"Corporate Selling: & Feedback" FOR
"Corporate Selling: & Feedback" FOR
"Corporate Selling: & Feedback" FOR
Dissertation Submitted to the Padmashree Dr. D.Y. Patil University in partial fulfillment of the requirements for the award of the Degree of
Research Guide:
December 2008
CORPORATE SELLING
& FEEDBACK FOR
Dissertation Submitted to the Padmashree Dr. D.Y. Patil University in partial fulfillment of the requirements for the award of the Degree of
Research Guide:
December 2008
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DECLARATION
I hereby declare that the dissertation Corporate Selling and Feedback for HCL Submitted for the MBA Degree at Padmashree Dr. D.Y. Patil Universitys Department of Business Management is my original work and the dissertation has not formed the basis for the award of any degree, associate ship, fellowship or any other similar titles. Place: Navi Mumbai Date:
Acknowledgement is an art, one can write glib stanzas without meaning a word, on the other hand one can make a simple expression of gratitude.
Industrial training is an integral part of any Master of Business Administration program and for that purposes I had joined a company what else can be as good as HCL Infosystems Ltd, India's premier information enabling company. I take the opportunity to express my gratitude to all of them who in some or other way helped me to accomplish this challenging project in HCL Infosystems Ltd. No amount of written expression is sufficient to show my deepest sense of gratitude to them. I am very thankful to External Guide, Mr. Satish Kaushik, Front Line Divison, HCL Infosystems Ltd., Noida and very grateful to Prof. Mangesh Patil, Faculty Department of Business Management, Padamshree Dr. D.Y.Patil University, Belapur for their everlasting support and guidance on the ground of which I have acquired a new field of knowledge. The course structure created for this curriculum has benefited with the inclusion of recent development in the organizational and managerial aspects. Lastly, I am thankful to all the member of HCL Infosystem Ltd, Noida, which has given me valuable information in the part of my project.
TABLE OF CONTENTS
Title
EXECUTIVE SUMMARY LITERATURE REVIEW COMPANY PRIFILE SCOPE OF THE STUDY
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Pg. No.
7 8 9 10
OBJECTIVE OF THE STUDY RESEARCH METHODOLOGY DATA ANALYSIS & GRAPHICAL INTERPRETATION MAJOR PLAYERS IN THE MARKET COMPETATORS OF HCL ROLE OF ADVERTISMENT MARKETING STRATEGIES FUTURE SCOPE MANAGEMENT HIERARCHY KEY PARTNERSHIP MARKET SHARE MARKETING & SELLING STRATEGIES CHANGING TRANDS DECISION MAKING PROCESS CRM SWOT ANALYSIS FINDINGS & LIMITATIONS SUGGESION & RECOMMENDATION CONCLUSION BIBLIOGRAPHY ANNEXURE - QUESTIONNAIRE
11 12 14 28 29 35 36 37 38 39 40 42 43 46 47 49 51 52 53 54 55
EXECUTIVE SUMMARY HCL Infosystems, India's premier information enabling and integration company, has received the ISO 9001:2000 certification specifies requirements for a quality management system where an organization needs to demonstrate its ability to consistently provide product and services that meets customer and applicable regulatory requirements. ISO 9001:2000 also aims to enhance customer satisfaction through the effective application of the system, including processes for continual improvement of the system and the assurance of conformity to customer and applicable regulatory requirements. The menu of HCL Insys global services broadly covers IT consulting and professional services in the area of vertical applications, technology integration, ERP implementation and software development. This also includes a complete portfolio of systems and network services for development. This also includes a complete portfolio of systems and network services for Facilities Management, Helpdesks, Sysytems Supports and network and Internet Implementation. HCL Insysglobal customers include Samsung, Government of Singapore, and AMAL insurance Jurong Port in Singapore and Malaysians BSN commercial bank, SIA, DBS bank, Maybank life assurance charted semiconductors. HCL Insys chosen platform of total technology integration lends itself to some very significant alliances with the global leaders. Among its partner are HP for high end AISCE/UNIX services and workstation and HP Open view network management solution; Intel for PC and PC server building blocks; Microsoft,novell and SCO AG solutions; Red hat ;Linux; Samsung; Pivota for CRM solution and ORACLE Sybase and Informix for RDBMS platform. Today the company has aligned its operations into five entities that offer seamless linkages for the customers seeking entry into the wired world through total the. Integration solution ands services. HCL Infosystems focuses on the ever-growing segment in Imaging, Telecom and Communication products solutions and services. Now it has an exclusive sale and support
