HP Value Chain Analysis to Term Paper

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HP has been able to distinguish itself, despite the increasingly pluralistic industry structure, to stress its ability to provide helpful advice to home customers and small and medium size businesses, thus enhancing its differentiation in the industry, and creating a friendly yet professional image for itself in the minds of consumers. This makes consumers specifically look for HP products, rather than relying on middleperson's advice, and other aspects of the value chain that increases cost and necessitates more advertising dollars to be spent on the part of the company.

The superiority of its support services for current users and its alliance with wireless services such as Noika have enabled it to create new business networks and enhance its competitive scope and advantage in the technology industry. HP has made a commitment to technical innovation in transforming the products sold, by making products cheaper for the consumer and more common by deploying the fast-paced direction and pace of change in the industry to its benefit, through the Internet's driving force of advertising and direct marketing.

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It has not always been able to change the nature of the playing field of competition and the change the nature of the industry structure to its advantage as it might ideally desire, but it has retained a competitive advantage for the industry in the field, by exploring the area of wireless and digital technology, and if not lowering the costs of production, then enhancing company name and product differentiation, through marketing a consumer and small and medium sized business friendly image. By stressing the company's competitive scope in terms of changing people's lives through technology one customer at a time, by providing helpful advice and accessible information for its customers it thus has continued to create new businesses and business opportunities for the company. As its website reads, "HP's mission is to invent technologies and services that drive business value, create social benefit and improve the lives of customers -- with a focus on affecting the greatest number of people possible." ("HP Fast Facts," 2004)

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