A REPORT

ON

“ESTIMATION OF MARKET SHARE OF HP PRODUCTS

(PRINTING AND PERSONAL COMPUTING SYSTEM) IN THE
EDUCATIONAL

INSTITUTIONS AND SME/PSU MARKET SEGMENTS IN

KOLKATA”.

Submitted By
Samrat Maity
Enrollment No-14BSP1276

Hewlett Packard India sales Pvt. Ltd.

1
 A REPORT
ON

“ESTIMATION OF MARKET SHARE OF HP PRODUCTS

(PRINTING AND PERSONAL COMPUTING SYSTEM) IN THE EDUCATIONAL

INSTITUTIONS AND SME/PSU MARKET SEGMENTS IN KOLKATA”.

Submitted By
Samrat Maity

Hewlett Packard India sales Pvt. Ltd.

The report is submitted in partial fulfilment of the requirement of
PGPM Program of IBS Kolkata.

Distribution list:
 Hewlett Packard India sales Pvt. Ltd.
 IBS Kolkata

Date of submission:

2
 Authorization

Date: 9.03.2015

To whomsoever it may concern

We are hereby pleased to nominate Mr. Samrat Maity as bona fide summer
trainee of Hewlett Packard India Sales Pvt. Ltd. for summer Internship Projects
for Channel Business coverage, Kolkata.
Yours Sincerely
For Hewlett-Packard India Sales Pvt. Ltd

Partner Business Manager (East)

Printing & Personal Systems (PPS)
HP India Sales Pvt. Ltd.

3
 Acknowledgement

I would like to thank my company guide Mr. Joydeep Dhara and my faculty guide Prof.
Uddipan Nath who has advised me in preparing this report I am thankful to the employees
of Hewlett-Packard India Sales Pvt. Ltd. who has provided data and several insights during
the period of summer internship program and also helped me making this report

4
 Executive summary
As part of my PGPM curriculum, I (Samrat Maity, Enrollment no. 14bsp1276) have done my
Summer Internship Program in an Information Technology company Hewlett Packard India
sales Pvt. Ltd. based in DLF IT Park, Block-AF, Tower C, 1st Floor, 08 Major Arterial Road, New
Town, Rajarhat, Kol-700156, West Bengal.0

In this report I will document my experience of working in the company, the knowledge
gained, my role as an intern in the company. The project undertaken is based primarily on
“Estimation of market share of hp products (printing and personal computing system) in the
educational institutions and sme/psu market segments in Kolkata”.

Objective of the Internship:

 Estimation of market share of HP products in PPS.

 To know the Consumer Behavior towards HP product (personal computer, tablet,
printer).
 Identify the potential buyers for HP.

Methodology used:

 Familiarization with HP product (pc, printer, tablet).Gather information about HP.

 Make a sample questionnaire.
 Divide the local IT product market into three parts.
 Collect the buyers address by pin code and street mapping.
 Go for survey to the local market.
 Collect the information.
 Analysis the data.
 Identify the problem
 Prepare a solution or recommendation.

Findings and Conclusions :

 29 out of 64 respondents i.e. 45% of the organizations who took the survey use HP as
their desktop brand.
 53 out of 64 respondents i.e. 83% of the c who do not use any laptop.
 A large number of organizations using only HP as their printer brand.
 39 out of 64 respondents i.e. 61% of the organizations do not use any workstation.
 A large number of respondents like HP as their favorite brand.
 Hp did not communicate with a large number of respondents.
 Any Hp partner did not come to a large number of respondents.

Recommendations:

 Hp should increase their communication with their customer base.

 Hp should go and give a sample test to their customer because a large number of
organization do not using any laptop.
 Hp should increase their advertisements in order to increase their customer strength.

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 Abstract

The assigned project titled “Estimation of market share of HP products (printing and
personal computing system) in the educational institutions and SME/PSU market segments
in Kolkata” will help the viewers and the company as well to measure the efficacy and
acceptability of the various products in the product bouquet of the company from the user’s
perspective.
During the project exercise technical questions will be administered to sample sized
population in order to make inference and opinion more fact based and accurate with a view
to draw conclusions and frame decisions on the basis of the observations and findings .This
will surely help to take corrective measures and bring about improvement in the product
offering in order to enhance customers perception leading to increased market penetration
and overall profitability of the company.

The report will cover the following areas –

Snapshot of the work-

 Attended week long in-house training at Hewlett-Packard India Sales Pvt. Ltd.
 To find the market competitiveness for Hewlett-Packard India Sales Pvt. Ltd.
 To determine the customer attitude towards Hewlett-Packard India Sales Pvt. Ltd.
 Scheduled appointments with customers for a face to face meeting.
 Surfing various websites and reading various journals on Hewlett-Packard India Sales
Pvt. Ltd.

Detailed Progress of the project-

 Gained an insight on the overall functioning of the Hewlett-Packard India Sales Pvt.
Ltd.
 Administered questions to 64 customers (School, Small Company, Hospital) for
knowing their preferred products and why.
 39 out of 64 respondents i.e. 61% of the organizations who took the survey do not use
any workstation.
 53 out of 64 respondents i.e. 83% of the organizations do not use any laptop.
 A large number of organizations using only HP as their desktop brand.
 Dell, Lenovo, IBM IT organizations are also there as HP competitor.
 As per Porter analysis threat of new entrants are high so that market competition also
high.
 As per SWOT analysis the threats of HP’s are Dell and Lenovo who offer lower prices
than HP.

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 Table of Contents
Ch. No. Contents Page No.
1. Introduction 9

1.1. Product brief 10

1.2. Literature review 11

2. Industry analysis of the organization 12-15

2.1. Porter’s Five Forces: Hewlett – Packard Company. 12-14

2.2. PESTEL Analysis of Hewlett – Packard Company. 15

3. Analysis of the organization. 16-20

3.1. Hewlett-Packard company profile. 16

3.2. SWOT Analysis of Hewlett – Packard Company. 17-18

3.3. Competitor analysis of HP. 19-20

3.3.1 Lenovo Group Limited 19

3.3.2 Competitor Analysis: Dell 20

4. Objectives and scope of work. 21
5. Project Planning and Methodology. 22-23

5.1. Project Planning. 22

5.2. Research Methodolog y. 23

6. Data Analysis & Findings. 24-38

7. Conclusions & Recommendations. 39

8. Limitations of the Study. 40

Contents Page No.