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partnership with Toshiba Corporation, Japan, for sales and servicing of its imaging and photocopier products. HCL Infosystems product portfolio covers a range of other office automation and communication products through alliances with world leaders. The Managed Network Service offerings for corporates include VPNs, ASP offerings, Co Location/ hosting, CDNs, security, corporate internet telephony solutions, technical and consumer help desks, 24/7 Network Operations Centre monitoring and a host of value added networking services. Consumer services include dialup PSTN/ISDN Internet access, Valufon calling cards and VoIP telephony devices. LITERATURE REVIEW Doing training was really an opportunity before me when I could convert my theoretical knowledge into practical and of real world type. Fortunately, the company I got is a true follower of the various principles of management and also one of the leading companies in its segment of the industry. The working environment that I was being provided was extraordinary and helped me a lot in delivering my work properly and with full potency of mine. HCL Infosystems Ltd is one of the renowned names in the Software and Hardware sector of computer industry. The graph of sales of these respective product lines is the best in the industry as compared to their competitors. I did my summer training project at HCL Infosystem Ltd., Noida, where I found all the professionals are very much committed to their work as well as they were all professionals enough. This helped me a lot in getting a good deal of exposure. As I had to consult the Channel partners, I felt myself, in the beginning, in a bit problem. But the cooperation of my superiors at the work induced confidence in me to deal with my problems whenever they came.
Born in 1976, HCL has a 3 decade rich history of inventions and innovations. In 1978, HCL developed the first indigenous micro-computer at the same time as Apple and 3 years before IBM's PC. During this period, India was a black box to the world and the world was a black box to India. This micro-computer virtually gave birth to the Indian computer industry. The 80's saw HCL developing know-how in many other technologies. HCL's in-depth knowledge of Unix led to the development of a fine grained multiprocessor Unix in 1988, three years ahead of Sun and HP. HCL's R&D was spun off as HCL Technologies in 1997 to mark their advent into the software services arena. During the last eight years, HCL has strengthened its processes and applied its know-how, developed over 28 years into multiple practices - semiconductor, operating systems, automobile, avionics, bio-medical engineering, wireless, telecom technologies, and many more. Today, HCL sells more PCs in India than any other brand, runs Northern Ireland's largest BPO operation, and manages the network for Asia's largest stock exchange network apart from designing zero visibility landing systems to land the world's most popular airplane. HCL Infosystems Ltd is one of the pioneers in the Indian IT market, with its origins in 1976. For over quarter of a century, we have developed and implemented solutions for multiple market segments, across a range of technologies in India. We have been in the forefront in introducing new technologies and solutions. In the early 70s a group of young and enthusiastic and ambitious technocrats embarked upon a venture that would make their vision of IT revolution in India a reality. Shiv nadir and five of his colleagues got together and 1975 set up a new company MICROCOMP to start with; they started to capitalize on their marketing skills. Micro comp marketed calculators and with in a few month of starting operation, the company was out selling its major competitors. On 11th August, 1976 HINDUSTAN COMPUTERS LIMITED was incorporated as joint venture between the entrepreneurs and UPSCE, wit an initial equity of Rs.1.83 Lacs.
It is the most preferred employer and principal taking leading edge IT products and services to the masses through sustained excellence. Mission Statement We shall increase the shareholders value by improving the PAT through free cash flow, reducing the BR cycle, inventory levels, wastage. Quality Policy Statement We will deliver defect-free products, services and solutions to meet the requirements of our external and internal customers the first time, every time.
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To fuel initiative and foster activity by allowing individuals freedom of action and innovation in attaining defined objectives. People Objective To help HCL Insys people share in the companys success, which they make possible; to provide job security based on their performance; to recognize their individual achievements and to help them gain of satisfaction and accomplishment from their work. Core Values It is uphold the dignity of individual It is honour all commitments It is committed to quality, Innovation and growth in every endeavor It is responsible Corporate Citizens.
