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Palm Ince. Essay

2616 words - 10 pages

Executive SummaryPalm Inc. is the leading competitor in the handheld computing (Personal Digital Assistant) market. The company is divided up into two operating components, PalmSource Inc. and the Solutions Group. Palm has been a dominant player in today's global economy by maintaining its aggressive strategy while also being flexible and agile to unforeseen challenges. The major problem for Palm is a decrease in the market growth, with an increase in competition. Palm must now determine how to maintain its place in the handheld computing industry.Palm's strengths include a name brand with loyal group of customers and developers, having an immense growth and market share, the Palm Operating System, a wide range of models in their product line, and outsourcing production to focus on marketing and operating. Their weaknesses are new models competing against existing models, a limitation of the Palm.net service, and Motorola providing 100 percent of processors for the handhelds. Opportunities are the global market, consumer demand, and alliances. They face threats of increased competition in a decreasing market, smart phones, and other competitors.The company has been struggling financially. Attempts are being made to have a positive net income by decreasing budgetary items. Palm's liquidity is healthy, although they are struggling in shareholders return.Palm has maintained a differentiation strategy throughout its existence. They have focused much of their attention towards maintaining their leading technology. Another strategic area Palm has made a commitment is to quality. Palm's corporate level strategy has been to sell their product directly to customers, and also licensing their technology to competitors. The key to maintaining success lies in Palms ability to meet customer needs with an innovative operating system.Table of ContentsIntroduction 1Problem Focus 1Business Analysis 1Financial Analysis 4Strategic Formulation & Implementation 6Conclusion 8Works Cited 10Appendix 11-12IntroductionPalm Inc. is the leading competitor in the handheld computing (Personal Digital Assistant) market. The company is divided up into two operating components. The first component, PalmSource Inc., develops and licenses operating system software - Palm OS, communication and personal information management software and software development tools for mobile devices. This OS software is the foundation for many other handheld platforms. The second component of the company is the Solutions Group, which is responsible for manufacturing and marketing the handhelds, add-ons, accessories, related services, and software (Palm). Palm has been a dominant player in today's global economy by maintaining its aggressive strategy while also being flexible and agile to unforeseen challenges.Problem FocusThe major problem for Palm in the changing industry environment is a decrease in market growth, with an increase in competition. Many new hardware developers have introduced...

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