References 41
Attachments 42-44

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 List of illustrations

List of tables and figures

Sl. No. Table No. Figures No. Page No.
1 Table No.-1 Figure no.-1 24

2 Table No.-2 Figure no.-2 25

3 Table No.-3 Figure no.-3 26

4 Table No.-4 Figure no.-4 27

5 Table No.-5 Figure no.-5 28

6 Table No.-6 Figure no.-6 29

7 Table No.-7 Figure no.-7 30

8 Table No.-8 Figure no.-8 31

9 Table No.-9 Figure no.-9 32

10 Table No.-10 Figure no.-10 33

11 Table No.-11 Figure no.-11 34

12 Table No.-12 Figure no.-12 35

13 Table No.-13 Figure no.-13 36

14 Table No.-14 Figure no.-14 37

15 Table No.-15 Figure no.-15 38

8
 1. Introduction

The Project titled “Estimation of market share of HP products (printing and personal
computing system) in the educational institutions and SME/PSU market segments in
Kolkata". Is an attempt to understand the potential buyers for HP and Find out satisfaction
level of HP users. In order to understand the Consumer Behavior towards HP product
(personal computer, tablet, printer).

Objectives of the Study:

 To Explore the Perceptual Position of different products and financial solutions offered by
Hewlett-Packard India Sales Pvt. Ltd.
 Estimation of market share of HP products in personal and printing system (PPS).
 To know the Consumer Behavior towards HP product (personal computer, tablet, printer).
 Identify the potential buyers for HP.
Activities and targets :
 Product training.
 Market survey.
 Data analysis.
 Findings and conclusion.
 Report writing and presentation.

Methodology:

 Familiarization with HP product (pc, printer, tablet).Gather information about HP.

 Make a sample questionnaire.
 Make a test research with that questionnaire.
 Make final questionnaire.
 Divide the local IT product market into three parts.
 Collect the buyers address by pin code and street mapping.
 Go for survey to the local market and collect the information.
 Analysis the data.
 Identify the problem
 Prepare a solution.

Limitations of the Study

 Hesitation or reluctance on the part of survey respondents to share confidential or company
specific information.
 The concerned person is sometimes not aware of the product due to which they may
provide misleading information which would lead to inaccurate result in the project.

9
 1.1. Product brief

Hewlett-Packard Company is a provider of products, technologies, software, solutions

and services to individual consumers, small- and medium-sized businesses (SMBs) and
large enterprises, including customers in the Government, health and education sectors.
Its operations are organized into seven segments: the Personal Systems Group (PSG),
Services, the Imaging and Printing Group (IPG), Enterprise Servers, Storage and
Networking (ESSN), HP Software, HP Financial Services (HPFS) and Corporate
Investments. The Company’s offerings include personal computing also.

 Personal Systems Group (PSG)

PSG provides commercial personal computers (PCs), consumer PCs, workstations,
calculators and other related accessories, software and services for the commercial and
consumer markets. The Company groups commercial notebooks, commercial desktops
and workstations into commercial clients and consumer notebooks and consumer
desktops into consumer clients. Commercial PCs include the HP Pro Book and the HP
Elite Book lines of notebooks and the Compaq Pro, Compaq Elite, HP Pro and HP Elite
lines of business desktops, as well as the Touch Smart and Omni PCs, HP Mini-Note
PCs, retail POS systems, HP Thin Clients and HP Slate Tablet PCs.
 Imaging and Printing Group (IPG)
IPG provides consumer and commercial printer hardware, supplies, media and scanning
devices. IPG is also focused on imaging solutions in the commercial markets. These
solutions range from managed print services to capturing high-value pages in areas, such
as industrial applications, outdoor signage, and the graphic arts business. Inkjet and Web
Solutions delivers HP's consumer and SMB inkjet solutions (hardware, supplies, media,
web-connected hardware and services) and develops HP's retail publishing and Web
businesses. It includes single function and all-in-one inkjet printers targeted toward
consumers and SMBs, as well as retail publishing solutions, Snap fish and ePrintCenter.
LaserJet and Enterprise Solutions delivers products, services and solutions to the
medium-sized business and enterprise segments, including LaserJet printers and supplies,
multi-function devices and scanners.
 HP Software
HP Software provides enterprise IT management software, information management
solutions and security intelligence/risk management solutions. Solutions are delivered in
the form of software licenses or as software-as-a-service. HP Software solutions enables
IT organizations to manage infrastructure, operations, application life cycles, application
quality and security, IT services, business processes, and structured and unstructured data.
 HP Financial Services (HPFS)
HPFS supports HP's global product and service solutions, providing a range of financial
life cycle management services. HPFS enables its worldwide customers to acquire IT
solutions, including hardware, software and services. The Company offers leasing,
financing, utility programs and asset recovery services, as well as financial asset
management services for global and enterprise customers. HPFS also provides an array of
specialized financial services to SMBs and educational and Governmental entities.

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 1.2. Literature review

 Mr. Nathan Eddy (5.29.2015) ‘HP, Dell Lead Growing Worldwide Server Market’,
Eweek, pg. 1
Worldwide server shipments grew 13 percent year over year, while revenue in the first
quarter of 2015 increased 17.9 percent from the first quarter of 2014, according to a report
from Gartner.
HP maintained its top ranking in the worldwide server market based on revenue with 23.8
percent market share in the first quarter of 2015. Lenovo experienced the largest increase in
the first quarter of 2015 with 658.2 percent growth. With the exception of IBM, all of the top
five global vendors had revenue increases for the first quarter of 2015.The regions with the
highest growth rates in unit shipments in the first quarter of 2015 were North America (22.9
percent), the Middle East and Africa (20.8 percent), and Asia/Pacific (13.6 percent).

 Kakoli Chakraborty ( New Delhi April 14, 2015) ‘HP reinvents printing
technology’, Business Standard, pg No. 1

In the time of mobility and portability, why should printing technology stay behind - this
seem to be idea behind Hewlett-Packard (HP)’s new product launch. HP has unveiled a series
of next-generation office printers.

 A staff reporter (Monday, July 15, 2013) ‘HP eyes small business market’, The
Telegraph Calcutta, India, pg No. 1

Hewlett-Packard India has come up with laser-comparable inkjet printers designed for small
and medium enterprises in the Northeast.