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RESEARCH PROBLEM HCL Corporate selling and feedback and market share of HCL and
compared to other IT companies. The business of HCL and the company through its researchers wants to
know the potential in order to expand and retain its market share. RESEARCH DESIGN Determined the Information Sources: The researcher gathered data through secondary sources. PRIMARY DATA is collected through questionnaire, search and research through place where today's computer has been mostly used. SECONDARY DATA is being search sites like magazines, newspapers, journals, websites and the data has been collected through other approaches. DATA COLLECTION The researcher collected information through the official websites, magazines and journals. DEVELOPED THE RESEARCH FRAME: This included deciding upon various aspects for the project on which the entire research is based. The research frame included: NATURE OF STUDY The project on which the researcher worked is descriptive and inferential in nature.
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DATA SOURCE: The researcher took the help of both primary as well as secondary sources. Secondary sources being interaction with various IT people of the selected and has been chosen for the research by the researcher. Secondary sources being the internet as the medium and the official sites of the companies of IT sectors and corporate selling and feedback of HCL. INSTRUMENT USED The researcher for the research used a Questionnaire cum Schedule for market research for both the segments horizontal and vertical. The Questionnaire was prepared by the researcher and Schedule was provided by the company in which the researcher did its research report. SAMPLE SIZE Sample size for the research is fixed. It counts to 55. That is the HCL companies and corporate selling and feed of HCL in comparison between other IT sectors.
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DATA ANALYSIS & GRAPHICAL DATA INTERPRETATIOIN SAMPLE SIZE : 55 1. What type of computers do you use?
a.)Branded b.)Assembled
Branded Assembled
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Using branded computers hospitals using branded computers Using assembled computers hospitals using assembled computers
It was observed that almost 67% of the people use branded computers or other gadgets for their business purpose. Hence can be concluded that more people want branded products as they are not ready to compromise with the quality and services being provided.
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2.
What brand computers do you use? a.) HP b.) HCL c.) ACER d.)Others
Total Nos. 7 14 13 21
H P H L C acer others
This observation showed that HCL is among the top used brands. Major part under the pie-chart goes to HCL. So HCL should continue making efforts to attract new market and sustain the existing market. 3. What is the number of installed desktops? a.) <15 b.) 15-50
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c.) 50-75 d.) 75-200 e.) 200-500 Installed desktops < 15 15-50 50-75 75-200 200-500 Total Nos. 19 21 11 3 1
<5 1 1- 0 5 5 5- 5 0 7 7- 0 5 0 2 20 0 0- 0 5
Most of the surveyed and found the use of computers within the 15-55 range. So it can be inferred that the main target market is which lies in the middle range. Thus we targeted mainly on SME (small and medium enterprise). 4. What is the number of used servers? a. 1 b. 2 c. 3-5 d. 5
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Total Nos. 10 11 21 13
1 2 3 to 5 >5
From this observation, it was concluded that number of servers were directly proportional to the number of desktops used. 5. What is the number of installed laptops? a.) 1-5 b.) 5-15 c.) 15-30 d.) >30
Total Nos. 20 22
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15-30 >30
8 5
It was observed that maximum computers and laptop users ranging between 5-25. This area can be focused.
6. What is the brand used for laptops? a.) HCL b.) Toshiba c.) Lennovo d.) Others Laptops brand HCL Toshiba Lennovo Others Total Nos. 11 19 13 12
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HL C T s ib oh a le n v n oo o es th r
Observation showed that Toshiba was the major brand used in laptops. Various other brands like HP and Samsung etc. are also used. HCL has also a good market share. 7. Do you have AMC? a.) Yes b.) No Total Nos. 30 25
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According to above graphical data interpretation, that is the most important places where computer has been used and it has been observation and showed that less than 60% hospitals have their AMCs. This area can also be considered.
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9. What type of company is having the AMC? a.)Regional office of the company b.) Any other local player
Total Nos. 24 6
That the above graph shows that the use of AMCs in regional office and local players prefers authorized regional offices to select for the service rather than going for a local player.
10.Are you facing any problem with current used product line?
