Generally, the paper 'Marketing of Internet Services at HP " is a good example of a marketing case study. At HP, the year 1999 was full of new opportunities and challenges as well. The company was making huge profits but it was also stagnating because of many organizational and innovational problems. Lack of proper marketing strategies contributed largely to these problems, which manifested themselves in decrease in revenue generation through computing systems, printing and imaging. The company needed to have an internet marketing strategy in place. In 1999, HP was handling the production of servers, workstations, printers and personal computers but it was yet to make any attempt at offering the products in the form of internet-based solutions (Stanford University Graduate School of Business 2000, p. 7).
In 1998, HP started to exhibit the characteristics of a large company: breadth, complexity and a loss of accountability. It was important to rethink HP’ s core marketing management strategy. Due to the decentralized nature of HP’ s management style, no single division could be said to be in charge of strategy. In this case, an internet strategy was needed. Additionally, the internet strategy was needed in response to the similar marketing campaigns that had been rolled out by IBM and Sun Microsystems.
The strategy entailed the ability to take risks and venture into new marketing horizons. The choice of people to manage the internet strategy had to have different levels of expertise and knowledge about HP. They also had to share in the frustration in the slow rate at which HP was venturing into the internet market segment. According to Shih (2004, p. 367), although HP had a good internet space, it had failed to communicate it in an effective manner.
For this reason, very few people in the market knew anything about it. The marketing department had not informed the public about internet security software and online web transaction solutions that HP was already offering to people who handle institutions using modern technology. The marketing problem was being compounded by the fact that the internet was evolving and that the era of a networked PC infrastructure was coming to a close. In fact, this era may be termed as the first wave in the era of the internet.
The second was taking over in 1999 and HP was not prepared for it at all. This wave entailed serving the people who were already relying on the internet in order to get connectivity to the services.
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