“The Northeast is an emerging hub for small and medium businesses that require
technologies to improve efficiency and reduce costs. So, we have launched two laser-
comparable inkjet printers — HP Office jet Pro X series and the HP Office jet Pro 3610/3620
B&W series — designed for such enterprises and small/home offices,” Diptesh C. Ghosh,
country category manager (printing and personal systems) HP India, said at the launch here
recently.

 ET Bureau (14 Apr, 2015, 01.06AM) ‘Hewlett-Packard sees domestic IT market

expansion opportunity in Digital India’, The Economic Times, Pg No. 1

Hewlett-Packard (HP) India believes that expanding the domestic IT market will be key to
the successful realization of the 'Digital India' initiative, and that there are still several
untapped sectors that should be brought under the fold of the programme.

"The reason why we see a huge opportunity in the government is because mindsets are
changing, the manner in which the government now wants to do more and more in the digital
space, than in the physical space," said Rajiv Srivastava, vice president and general manager,
HP Printers & Personal Systems (PPS) India.

11
 2. Industry analysis of the organization
Industry analysis: A market assessment tool designed to provide a business with an idea of
the complexity of a particular industry. Industry analysis involves reviewing the economic,
political and market factors that influence the way the industry develops. Major factors can
include the power wielded by suppliers and buyers, the condition of competitors, and the
likelihood of new market entrants.

2.1. Porter’s Five Forces: Hewlett – Packard Company

Suppliers
Entrants

HIGH
LOW

Competitor
HIGH

Buyers Substitutes

HIGH MODERATE

 Threat of new entrants:

New companies entering a particular industry are always willing to win the market share. If
barriers to entry were high enough, the existing competitors would be protected from the new
entrants; so this threat would be low.

HP is competing in a very challenging industry. It is a well-known fact that the PC industry is

considered a low margin one. Thus, it does not look appealing for the new entrants. Besides,
in order to compete within this industry, against such computer idols as HP, Dell, Lenovo,
etc. a new entrant must make huge investments, which would require a lot of upfront capital.
When speaking about the market share, it is highly unlikely that a new entrant would be able
to win over from such famous and well-established brands like HP, Dell and Lenovo. The
only way to enter and be successful in the PC industry is to discover a unique cutting-edge
idea in technology, followed by successfully developing it into reality. But given the
investments, for example, HP is making into the R&D and Innovations; again the chance that
a new entrant could win this battle is fairly low. Therefore, the threat of new entrants in
relation to HP can be considered as low.

12
 Bargaining power of buyers.

Buyers influence industry by forcing to lower the prices, demanding more services or higher
quality. The power of buyers can cost the profitability of the industry.

The bargaining power of buyers is very high in relation to HP. Nowadays customers have lots
of choice on the PC market, the consequence of which is price reduction. But low prices are
not the only thing that customers bargain for. Together with this, they want higher quality
products and better customer service. Having such competitors as Dell or Lenovo, it is
extremely hard for HP to keep customers loyal. Even though HP’s strategy is to be a
differentiator through high quality and product variety, most of the time it is not enough for
customers to stay loyal. Hence, the bargaining power of buyers is high in case of HP.

 Bargaining power of suppliers:

Suppliers can put pressure on the industry by raising the prices or reducing the quality of the
goods or services. This can directly lead to the decrease of the profitability of the industry,
which might not be always able to recover the costs at its own expense.

A computer consists of a lot of small components, which are provided by different suppliers.
For example, when it comes to processors, HP’s only supplier is Intel. Intel is the global
leader with 80% of the market share. Intel has all the power to define its prices, leaving HP
with no influence on it. This is quite a dangerous situation for HP, which can directly impact
the company profitability, in case Intel decides to increase its prices. Having no other
processor supplier, HP is confined within the strict limits. Therefore, the bargaining power of
suppliers can be considered high for HP.

 Substitute products:
In every industry companies compete with substitute products, which limit the potential
profits by placing price ceilings. The higher is the pressure from the substitutes and the more
attractive their price is, the more impacted the profit of the company competing against them
would be.

PC industry in general is threatened by substitutes. The introduction of the advanced

technologies in mobile devices and tablets has decreased customer demand for PCs. Gartner’s
principal analyst, Ms. Kitagawa, says that customers demonstrate less and less interest in
purchasing PCs due to availability of the other technology products, such as smart phones
and tablets (Gartner, 2012a). Such a change poses a definite threat to HP’s PC business.
Though, this threat cannot be considered high for HP, as HP has already introduced its own
tablet device, as well as it has capacity to develop its Smartphone business (Palm). Therefore,
the threat of the substitute products is moderate for HP.

13
 Rivalry among the existing competitors:
Competitive rivalry exists in every industry. If one company decides to improve its market
position by decreasing the prices, or introducing a new product, or service, other companies
within this industry would start feeling the impact. The more intense the rivalry is, the higher
is the chance to lose the competition.

HP competes on the extremely rival market. Its primary competitors, Dell and Lenovo, have a
strong position on the market. Lenovo has been taking on opportunities and strengthening its
position in emerging markets, as well as it launched an aggressive channel program in the
U.S., which led to overtaking the market share from HP. Dell is slightly behind, but
nevertheless holds a solid market share. Both competitors stick to the cost leadership strategy,
whilst HP bets on being differentiated through the quality and variety of products. In order to
win the competition, and return place in PC making business, HP’s CEO Meg Whitman took
a decision to unite HP’s Personal Systems Group with Printing Solutions Group. This
decision will help significantly reduce the costs, and introduce lower prices on the market.

Based on the analysis of HP Personal Systems and its primary competitors, Dell and Lenovo,
represented in this paper, the following list of strategic actions can be recommended to HP, in
order to leverage its potential and regain the lost market share.

14
 2.2. PESTEL Analysis of Hewlett – Packard Company
PESTLE analysis, which is sometimes referred as PEST analysis, is a concept in marketing
principles. Moreover, this concept is used as a tool by companies to track the environment
they're operating in or are planning to launch a new project/product/service etc.

Political

Hewlett-Packard operates in more than 170 countries. Multinational firms can be majorly
impacted by governments, who impose regulations. Whilst also being able to change the
levels of taxation or import duties. There is also political risk defined as " the likelihood that
political forces will cause drastic changes in a country's business environment” as cited by
Mellahi et al 2005.

Economic

Within the mobile technology industry economic factors to be considered are the rate of
inflation, the disposable income consumers, as well as levels of unemployment. Mobile
technology products such as smart phones can be seen as a luxury product. With a worldwide
recession occurring from 2007 till 2009 (CNN) and the market still recovering less disposable
income is available to spend on these luxuries.