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hospitals facing problem Facing problems hospitals not facing Not facing problems problem Not yet encountered not yet encountered
That the above graph shows that the above observation showed that major number of users are either not facing any problem or they have not being encountered with any. 11. Are you planning to make any new purchase? a.) Yes b.) No
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c.) Not yet planned Planning about new purchase Planning to purchase No planning Not yet planned Total Nos. 9 17 29
That the above graph show that the most of the users have not planned about making a purchase and a very few are planning to make a buy.
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12. How do you find the HCL products? a.) OK b.) Good c.) Satisfactory d.) Outstanding e.) Not tried yet Reaction about HCL products OK Good Satisfactory Outstanding Not tried yet Total Nos. 3 12 19 7 10
O K go od s tisa toy a fc r o ts n in u ta d g n t tr dy t o ie e
According to above graph shows that the maximum of HCL user are satisfied with the products and services provided. Very few have not tried yet HCL on a business scale, but most of them have an experience about HCL. 13.Do you want to know more about HCL products? a.)Yes b.)No
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Total Nos. 42 13
That the above graph shows that the observation and the most of the people are interested in knowing more about the brand and have the urge to buy.
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Total Nos. 24 31
This observation showed that almost 45% of the sample was interested in demo.
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15.Do you want to buy any product? (Commercial proposal) a.)Yes b.)No c.)Not yet decided
Total Nos. 8 19 28
Interested interested hospitalsin commercialin proposal commercial proposal Not interested in hospitals not interested commercial proposal in commercial proposal Not yet planned not yet planned
That the above graph shows that the above observation showed that almost a huge chunk of hospitals surveyed either doesnt want or they have not planned for any commercial proposal.
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HCL DELL IBM SAHARA APPLE HP- COMPA Q ZENITH ACER INTEX SONY OTHER S
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SAHARA COMPUTER
Established in 1997 Sahara Computers assembles and markets computers & peripherals through a global distribution network that covers established and emerging markets. The company is owned by Sahara Holdings, a fully Broad-Based Black Economic Empowered entity, and is based in Johannesburg, South Africa. It is the official distributor and Original Equipment Manufacturer (OEM) for a variety of top international vendors. An accredited member of the Proudly South African campaign, the Sahara business network stretches across South Africa to include Cape Town, Durban & Port Elizabeth. The company has established a strong presence globally, with offices across EMEA, including Nairobi & Mombassa in Kenya and Botswana, Dubai, the U.K and China. Sahara Computers is currently the largest operation of its kind in Southern Africa. Owned by Sahara Holdings group, company boast an annual turnover over 1.4 billion Rand. Sahara Holdings strictly adheres to the principles of Broad-Based Economic Empowerment and established itself among the frontrunners of empowered organizations within the ICT sector when it confirmed its participation in an empowerment deal valued at R640 million in 2006. For the deal Sahara Holdings sold 27% of their shares to a newly established consortium represented by mining and mineral resource Group Mvelaphanda Holdings (Pty) Ltd. chaired by Tokyo Sexwale, and Afripalm Consortium, a local investment company chaired by Lazarus Zim. The deal incorporates subsidiaries and associates of Sahara Holdings including Sahara Computers Pty Ltd., Sahara Systems Pty Ltd., Sahara Consumables Pty Ltd., Sahara Distribution Pty Ltd. and Annex Distribution Pty Ltd. This venture signals a new era in the transference of the benefit and value associated with technology, through to communities and individuals. It also reinforces Saharas pledge to provide access to high quality, affordable communication technology and infrastructure. It is the competency and dynamic attribute of Sahara Computers that has won it the confidence of many major IT suppliers, representing key product and component ranges.
