Intel Corporation 1968 †1997 - 1177 Words

INTEL CORPORATION: 1968 – 1997 Synopsis: This case traces the strategic decisions of Intel Corporation which defined its evolution from being a start-up developer of semiconductor memory chips in 1968 to being the industry leader of microprocessors in 1997 when it ranked amongst the top five American companies and had stock market valuation of USD 113 billion. Intel in DRAM business: The strategies employed by Intel for DRAM business focussed on: 1. Pushing the envelope of product design 2. Being first to market with newest devices 3. Premium pricing and skim marketing. No emphasis on mass production Initially, Intel had a successful run in this business as they: 1. Had no immediate competition 2. The demand for memory†¦show more content†¦Competitor 1. Defining industry standards: RISC v/s CISC technology led to stepping up of Intel’s RD for new generations of the X86. Intel developed two generations of its X86 line simultaneously (the Pentium and the Pentium Pro) and committed to a massive expansion in production capacity for these products. 2. The threats from Clones: Intel’s drive for intellectual property protection and settlement with AMD followed by overwhelming successful propagation Pentium and Pentium Pro chips offset the threat from clones. Customers: The ‘Intel Inside’ campaign with OEMs and â€Å"Runs better on a Pentium processor† sticker on PC software strengthened customer recognition of Intel as a brand. Biggies like IBM and Compaq opted out of these campaigns as they feared this would dilute their brand. However, growing demand and popularity of Intel brand brought IBM and Compaq back to Intel. Intel emerged as a clear leader. Intel’s System Business added to the bottom line but the microprocessor was by and large their main line of business. Supplier Relationships Intel moved from sole-source suppliers to dual to multi suppliers to ensure responsiveness to requests for technical support and improvement. STRATEGIC MANOEUVERS and IMPLICATIONS) Intel strategic implications: 1st stage: DRAM story learning 2nd stage: Microprocessor story learning 3rd stage: The future DRAM story: R D had three components: 1. Product developmentShow MoreRelatedEssay Intel Corporation, 1968-19971123 Words   |  5 PagesIntel Corporation, 1968-1997 Synopsis: This case traces the strategic decisions of Intel Corporation which defined its evolution from being a start-up developer of semiconductor memory chips in 1968 to being the industry leader of microprocessors in 1997 when it ranked amongst the top five American companies and had stock market valuation of USD 113 billion. Intel in DRAM business: The strategies employed by Intel for DRAM business focussed on: 1. Pushing the envelope of product design Read MoreCase Preparation Questions734 Words   |  3 Pagessecond region? Intel Corporation: 1968-1997 1. What was Intel’s strategy in DRAMS? What accounts for Intel’s dramatic decline in market share in the Dram market between 19974-1984? To what extent was Intel’s failure a result of its strategy? 2. What strategy did Intel use to gain a competitive advantage in microprocessors? What threats has Intel faced in sustaining its competitive advantage in microprocessors and what strategies has it used to deal with each? Why has Intel been able to sustainRead More Intel Essay1911 Words   |  8 Pages Introduction nbsp;nbsp;nbsp;nbsp;nbsp;This analysis of Intel Corporation is to educate the investor about the company and provide them with useful information that will enable them to make a decision as to whether they should invest in the company. 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