Socio-cultural

Consumer attitudes changing can influence firm strategies with some products becoming less
fashionable, the mobile technology industry must become sensitive to changing trends.
Articles have been written that predict there is a possibility for smart phones to take over
from the PC in the near future.

Technological

The mobile technology industry is a fast moving with the pace increasing. This is true in this
industry with new technology software being released every day. As well as Wi-Fi being
made available in public places, such as the London Underground.

Environmental

Environmental issues have become a more increasing concern in recent years. This includes
the mobile technology industry. Companies are put under more pressure to adopt corporate
social responsibility. There is also the need to follow environmental law for example in
Europe.

Legal

The mobile technology industry has many legal factors they must take into consideration.
This can include laws against monopolies, impacting on whether companies can perform an
acquisition or merger. As well as financial regulations and employment laws. The industry
must also be aware of patents, ensuring they don't infringe on a patent (Intellectual Property
Office 2011).
15
 3. Analysis of the organization

3.1. Hewlett-Packard company profile

Overview of Hewlett-Packard Company:

 Hewlett-Packard co. is a provider of information technology product, software,

solutions and services.
 HP produces personal computer, laptop, workstation, printer, tablet and servers,
provides IT and consulting services, and makes networking products and software to
tie everything together.
 Its service portfolio includes enterprise IT infrastructure solution, technology
support, maintenance service, integration and consulting services.
 HP’s customer portfolio ranges from individual to small, medium and large
enterprises.
 The company conducts business operations in 170 countries across Americas,
Europe, Middle East and Asia- pacific regions.
 HP’s head quartered in Palo Alto, California, US.

Hewlett-Packard Company in India:

 HP comes in India in 1988. HP India has a presence in over 350 cities in the
country.
 The HP- Compaq merger in 2002 created the largest pc company in India with
revenues of RS. 35 billion and a combined 17% market share in India.
 In March 2009, HP launched the ‘HP Software University’ (HPSU) in partnership
with Indian Institute of Hardware Technology.
 The Indian entities of Hewlett-Packard co. are:
HP India Sales Privet Limited for sales and marketing operations.
Global e – business operations privet limited for transaction processing.
HP India software operations Pvt. Ltd. For software development and sales.
HP consumer contract center-Technical support contract center.
HP global soft Ltd –HP services global delivery operations in India for
application services, IT infrastructure and technology services.

Product segments of Hewlett-Packard Company:

Its operations are organized into 7 segments

 The personal system group (PSG).

 Services.
 The imaging and printing group (IPG).
 Enterprise servers, Storage and Networking (ESSN).
 HP software.
 HP financial services (HPFS).
 Corporate investments.
16
 3.2. SWOT Analysis of Hewlett – Packard Company

Strengths:

HP is currently the world’s 15th most valuable brand. Undoubtedly, HP’s brand represents
one of the key strengths of the company. Many customers associate HP brand name with
innovation, quality and reliability, which consecutively effect buyers’ decision to choose HP
products over the competitors. The second strength is the company size and scalability. HP is
the biggest company of its kind. Because of its size, the company can easily access the
necessary resources, funds, or clients, which are not available to smaller competitors. The
last, but not the least strength is innovation and R&D. HP sees innovation as “an essential
ingredient to establish and maintain business advantage”. HP has been making huge
investments in R&D, having received more than 36,000 patents as of 2011. Overall,
innovation is key in the business culture, which brings advantage over competitors.

S W

- Strong brand - Size

- Size & scale - Supply chain
- Innovation/R&D
O T

- Recover PC market - High competition

- Grow tablet PC business - 3rd party suppliers

HP SWOT Analysis

Weaknesses:

Although the size of HP was mentioned as one of its strengths, it can also be considered as
one of its weaknesses. Being a big size company can hinder the speed of the response to a
competitor’s strategic move, as well as the selection of a tactful market moves/decisions. The
latter ones are also affected by the level of bureaucracy, which are more typical for bigger
companies in comparison to smaller ones. The other weakness, supply chain, can be quite
dangerous for HP. For example, HP uses Intel as the only provider of processors. If at any
point, there is a disagreement between HP and Intel, it could directly threaten HP’s market
position.

Opportunities:

One of the main opportunities for HP is to recover their PC business and regain the position
of the global PC manufacturer. The company has all the necessary means to become
successful in becoming a good leader, using clear strategy, and further advanced in
technology. The other potential opportunity for HP is to expand its role on the PC tablet
market, where HP’s current strategy is to “aggressively attack” the tablet market.
17
Threats:

High competition is the most dangerous threat for HP, especially when it comes to prices.
For instance, Dell and Lenovo, being able to offer lower prices than HP, can eventually
drag HP’s margins to zero. The other potential threat, third party suppliers, should also be
dealt with, as shortages, contractual risk, and oversupply might cause a lot of damage to
HP’s cost management.

18
 3.3. Competitor analysis of HP

3.3.1. Lenovo Group Limited

Being born into an industry that already exists, Lenovo has had the opportunity to examine
what works and what does not. This analytical approach allowed the company to assess its
barriers to entry and devise strong cost leader competitive strategy to carry out its success
placement in the industry. Michael E. Potter describes the cost leader competitive strategy as
primarily being focused on the efficiency of a low-cost business, while still keeping up a
healthy profit margin by spending less on promotion and sales. As A Company, they realize
the significance of the vis-à-vis, and focus on maintaining a strong position to have a
competitive advantage in combating their rivals. The target market embodies small/large
businesses and extends its contacts in the education, medical and government fields. Product
lines appeal too most buyers varying from low-end to high-end segments. The company takes
a portion of profit to reinvest into R&D advancements to keep up with trends and updating
old products.

What is Lenovo doing to improve their competitive situation?

Lenovo has a vision of spreading its wingspan globally, and already started using its
cash cow (the desktop PC) to attain these goals. By viewing the global market as open,
Lenovo has begun to build nests in countries such as Japan, and Germany. Growth strategy is
attained by sharing operation, and function costs with local manufacturing centers by forming
joint alliances. As an outcome both sides increases production, cut transportation cost, fulfill
the current growing demand, offer economic growth to the country and lastly increase jobs in
the market. Lenovo is also aware of the new trends in its target market (the corporate world),
which require higher demand for integration of mobility in business. The preferences in the
corporate world are becoming more obvious with a higher demand of laptops as a pose to the
dusk collecting stationary desktop computer, which glues employees to their workstation.
This situation offers new opportunity for inventing multiple varieties of laptops ranging from
low-end to high-end segments with the focus of three things: performance efficiency,
durability, and overall lightweight characteristics. If the focus strategy is executed right, it
will generate additional revenue and increase company percentage of the overall market
share.