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SAHARA WINDOW PCS:Processor OS Memory Hard Drive Optical Drive Intel LGA775 541, 3.2GHz HT AMD Athlon64 3500+ 939CPU 800FSB Pin Genuine Windows Media Centre Edition 512MB PC533 DDR2 Memory 160GB SATA 7200 rpm hard drive Genuine Windows XP Professional Edition 512MB PC400 DDR 160GB 7200rpm 16X Dual Layer DVD Writer Intel P4 - 630 3.0GHz CPU LGA775 2MB +XD+EIST+EM64T Genuine Windows XP Professional Edition 512MB PC400 DDR 160GB 7200rpm 16X Dual Layer DVD Write
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SAHARA AMD PCS:Models Processor OS Memory VGA & Graphics Hard Drive Optical Drive 160GB 7200rpm 16X Dual Layer DVD Writer 160GB 7200rpm 16X Dual Layer DVD Writer AMD Athlon64 3500+ 939-Pin Genuine Windows XP Professional Edition 512MB PC400 DDR DT7120-FC AMD Athlon64 3500+ 939-Pin Genuine Windows XP Home Edition 512MB PC400 DDR
SAHARA VALUE PCS:Models Processor OS Memory VGA & Graphics Hard Drive Optical Drive 40GB 7200 rpm 52X CD-RW Drive 160GB 7200rpm 16X Dual Layer DVD Writer DT2510-C2 Intel Celeron-D 331J 2.66Ghz CPU LGA775-EMT64T Linux 256MB PC400 DDR DT7120-FC AMD Athlon64 3500+ 939-Pin Genuine Windows XP Home Edition 512MB PC400 DDR
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DELL COMPUTER
Dell Inc. listens to customers and delivers innovative technology and services they trust and value. Uniquely enabled by its direct business model, Dell sells more systems globally than any computer company, placing it No. 25 on the Fortune 500. Dell's climb to market leadership is the result of a persistent focus on delivering the best possible customer experience by directly selling standards-based computing products and services. Revenue for the last four quarters totaled $57.9 billion and the company employs approximately 78,700 team members around the globe. Dell was founded in 1984 by Michael Dell, the longest-tenured executive to lead a company in the computer industry. The company is based on a simple concept: by selling computer systems directly to customers, Dell could best understand their needs and efficiently provide the most effective computing solutions to meet those needs. This direct business model eliminates retailers that add unnecessary time and cost, or can diminish Dell's understanding of customer expectations. The direct model allows the company to build every system to order and offer customers powerful, richly-configured systems at competitive prices. Dell also introduces the latest relevant technology much more quickly than companies with slow-moving, indirect distribution channels, turning over inventory in just five days on average.
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Compaq Computer Corporation was an American personal computer company founded in 1982, and now a brand name of Hewlett-Packard.The company was formed by Rod Canion, Jim Harris and Bill Murto former Texas Instruments senior managers. The name "COMPAQ" was derived from "Compatibility and Quality", as at its formation Compaq produced some of the first IBM PC compatible computers. Once the largest supplier of computing systems in the world, previously regarded as perhaps the most reputable manufacturer of mid-range hardware it existed as an independent corporation until 2002, when it merged with Hewlett-Packard.
1980s
Compaq was founded in February 1982 by Rod Canion, Jim Harris and Bill Murto, three senior managers from semiconductor manufacturer Texas Instruments. Each invested $1,000 to form the company. Their first venture capital came from Ben Rosen and SevinRosen partners. Like many small startups with unique beginnings, the original Compaq PC was first sketched out on a placemat by the founders while dining in a local Houston restaurant, House of Pies. In November 1982 Compaq announced their first product, the Compaq Portable, a portable IBM PC compatible personal computer. It was released in March 1983 at $2995, considerably more affordable than competitors at the time. The Compaq Portable was one of the progenitors of today's laptop. It was the second IBM PC compatible, being capable of running all software that would run on an IBM PC.
Deskpro
On June 28th 1984 Compaq Released the Compaq Deskpro, a 16-bit desktop computer using an Intel 8086 microprocessor running at 7.14MHz. It was considerably faster than an IBM PC and was, like the Compaq Portable, also capable of running IBM software. This was the first of the Compaq Deskpro line of computers.
Deskpro 286
In 1985, Compaq released the Compaq Deskpro 286, a 16-bit desktop computer using an Intel 80286 microprocessor running at 8 MHz and capable of supporting up to 7 MB of RAM. It cost $2000 for the 40-MB hard disk model. It was considerably faster than an IBM PC AT which ran at 6MHz at that time and was, like the Compaq Portable, also capable of running IBM software.
