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HP led the total
desktop market with HCL nipping at its heels. HCL, however, led the market in
terms of commercial desktop PC shipments.Dell which, until recently, had
dominated the global PC market, did not have a significant presence in India.
Branded PC makers had identified the growth opportunities provided by India and
the year 2007 saw a spurt in the IT sector advertising. Ad spend on TV went up
by 22 percent in the year and the ads for notebooks accounted for 43 percent of
overall IT sector advertising on TV, according to AdEx India13.14
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Companies such as HP, Lenovo, and Acer had roped in
popular Hindi film actors such as Shah Rukh Khan (for Compaq), Saif Ali
Khan, and Hrithik Roshan to endorse their notebooks respectively.
IDC had predicted that the Indian PC market would grow at a compound
annual growth rate of 20 per cent through 2012.15
According to Piyush Pushkal, manager for PC research at IDC India, the
growth in the market would be fueled by an increased demand for PCs by
large enterprises, their increased usage in education, and the Indian
government's push toward automation.16 In addition
to this, the increase in wages in India would also help in driving PC
sales in the consumer market, analysts felt.
Analysts expected the competition for the Indian PC market to intensify
considering that the developed market in the West was approaching
saturation. Global PC markers would look at fast growing countries with
low penetration levels such as India to offset a possible slowdown in
the US economy.
Additional Readings & References
1. Bogdan Botezatu, "HP Steps on Dell's Neck as Worldwide PC
Shipments Reach 270 Million," www.news.softpedia.com, February 7,
2008.
2. "India's Computer Market Sees 20% Year-on-Year Growth," www.economictimes.indiatimes.com, February 27, 2008.
3. "PC Output up 20%, Crosses 6.5 mn Mark in 2007," www.economictimes.indiatimes.com,
February 28, 2008.
4. John Rebeiro, "HP Holds Top Spot in Indian PC Market," www.infoworld.com, February 27, 2008.
5. "Laptops Dominate IT Advertising," www.sify.com, March 14, 2008.
6. www.en.wikipedia.org
7. www.finance.google.com
Cases on related topic
1.
Dell Inc: Moving Beyond Direct Sales Model
2.
Dell's Customer Contact Center Operations in India
3.
HP's Strategy and Operations under Carly Fiorina and Mark Hurd
4.
Lenovo's Globalization Strategies
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13] AdEx India is a division of TAM Media Research,
a joint venture company between AC Nielsen & Kantar Media Research/ IMRB.
14] "Laptops Dominate IT Advertising," www.sify.com,
March 14, 2008.
15] John Rebeiro, "HP Holds Top Spot in Indian PC
Market," www.infoworld.com, February 27, 2008.
16] "India's Computer Market Sees 20% Year-on-Year
Growth," www.economictimes.indiatimes.com, February 27, 2008. |