Vulnerability of Lenovo

Being a young company with weak brand identification in a world of experienced and fierce
competition jeopardizes the success of Lenovo. It is essential to stay on track of making
profitable moves in order to be financial health, and withstand the impact of competitor’s
strategies. For new companies with little experience it can become cumbersome to manage:
forecasting which investments/strategies will pay off the most, knowing when it the
worst/best time to invest in R&D (how often to create/ update products), at what time to
invest in marketing to derive a strong company identity, and when to invest in promotion &
sales to aggressively achieve customer awareness.
19
 3.3.2. Competitor Analysis: Dell
Dell, the pioneer of sustaining a healthy balanced finance portfolio has achieved its goals buy
remaining efficient is all its divisions in the organization and in return offered competitive
prices. Dell’s objective is to coexist on the low-end segment where profitability is more
realistic. This strategy was attained by standardizing their product models in order to drop
price margins, so that they could offer the ability to invest in customer service and the
customization of a product to fit individual needs. To further minimize costs, Dell has
implemented a strong relationship with suppliers to ensure the best prices, created a strategy
to have no manufacturing costs since parts are ordered & assembled, no operating costs by
having no physical retailer location, and achieves a low over production margin by offering
built to order systems. Michael E. Potter, author of describes the cost leader competitive
strategy as primarily being focused aggressively attaining efficiency of a low-cost business,
while still keeping up a healthy profit margin by spending less on promotion, sales and R&D.

What is Dell doing to improve their competitive situation?

On Dell’s website you will find the company philosophy, “Reliability- Service- Support.”
Dell calls the relationship between the customer and themselves an open agreement, which
allows for free flow of communication to address problems and recognize opportunities to
change. This perspective helps Dell follow customer needs and changes in tends. In addition
revisions have been made to their sensory system to maintain customers up to date by:
keeping track of customer preference, previous orders, and a time log of updates on
hardware/software. Also investments have been made in RD&E to engineering new features,
and sociable technologies for relevant products. Dell defends its position by proving that.
Aside from developing features, no major R&D developments were constructed due to
economic health.

Vulnerability of Dell

Protected by market positioning it has become sleepy and less responsive to the competitors
moves. While other companies update products to keep up with the new market conditions,
they have stayed focused on remaining efficiency with the goal of achieving higher profit
margins annually. As a result, no technological specialization is accomplished and customers
are left with buying old-fashioned products with updated features. The computer demand
goings up and prices plummet can pose to be a serious threat to the company because the
accessibility to more comparable options has in result educated buyers in comparing product
and conducting cost analysis. In addition, navigating through a poorly engineered and
outdates website poses high risk to buyer who already has no idea what they are investing in
online. With the future pressures of cheaper modern alternatives, it is evident to forecast
residual erosion for Dell when it comes to customer’s satisfaction and spending.

20
 4. Objectives and scope of work

 To Explore the Perceptual Position of different product and financial solutions offered by
Hewlett-Packard India Sales Pvt. Ltd.

 To find out the penetration of IT products in educational institutions.

 To analyze the psyche and desires of the potential customers in terms of investment in
different product and financial solutions being offered by the company.

 To study the various product of hp like personal computer, laptop, tablet, workstation,
software etc.
 To find out the market share of Hp in IT products.

 To compare the use of IT products in educational institutions.

 To explore the unexplored potential market of Hp.

 Find out satisfaction level of HP users.

21
 5. Project Planning and Methodology
5.1. Project Planning
Steps involved in project planning are as follows:

Step 1: Product Training:

An understanding of the goods or services that might include having

acquired information about its application, function, features, use and support requirements.

Step 2: Market Survey:

A market survey can describe any study that gathers information directly from consumers by
asking those questions about their preferences, habits and experiences.

Step 3: Data Analysis:

Analysis of data is a process of inspecting, cleaning, transforming, and modelling data with
the goal of discovering useful information, suggesting conclusions, and supporting decision-
making.

Step 4: Findings & Conclusion:

Facts and figures collected to satisfy the objectives of the report (the
findings), inferences drawn from the findings (the conclusions), and courses
of action suggested in line with the objectives of the audit (the recommendations).

Step 5: Report writing & Presentation:

Creating an account or statement that describes in detail an event, situation or occurrence,

usually as the result of observation or inquiry. A presentation is the process of presenting a
topic to an audience. It is typically a demonstration, lecture, or speech meant to inform,
persuade, or build good will.

22
 5.2. Research Methodology

Research problem:
 Asses the market share of Hp and compare with other IT companies.
 The business of Hp. The company wants to know the potential market for its different
product in order to expand and retain its market share.
 Comparison between the requirements of educational institutions.

Research design:
 Determine the Information Sources: The data has been gathered through secondary
sources.
 Primary Data is collected through questionnaire, search and research through place
where today’s computer and office automation products has been mostly used.
 Secondary Data has been collected through magazines, newspapers, journals and
websites.

Data collection:
The data has been collected by gathering information through the official websites,
magazines and journals.

Developed the research frame:

This includes deciding upon various aspects for the project on which the entire research is
based. The research is framed includes:

Sampling Technique:
The samples were taken on the basis of simple random and convenient sampling. The tools
used for the analysis are bar graphs and pie-charts.

Nature of study:
The project on which work is done is descriptive and internal in nature.

Data source:
I took the help of both primary as well as secondary sources. Primary sources being the
interaction between with various IT people of the selected institutions and filling up
questionnaire by them. Secondary sources being the I schools, hospital, some small company
internet as the medium and the official sites of the companies of IT sectors.

Instruments used:
A questionnaire cum personal interview was used for market research for the segment. The
company in which the research is done provided the Questionnaire and an idea of its
prospective clients.

Sample size:
Sample size for research is fixed. It counts to 64. It includes schools, hospital, some small
company. The sample included 64 schools, hospital, some small company located at different
locations of West Bengal.

23
 6. Data Analysis & Findings
1. What is your existing installation base of desktops?