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Deskpro 386
When in 1986 Compaq introduced the first PC based on Intel's new 80386 microprocessor, the Compaq Deskpro 386[1], they began a period of increasing performance leadership over IBM, who were not yet using this processor. An IBM machine eventually reached the market seven months later, but by that time Compaq was the 386 supplier of choice and IBM had lost its image of technical leadership .Systempro This technical leadership and the rivalry with IBM was emphasised when the Systempro server was launched in late 1989 - this was a true server product with standard support for a second CPU and RAID, but also the first product to feature the EISA bus which was designed in reaction to IBM's MCA (MicroChannel Architecture).
1990s
At the same time as they began to dominate the server market, in the early 1990s Compaq entered the retail computer market with the Presario, and was one of the first manufacturers in the mid-1990s to market a sub-$1000 PC. In order to maintain the prices it wanted, Compaq became the first first-tier computer manufacturer to utilize CPUs from AMD and Cyrix. The price war resulting from Compaq's actions ultimately drove numerous competitors, most notably IBM and Packard Bell, from this market.
PC Products
Compaq Armada M300 Compaq Portable Compaq Deskpro Compaq LTE Compaq Presario Compaq ProLinea Compaq ProLiant Compaq Armada Compaq Evo iPAQ Compaq Professional Workstation AP400 Tc1000, a tablet notebook
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ROLE OF ADVERTISEMENT
Advertisement plays an important impact on consumers to purchase destop pcs of brands. Now a day we see that each and every company endorsing brand ambassadors so that to attract customers and make their customer base more & more. IBM has signed Saif Ali Khan to endorse his products Shahrukh khan was endorsed by compaq so that more & more computes can be sold out.
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On the commercial front, Munglani feels that decision cycles are still slow, but there is a definite increase in queries and tenders. He feels that government funded projects need to increase, and points to the recent Andhra Pradesh schools project, which pulled in more than 5,000 units, as a good example of what government enthusiasm for IT can do.In conclusion, going by what the industry feels and what the numbers reveal, recovery is definitely taking place in the industry, though caution is still the prevailing sentiment. However, the bottom line is that the days of super growth seem to be over. While IDC has predicted 22.3 percent growth in 2003, not everyone in the industry seems to be ready to join in the chorus. HPs Sai Chandrasekhar says that their assessment is an expectation of 10-15 percent growth, which he feels is very realistic. It is unlikely that the market will return to the heady days of 30 percent growth, he explains. Kochhar of Skoch seconds that when he says, We can no longer look at heady growth rates like 40 percent or 60 percent...the market has been growing more in single digit to low two digit growth rates. And that seems to be the future that Indias PC brigade faces-but well, surely even low two digit growth rates are better than negative growth, and thats the reason for the cautious smiles on the faces of PC vendors. Hopefully, the next quarter will bring even broader smiles.
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LEADERSHIP
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KEY PARTNERSHIPS
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HCL Compaq
8.4% 7.9% 57.5% 7.0% 4.2% 3.7% 1.0% 1.6% 3.5% 3.3%
Zenith IBM Acer Hewlett-Packard Wipro Vintron Siemens Nixdorf Dell Others*
1.9%
From the above graph it is clear that in Indian Hardware Industry the HCL Infosystems Ltd. share is highest in all branded companies. But still very high portion about 57.5% is in favour of unbranded local companies, which is still a challenge towards all. The share of the unorganised sector has been falling steadily with the fall in price of branded PCs. A recent phenomenon has been the increasing share of Tier 2 towns and cities in the PC sales thereby indicating increased PC penetration into the hinterland. Sales of notebooks have averaged around 50,000 in the past two years. Printers have been traditionally the fastest growing segment of the PC peripherals market. Even when PC sales were increasing by 39%, printer sales increased by 41%. The slowdown affected printer sales too and in 2001-02, the increase was just 1%. In that year, 836,122 printers were sold and that included inkjet, laser and dot matrix. The momentum is expected to pick up in 2002-03 and the printer market would grow at 8% to reach 900,000 printers. Due to falling prices, Laser printer sales are growing fastest. In future, HCLs hardware sales to the institutional segment are likely to remain stable, with sustained hardware spending by all the verticals, especially the banking and financial services sector. Besides, in retail hardware sales, a continued reduction of price points, facilitated in part by the recent reduction in excise duties on PCs, is likely to reduce the price advantage of the small assemblers, and augur well for branded PC manufacturers like HCL. In the medium term, HCLs margins, despite its sales tax advantages, may be affected by the likely removal of duty protection on manufactured PCs from the year 2005. With imported PCs becoming cheaper, it may be critical for HCL to establish an alternate supply chain based on imports of finished PCs. Nonetheless, its financial risks are mitigated by its low gearing, substantial liquid investments and unutilised working capital limits.
