Marketing Case Analysis Of Handspring Inc.

832 words - 3 pages

Company's philosophyTheir vision is to design a user friendly device that can be used by the most common man.Build a platform that provides for unique functionality, expands possibilities, and offers flexibility and personalization for consumers and developers alike.Keep it small, simple, affordable and connected. Those are the principles that inspired the creation of the Visor.ProblemsLegal issueso Lawsuits filed by NCR against handspring and palm for infringement of two 1987 patents.Bargaining power of suppliers and manufactures very high-Depends heavily upon their license from Palm, failure to maintain this license could seriously harm their business.Heavy competition, possibility of getting acquired by larger companiesIn a technology driven sector the maturity period is low (2-4 years). The product life cycle declines quickly. This can be overcome by introducing a new version of the product once the PLC reaches its maturity.Similar goals as Palm Inc., in future could cannibalize their own goals and vision.Limited brand recognitionCompetitive AdvantagesProduct Design ( User Friendly)SimpleAffordable.SpeedPricingAggressive pricing strategy, selling at a very affordable price.PlaceUsed the Internet to reach target market making information available to the user. Users can also get technical assistance to purchasing the Handspring Visor from their website. On March 2000 entered into agreement with major retailers Comp- USA, Best Buy and Staples.Promotion-Communication with RetailersMaintained good relationship with the retailers and distribution channel. Retailers extended the Handsprings reach to less knowledgeable consumers, which was not possible through its Web channel.Open source innovation modelSpringboard expansion slot -their source code is open to developers to change and modify for a fee and certification.Logo certification ensured the quality of the Springboard modules developed by vendors. It had similar program for developers. Thus built its brand identity using third partiesFuture sources of InnovationMade use of the available resources, to constantly upgrade their existing products and tried to keep up with the changing demands of customers.PIM (personal information management), voice communication (primarily over cell phones), messaging and browsing and transactions.Recently launched visor phone and the latest Treo-600. Thus expanding into mobile computing device.Developed programs for small software developers, example Trade shows.They recognized that in an industry like this they constantly need to innovate and most of the innovations in software came from small developers, who did not have the capital and experience to market their own products.Global expansionThey globally expanded into English speaking countries like New-Zealand, Australia Singapore Hong Kong Malaysia. Thus...

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