Using Brand No. Of organization %

Assemble/HP 2 3.125
DELL 4 6.25
DELL/APPLE 1 1.5625
HP/DELL 14 21.875
DELL/Lenovo 1 1.5625
HP 29 45.3125
HP/ACER 2 3.125
HP/Apple 5 7.8125
HP/APPLE/DELL 1 1.5625
HP/Lenovo 5 7.8125
Total 64 100

Table No.-1

Assemble/HP
2% 3% 6% 1%
8% DELL
3% 8%
DELL/APPLE
22%
HP/DELL
DELL/Lenovo
45%
HP
2%
HP/ACER

Figure no.-1

Observation

 29 out of 64 respondents i.e. 45% of the organizations who took the survey use HP as their desktop
brand.
 14 out of 64 respondents i.e. 22% of the organizations who took the survey use HP and DELL as their
desktop brand.
 21 out of 64 respondents i.e. 33% of the organizations using other brands like Apple, Lenovo, and
ACER.

Interpretation

 A large number of organizations using only HP as their desktop brand.

 Some organizations using DELL and HP as their desktop brand.
 Some organizations using assemble or other brand like Apple, Lenovo, and ACER as their desktop
brand.

24
2. What is your existing installation base of laptops?

Brand No. Of organization %

HP 6 9.375
APPLE/DELL 1 1.5625
Apple/HP 1 1.5625
APPLE/HP/DELL 2 3.125
HP/DELL 1 1.5625
NA 53 82.8125
Total 64 100
Table No.-2

1%
2%
9% 3%
2% HP
APPLE/DELL
Apple/HP
APPLE/HP/DELL
83%
HP/DELL
NA

Figure no.-2

Observation

 6 out of 64 respondents i.e. 9% of the organizations who took the survey use HP as their laptop brand.
 5 out of 64 respondents i.e. 8% of the organizations using other brands like Apple, DELL as their
laptop brand.
 53 out of 64 respondents i.e. 83% of the organizations who took the survey do not use any laptop.

Interpretation

 A large number of organizations do not using any laptop.

 Some organizations using HP, DELL and Apple as their laptop brand.

25
3. What is your existing installation base of printers?

Brand No. Of organization %

HP 30 46.875
CANON 1 1.5625
EPSON/HP 1 1.5625
HP/CANON 31 48.4375
HP/CANON/EPSON 1 1.5625
Total 64 100
Table No.-3

2%

HP
47%
CANON
48%
EPSON/HP
HP/CANON
HP/CANON/EPSON

2% 1%

Figure no.-3

Observation

 30 out of 64 respondents i.e. 47% of the organizations who took the survey use HP as their printer
brand.
 31 out of 64 respondents i.e. 48% of the organizations using HP and Canon as their printer brand.
 3 out of 64 respondents i.e. 5% of the organizations using both of HP, Canon, Epson as their printer
brand.


Interpretation

 A large number of organizations using only HP as their printer brand.

 Some organizations using all (HP, Canon, and Epson) as their printer brand.

26
4. What is your existing installation base of workstations?

Brand No. Of organization %

HP 7 10.9375
HP/DELL 1 1.5625
HP/IBM 13 20.3125
IBM 4 6.25
NA 39 60.9375
Total 64 100
Table No.-4

2%
11%
HP
20% HP/DELL

61% HP/IBM
6% IBM
NA

Figure no.-4

Observation

 13 out of 64 respondents i.e. 20% of the organizations who took the survey use HP and IBM as their
workstation brand.
 7 out of 64 respondents i.e. 11% of the organizations who took the survey use HP as their workstation
brand.
 4 out of 64 respondents i.e. 6% of the organizations who took the survey use IBM as their workstation
brand.
 39 out of 64 respondents i.e. 61% of the organizations who took the survey do not use any
workstation.

Interpretation

 A large number of organizations do not using any workstation.

 Some organizations using HP as their workstation brand.
 Some organizations using DELL and IBM as their workstation brand.

27
5. Which is your favorite brand?

Brand No. Of organization %

HP 46 71.875
Apple 10 15.625
DELL 5 7.8125
Lenovo 3 4.6875
Total 64 100
Table No.-5

HP Apple DELL Lenovo

8% 5%
15%

72%

Figure no.-5

Observation

 46 out of 64 respondents i.e. 72% of the organizations who took the survey they like HP as their
favorite brand.
 10 out of 64 respondents i.e. 15% of the organizations who took the survey they like Apple as their
favorite brand.
 5 out of 64 respondents i.e. 8% of the organizations who took the survey they like DELL as their
favorite brand.
 3 out of 64 respondents i.e. 5% of the organizations who took the survey they like Lenovo as their
favorite brand.

Interpretation

 A large number of respondents like HP as their favorite brand.

 Some respondents also like Apple, DELL and Lenovo as their favorite brand.

28
6. Has anybody from HP ever communicated with you through any medium?

HP ever communicated with you through any medium %

Yes 11 17.1875
No 53 82.8125
Total 64 100
Table No.-6

Yes No

17%

83%

Figure no.-6

Observation

 11 out of 64 respondents i.e. 17% of the organizations who took the survey and their answer was yes.
 53 out of 64 respondents i.e. 83% of the organizations who took the survey and their answer was no.

Interpretation

 Hp did not communicate with a large number of respondents.

29
7. Has any HP partner ever come in contact with you?

HP partner come in contact %

Yes 4 6.25

No 60 93.75

Total 64 100
Table No.-7

6%

Yes
No

94%

Figure no.-7

Observation

 4 out of 64 respondents i.e. 6% of the organizations who took the survey and their answer was yes.
 60 out of 64 respondents i.e. 94% of the organizations who took the survey and their answer was no.

Interpretation

 Any Hp partner did not come to a large number of respondents.

30
8. Do you get regular information about HP products?

Do you get regular information about HP products %

Yes 57 89.0625

No 7 10.9375

Total 64 100
Table No.-8

11%

Yes
No
89%

Figure no.-8

Observation

 57 out of 64 respondents i.e. 89% of the organizations who took the survey and their answer was yes.
 7 out of 64 respondents i.e. 11% of the organizations who took the survey and their answer was no.

Interpretation

 A large number of respondents get regular information about HP products.

31
9. Are you satisfied with the existing brand that you are using?

satisfied with the existing brand %

Yes
64 100

No 0 0

Total 64 100
Table No.-9

0%

Yes
No

100%

Figure no.-9

Observation

 64 out of 64 respondents i.e. 100% of the organizations who took the survey and their answer was yes.