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IDC declared its numbers for the Indian PC market for financial year 2005-06 today. The year recorded an impressive growth in terms of unit shipments - the market grew 30% over financial year 2004-05 to exceed the 4.6 million-mark, according to IDC's India Quarterly PC Market Tracker, 1Q 2006, May 2006 preliminary release.
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While 2007 saw strong demand emerging from select sectors such as the government and BPO outfits, 2008 could be relatively flat as most BPO firms are in the process of consolidation and not growth.
PRICES DO AN ABOUT-TURN
Immediately after this years Budget, most PC vendors said PC prices would remain constant, and some even pointed out that prices would rise, thanks to increasing memory prices. That should be one of the key differentiators between last year and the financial year ahead PC prices are not likely to come down, and in all probability, will actually see marginal rises. Says Vasu Srinivas of IDC India, While the initial response to the slowdown was to slash prices, when it began to hurt, PC vendors began to take a profitability approach. They are now seeking out the more profitable deals and aiming for better prices with lower volumes. Another factor that will contribute to stable prices is the move by the big distributors to cut credit periods down the line from 30 to 15 days. This move, coming in the wake of big defaults among IT channels, will discourage speculative and rash pricing and margin policies that result in price wars the industry can ill afford.
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OUTLOOK
When will the good times start rolling again? The pundits have differing opinions. IDC India says the PC industry is expected to grow by 5.1 percent in 2002, and adds that PC buying is expected to revive in 2003, when a growth rate of 20 percent is forecasted. Kochhar of Skoch says this year will see some revival, though he warns that heady growth rates will not return without policy measures like 100 percent depreciation from the government. MAIT is hoping that the slight upturn in the JFM quarter is a portend of things to come, even though it revised industry sales projections for 2001-02 downwards from 2.45 million units to 1.65 million units.
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CRM MODEL
A commonly cited definition of CRM is that of CRM (UK) Ltd (2002), as follows: Customer Relationship Management is the establishment, development, maintenance and optimization of long-term mutually valuable relationships between consumers and organizations. The relationship delivers value to customers, and profits to companies. The relationship is supported (but not driven) by cutting edge IT. The business strategy is based upon the recruitment, retention and extension of products, services, solutions or experiences to customers. This is the core of CRM.
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STRENGTHS:
HCLs strengths are many, to mention a few :
a)
b) c) d) e) f) g) h) i)
Global Presence: Its collaborations and joint ventures with international companies such as Perot System, and partnership with world leaders like Ericsson, Toshiba, Nokia, Oracle and Microsoft, enable it to bring the best technology available world wide to its consumers. 24 locations in 16 countries. Fast paced and flexible work culture which provides its employees autonomy to accomplish the task without much pressure from the higher authorities. Thus, employees are motivated to give their best to the organization. The core strength of HCL is the talent and innovativeness of its people which enables it to provide the right solution at the right time. The mass markets handled through a chain of dealers, resellers and retailers which helps bring technology usage closer to the individual. It has very strong distribution network. Its pool of competencies : Hardware, Software, Training, Networking, Telecom and System Integration. Ability to understand customer's business and offer right technology. Long standing relationship with customers. Pan India support & service infrastructure. Best-value-for-money offerings.
WEAKNESSES:
a) b)
After sales service. Less promotional campaigns.
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OPPORTUNITIES:
a) b) c) d) e)
IT industry booming at a rate of 45% every year. Increasing consumer awareness about IT and its use. Tremendous untapped potential of IT products in India. Increasing competition. Tie ups with various MNCs enable to extract their core competencies.
THREATS:
a) b) c) d)
Local assemblers are biggest menace for the company. Entry of MNCs i.e. IBM, Compaq giving direct competition. Govt. instability has a long term repercussions affecting companys policies & its growth. Technological shift as a result of research & development. Daily new technologies are emerging.
