
Security device None
Weight 1.09 Kg
Warranty Depot Repair - One year parts and labour (system battery: one year)
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Advantage of our product
Durability Upgradeability
Performance
Security
Parts standardization and compatibility
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Key Issuesin international market
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Key Issuesin international market
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Reason for selecting product
Laptop market has registered 79% Year-on-Year(YoY) growth during 2006.
The laptop sale is growing at much faster rate thanprojected.
India's personal computer market is undergoing amajor transition.
However, laptop computers cannot completely wipeout desktop computers, because both are designed tomeet different needs or different consumer segments.
Market share of laptops would be 35-40% in the nexttwo years
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Reason for selecting product
The Laptop market is growing at a fast rate because ofchange in work life of consumers. As the need for"anytime anywhere" access to information is increasing,the sales of Laptops are also increasing.
Other factors that are responsible for the hike in salesfigure are reduction in prices and affordability. Laptops arenow sold at approximately half the price at which theywere sold two years ago. Laptops prices are now almost atpar with the desktop computer prices.
The third most important factor is duty free import ofLaptops as a personal baggage that has helped a lot inincreasing the penetration level of the product among theconsumer population.
Awareness about laptops has also increased over the years.
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PEST Factor
A scan of the external macro-environment inwhich the firm operates can be expressed interms of the following factors:
Political
Economic
Social
Technological
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PEST Analysis of market
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Analysis of the US market
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Analysis of the US market
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market share
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market share
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Europe market analysis
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Europe market analysis
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Modes of entry in IB
The decision of how to enter a foreign market can have asignificant impact on the results. Expansion into foreignmarkets can be achieved via the following four mechanisms:
Exporting
Licensing
FDI with strategic alliance Joint Venture
Merger & Acquisition
FDI without strategic alliance
Green Field Strategy
Direct Investment
Special Modes of Entry
Contract Manufacturing
Management Contract
Outsourcing
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Selected mode of Entry: Acquisition
Our company by acquire various small & mediumenterprises who are into manufacturing of variouscomponents of laptop. This will help us in direct &cost effective sourcing of material requirements.
Over a period of last 2 years Company acquiredvarious SMEs which are as follows.
Syintia Enterprises
ReconsTech Pvt. Ltd.
IC tech & several others for about $25 million
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Selected mode of Entry: Acquisition
Company has acquire 65% stake in Trilogica solutionpvt ltd which specialize in providing after saleservices and customer management system. This willhelp in providing timely and efficient service tocustomer and to gain edge over competition
Company has tied up with UPS logistics which willhelp in procurement of component and distribution offinal product
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Theories of International Business
Various international trade theories are as follows Mercantilism
Absolute advantage: Adam Smith
Comparative advantage: Ricardo Factor Endowments Theory: Eli Heckscher and Bertil
Ohlin
International Product Lifecycle: Raymond Vernon
National Competitive Advantage: Michael Porter
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National Competitive Advantage: Michael Porter
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Business strategy of major player
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