Interpretation

 All respondents are satisfied with the existing brand that they are using.

32
10. What is the buying procedure of your organization’s IT products?

buying procedure %
Tendering
60 93.75
Tendering/DGS & D
4 6.25

Total 64 100
Table No.-10

6%

Tendering
Tendering/DGS & D
94%

Figure no.-10

Observation

 60 out of 64 respondents i.e. 94% of the organizations who took the survey use tendering as their
buying procedure.
 4 out of 64 respondents i.e. 6% of the organizations who took the survey use tendering and DGS&D
as their buying procedure.

Interpretation

 A large number of organizations use tendering as theirs buying procedure.

 Some organizations DGS&D as theirs buying procedure.

33
11. On a scale of 1-5, how would you rate HP as a company? (where 1 is poor & 5 is excellent)

Rate HP as a company (1-5)

Rate No. Of organization %
one 0 0
two 0 0
three 17 26.5625
four 41 64.0625
five 6 9.375
Total 64 100
Table No.-11

0% 0%

9%
27%
one
two
three

64% four
five

Figure no.-11

Observation

 41 out of 64 respondents i.e. 64% of the organizations who took the survey and give 4 out of 5.
 17 out of 64 respondents i.e. 27% of the organizations who took the survey and give 3 out of 5.
 6 out of 64 respondents i.e. 9% of the organizations who took the survey and give 5 out of 5

Interpretation

 A large number of respondents give 4 stars which is very good symbol for HP.
 5 stars also there which is also positive result to HP.

34
12. Are you satisfied with the existing printing device that you are using?

Satisfaction label with the existing printer %

satisfied
16 25
Very satisfied
21 32.8125
Somewhat satisfied
27 42.1875
Not satisfied
0 0

Total 64 100
Table No.-12

satisfied Very satisfied Some what satisfid

25%
42%

33%

Figure no.-12

Observation

 27 out of 64 respondents i.e. 42% of the organizations are somewhat satisfied.

 21 out of 64 respondents i.e. 33% of the organizations are very satisfied.
 16 out of 64 respondents i.e. 25% of the organizations are satisfied.

Interpretation

 A large number of respondents are satisfied with HP.

35
13. Do you have a separate scanning device or a multi-function device?

Separate scanning device or a multi-function device %

multi-function device 53
82.8125
Both (multi-function device and separate device) 10
15.625
1
NA 1.5625

Total 64 100
Table No.-13

multi-function device Both NA

1%

16%

83%

Figure no.-13

Observation

 53 out of 64 respondents i.e. 83% of the organizations who took the survey use multi-function device
as printer.
 10 out of 64 respondents i.e. 16% of the organizations who took the survey use both multi-function
and separate device as printer.
 1 out of 64 respondents i.e. 81% do not using any printer

Interpretation

 A large number of organizations using multi-function device.

 Some organizations using both multi-function and separate device.

36
14. Did you face any service issues with the existing printing device?

Face service issues with the existing printer %

Yes 32 50

No 32 50

Total 64 100
Table No.-14

Yes No

50% 50%

Figure no.-14

Observation

 32 out of 64 respondents i.e. 50% of the organizations who took the survey and their answer was yes.
 32 out of 64 respondents i.e. 50% of the organizations who took the survey and their answer was no.

Interpretation

 Half of respondents are facing service issues with existing printer.

 Half of respondents are do not facing any service issues with existing printer.

37
15. Are you facing this issue at a regular interval?

Facing service issue at a regular interval %

Yes 2 3.125

No 62 96.875

Total 64 100
Table No.-15

Yes No

3%

97%

Figure no.-15

Observation

 2 out of 64 respondents i.e. 3% of the organizations who took the survey and their answer was yes.
 62 out of 64 respondents i.e. 62% of the organizations who took the survey and their answer was no.

Interpretation

 A large number of organizations not facing service issue at a regular interval.

38
 7. Conclusions & Recommendations

7.1. Conclusions:
 A large number of organizations using only HP as their desktop brand.
 Some organizations using DELL and HP as their desktop brand.
 Some organizations using assemble or other brand like Apple, Lenovo, and ACER as
their desktop brand.
 A large number of organizations do not using any laptop.
 Some organizations using HP, DELL and Apple as their laptop brand.
 A large number of organizations using only HP as their printer brand.
 Some organizations using all (HP, Canon, and Epson) as their printer brand.
 A large number of organizations do not using any workstation.
 Some organizations using HP as their workstation brand.
 Some organizations using DELL and IBM as their workstation brand.
 A large number of respondents like HP as their favorite brand.
 Some respondents also like Apple, DELL and Lenovo as their favorite brand.
 Hp did not communicate with a large number of respondents.
 Any Hp partner did not come to a large number of respondents.
 A large number of respondents get regular information about HP products.
 All respondents are satisfied with the existing brand that they are using.
 Some organizations using DGS&D as theirs buying procedure.
 A large number of respondents give 4 stars which is very good rating for HP.
 5 stars also there which is also positive result to HP.
 A large number of respondents are satisfied with HP.
 A large number of organizations using multi-function printer device.
 Some organizations using both multi-function and separate printer device.
 Half of respondents are facing service issues with existing printer.
 Half of respondents are do not facing any service issues with existing printer.
 A large number of organizations do not facing service issue at a regular interval.

7.2. Recommendations:

After studying the findings conclude that the company plugs in certain points where they are
lagging behind.

 Hp should increase their communication with their customer base.

 Hp should have their partners come in contact with their customers on a more regular
interval.
 Hp should increase their advertisements in order to increase their customer strength.
 Hp should go and give a sample test to their customer because a large number of
organization do not using any laptop.

39
 8. Limitations of the Study
 Hesitation or reluctance on the part of survey respondents to share confidential or company
specific information.
 The concerned person is sometimes not aware of the product due to which they may
provide misleading information which would lead to inaccurate result in the project.
 Only 64 surveys in deferent segment, like school, hospital, and some small company which is
not enough, need more data which will make this project more effective.
 I got some appointment but I cannot attend them for short time period, maybe I can get some
important information if I attend them.

