OVERVIEW OF STRATEGIC ENVIRONMENT

A. Product-Service Market


Palm products started including smart-phones and handheld computers. These were equipped with a Personal Information Management (PIM) software and other note-taking applications.  A range of additional features including high resolution coloured screens and wireless capabilities ensured that there’s a Palm product designed to meet the needs of clients anywhere in the world.


B.  Design Philosophy


Hand-held computers are different from a laptop. Palm products focus more on the management and access of information rather the creation and editing of documents. For this reason, Palm, Inc. has developed a unique set of guiding principles – simplicity, wear ability and mobility. Total commitment to these principles makes Palm products very user-friendly to its customers.


 


C. Customers


A majority of Palm customers are professionals who rely on mobile gadgets and expect seamless handoffs every time they make calls. For instance, a customer phones in a service request from the New York airport while boarding a plane bound to Paris the same day. The technical people of Palm, Inc. in New York will immediately work on the service ticket of the client. And when that client arrives in Paris, he / she would be able to call the New York service center and pick up exactly where he / she left off.


 


 


D. Competitors


Palm, Inc. is the world’s leading producer of hand-held computers. Interestingly enough, Palm, Inc. has an even larger share in the market for hand-held computer operating systems. Around eighty (80) percent of hand-held computers in the United States operate on a Palm operating system. Microsoft is the only major competitor with a share of sixteen (16) percent. The hardware market gives Palm, Inc. a market share of sixty (60) %. Of the major competitors, Sony Corporation and Handspring are both using Palm’s operating system, and hold about 7% and 14% market shares respectively. Other competitors, such as Compaq and H-P, use Microsoft’s operating system, but both companies have below 10% market share. Palm, Inc. has had so much success in the consumer market, but the future goals include selling more products to corporations.



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