Concluding the S.W.O.T. analysis in words that prosperity lies ahead for HCL. In order to retain its position as Indias No. 1 IT conglomerate, it has to come out with the state of art as well as futuristic technologies to its consumers well before time.
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places i.e. authorized and local areas and where it had not responded much.
There was a bias on the part of the respondents.
Companies that were contacted through telephone at times did not give correct information to the researcher.
The IT manager or the person heading the IT Department did not have
the rights to give the authorized official information to people other then the members of the official itself and the high officials.
At times there was a problem of non response from the hospitals,
companies and other authorized and unauthorized areas which affected the result of the project being done by the researcher.
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HCL is having large number of channel partners but it is not supporting & taking care all of them equally which results in increasing discontentment among new channel partners because its not possible for company to support all of them equally. Company should take some positive action against it. Company executive should visit dealers on regular basis. They Should pay proper attention towards checking of various components of PC before end user delivery. Otherwise it tends towards defame of brand name in comparison to rivals. Need to expend customer care center as the consumer base of HCL Infosystem is increasing with tremendously fast pace. Proper attention should be paid for advertisement planning otherwise it may lead to problem for dealer as well as for company. Company should tie up with some event management company to organize various promotional activities like canopy, Carnival. Company should make policy for fixed end user price for all dealers so that fair game will be played & dealer would not to compromise on their margin.
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Marketing is a very crucial activity in every business organization. Every product produced within an industry has to be marketed other wise it will remain as unsold stock, which will be of no value. I have realized this fact after completion of my summer training project. Despite of various difficulties and limitations faced during my summer training project on the topic Corporate Selling and Feedback . I have tried my level best to find out the most relevant information for the organization to complete the assignment that was given to me. After completion of my summer training project I have gained several experiences in the field or sales marketing. I have got the opportunity to meet various people, which fluctuate in different situation and time. This summer training project has given me the opportunity to have first experience in the corporate world. Theoretical knowledge of a person remains dormant until it is used and tested in the practical life. The training has given to me the chance to apply my theoretical knowledge that I have acquired in my classroom to the real business world. I have completed my summer training project in which are involved in its successful completion. In spite of few limitations and hindrance in the summer training project I found that the work was a challenge and fruitful. It gives enough knowledge about the computers market and the distribution process undertaken by an organization. This summer training project has enabled my capability in order to manage business effectively and in my career in future.
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BOOK
AUTHOR: TITLE: PLACE OF PUBLICATION: PUBLISHER: KOTLER PHILIP MARKETING MANAGEMENT DELHI TATA MC GRAW HILLS PUBLISHING CO. LTD
WEBSITES:
www.hcl.in www.indiainfoline.com www.google.co.in www.hp.com www.saharacomputer.com www.acer.com www.dell.com www.ibm.com www.hclinfosystem.in www.altavista.com www.khoj.com
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ANNEXURE
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QUESTIONNAIRE
Name Designation Address Contact No. ____________________________________ ____________________________________ ____________________________________ ____________________________________
1. Do you use computers for your business purpose? a.) Yes b.) No 2. What type of computers do you use? a.) Branded b.) Assembled 3. What brand computers do you use? a.) HP b.) HCL c.) acer d.) Others 4. What is the number of installed desktops? a.) <15 b.) 15-50 c.) 50-75 d.) 75-200 e.) 200-500 5. What is the number of used servers? a.) 1 b.) 2 c.) 3-5 d.) >5 6. What is the number of installed laptops? a.) 1-5
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b.) 5-15 c.) 15-30 d.) >30 7. What is the brand used for laptops? a.) HCL b.) Toshiba c.) Lennovo d.) Others 8. Do you have AMC? a.) Yes b.) No 9. What type of company is having the AMC? a.) Regional office of the company b.) Any other local player 10.Are you facing any problem with current used product line? a.) Yes b.) No c.) Not yet 11. How do you find the HCL products? a.) OK b.) Good c.) Satisfactory d.) Outstanding e.) Not tried yet 12. Do you want to know more about HCL products? a.) Yes b.) No
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