40
 References
Website Links:

 Business Day Live (2012). Mustek plans to expand portfolio with tablet offering. Retrieved
November 15, 2012 from http://www.bdlive.co.za/business/technology/2012 /10/18/mustek-plans-to-
expand-portfolio-with-tablet-offering
 http://www.slideshare.net/misscreative/hcl-project?related=1
 http://www.slideshare.net/fabihajuveria/organization-study-at-hp?related=1
 http://www.telegraphindia.com/1130715/jsp/northeast/story_17115029.jsp
 http://in.reuters.com/finance/stocks/companyProfile?symbol=HPQ.N
 http://www.business-standard.com/article/technology/hp-reinvents-printing-technology-
115041400835_1.html
 http://www.eweek.com/small-business/hp-dell- lead-growing-worldwide-server- market.html
 Business Insider (2012). The 20 Most Valuable Brands In The World. Retrieved November 14, 2012
from http://www.businessinsider.com/most-valuable-brands-in-the-world-2012-
10?op=1#ixzz2D9sFaZYd
 http://economictimes.indiatimes.com/tech/software/hewlett-packard-sees-domestic-it-
market-expansion-opportunity-in-digital- india/articleshow/46913053.cms
 Chen, Grace, and Jasmine Lu. Lenovo. Morgan Stanley Research. New York: Morgan Stanley,
2008. Retrieved November 17, 2012 from: http://www.gazhoo.com/upload/ document/
2011/02/15/201102152313333169.swf
 Gartner (2012b). Vendor rating: Dell. Retrieved November 17, 2012 from:
http://www.gartner.com/technology/reprints.do?id=1-1C66P7T&ct=120926&st=sb
 Gray, Benjamin. How Enterprise Buyers Rate Their PC Suppliers and What It Means for Future
Purchases. Forrester. 2007. Retrieved November 17, 2012 from:
http://www.dell.com/downloads/global/corporate/iar/20071112_Forrester_HowEnterpriseBuyersRat
e.pdf
 Harvard Business Review (2008). The Five Competitive Forces That Shape Strategy. Retrieved
November 16, 2012 from http://hbr.org/2008/01/the-five-competitive-forces-that-shape-
strategy/ar/1

 Harvard Business School (2005). Is Less Becoming More? Retrieved November 15, 2012
from http://hbswk.hbs.edu/item/5078.html
 HP (2012). Innovation Insights. Retrieved November 13, 2012 from
http://www8.hp.com/us/en/campaign/services/insights.html
 International Data Corporation (2012). Worldwide PC Microprocessor Revenues in 2011 Rise 13.2%
Compared to 2012, According to IDC. Retrieved November 14, 2012 from
http://www.idc.com/getdoc.jsp?containerId=prUS23376112
 MarketLine (2012, June 6). Company Profile: Lenovo Group Limited [MarketLine Inc]. Retrieved
November 15, 2012 from http://store.marketline.com/Product/
lenovo_group_limited?productid=755935DB-CC13-4CB2-BD6D-8438BFB391AB
 http://www.ukessays.com/essays/management/pestel-analysis-of-hewlett-packard-management-
essay.php

41
 Attachments
QUESTIONNAIRE
Disclaimer: - The survey is conducted solely for the research work under the programme of IBS Business
School, Kolkata as a part of my project and as such the responses generated will be used strictly for academic
purpose.

Name of the Organization: -

________________________________________________________________________________
Address:
__________________________________________________________________________________
__________________________________________________________________________________
Name of the contact person:
__________________________________________________________________________________
Contact No: _________________________ Email:
________________________________________

16. When you think of IT products, which brand name comes to your mind first?
Apple HP Dell Lenovo

Acer Any other, please mention

17. What is your existing installation base?

 No. of laptops ________________________________________________________________
 No. of desktops ________________________________________________________________
 No. of workstations ________________________________________________________________
 No. of tablets ________________________________________________________________
 No. of printers ________________________________________________________________

18. Which brand of IT products does your organization use?

Apple Dell HP Lenovo

Any other, please mention

19. What is your annual budget for IT products and how much of it you use to refresh and buy new products

______________________________________________________________________________________

20. What is your budget for the forthcoming year (2015-2016) for buying IT products?

______________________________________________________________________________________

21. Which is your favorite brand?

Dell HP Apple Lenovo Acer

Any other, please mention

22. What is the main criteria to choose your favorite brand?

(In case of selecting more than one option as your answer, please indicate your preferences by
numbering them in order of your priority)
42
 Maximum priority -1, least priority -5)
User friendly Durability Price After sales service

Any other reason, please mention

23. Has anybody from HP ever communicated with you through any medium?
If Yes, Name: No

24. Has any HP partner ever come in contact with you?

If Yes, Name: No

25. Do you get regular information about HP products?

Yes No

26. If yes, through which medium? (In case of selecting more than one option as your answer, please
indicate your preferences by numbering them in order of your priority)
Maximum priority -1, least priority -5)

Social media Newspaper Television Internet

Direct Mailer Any other, please mention

27. Are you satisfied with the existing brand that you are using?
Yes If No, reason for not changing
____________________________________

28. What is that one additional feature which you would like to have in your existing product?

-
______________________________________________________________________________________
__
29. What is the buying procedure of your organization’s IT products?

________________________________________________________________________________________

30. If HP offers any financial scheme such as Easy finance or EMI’s, will you be interested in buyin g any HP
product?
Yes If No,
Reason________________________________________________________

31. If you are a HP customer, what should be the acceptable time lag in attending your reported complain?
12 hours 24 hours 36 hours 48 hours

32. On a scale of 1-5, how would you rate HP as a company? (where 1 is poor & 5 is excellent)
1 2 3 4 5

Some Product Related Questions (Printing Device)

1. Which brand of printer does your organization use?

43
 Canon HP Epson Samsung

Brother Xerox Any other, please mention

2. What is the approximate monthly print volume of your organization ?

______________________________________________________________________________________
__

3. Are you satisfied with the existing printing device that you are using?
Very Satisfied Some-what satisfied Satisfied

Dissatisfied Not satisfied

4. If not satisfied, what is the reason?

______________________________________________________________________________________
______________________________________________________________________________________
________

5. Do you have a separate scanning device or a multi-function device?

Separate scanning device Multi-function device

6. Did you face any service issues with the existing printing device?
Yes No

7. Are you facing this issue at a regular interval?

Yes No

8. Which vendor is responsible for service of your existing IT infrastructure?

Name: 1.
2.
3.

9. Are you satisfied with the service rendered by the vendor?

Yes

No. (reason)
_______________________________________________________________________________

44