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A PROJECT REPORT

ON
MARKETING STRATEGIES OF WIPRO LTD.
SUBMITTED IN PARTIAL FULFILLMENT OF THE
REQUIREMENTS FOR PAPER NO. 5.3

B.A.(VOC)-MMRB
SUBMITTED TO
COLLEGE OF VOCATIONAL STUDIES,
UNIVERSITY OF DELHI

SUBMITTED BY

Name of student College Roll No.


ADITI VERMA 2K17/MMRB/02

SUPERVISED BY
DR. RAGINI AGGARWAL
HEAD OF COMMERCE DEPARTMENT
COLLEGE OF VOCATIONAL STUDIES
UNIVERSITY OF DELHI
DECLARATION

This is to certify that the material embodied in this study entitled “MARKETING

STRATEGIES OF WIPRO LTD.” is based on my own research work and my

indebtedness to other work/publications has been acknowledged at relevant places. This study has

not been submitted elsewhere either wholly or in part for award of any degree.

ADITI VERMA

This is to certify that the project titled “MARKETING STRATEGIES OF WIPRO

LTD.” done by ADITI VERMA is a part of her academic curriculum for the
degree of B.A.(VOC) MMRB. It has no commercial implication and is done only
for academic purposes.

TEACHERS INCHARGE:
DR. RAGINI AGGARWAL (HEAD OF COMMERCE DEPARTMENT)
ACKNOWLEDGEMENT

The present work is an effort to throw light on the topic “MARKETING STRATEGIES

OF WIPRO LTD.”. The work would not have been possible to come to present shape without

the able guidance, supervision and help given by a number of people.

With the deepest sense of gratitude I acknowledge the encouragement and guidance received from

my mentor DR. RAGINI AGGARWAL.

She has provided me with valuable guidance, sustained efforts and friendly approach. It would

have been difficult to achieve the results in such a short span of time without her help.

I convey my heartfelt thanks to all those people who helped and supported me during the course

of completion of my project.

ADITI VERMA
EXECUTIVE SUMMARY

Main aim of any Research, which is conducted in the marketplace is to bring in light hidden and
basic facts, which affect or can affect the business of a Company in any mode directly or indirectly.
These hidden truths are basic facts, which are the outcomes of the research conducted and are
known as findings. People are not very much aware about other offerings like software
development, networking, Internet services, facility management and high end solutions, they only
know that Wipro deals in desktops, laptops and servers. Most of the people think that Wipro is a
typical hardware firm and has no relations with software or software development.

HCL is not focusing much on advertising in comparison to its competitors. Corporate image of
HCL is pretty good. It is equivalent to IBM, Compaq and HP. HCL gives a tough competition to
the above-mentioned MNCs.

According to Consumer Satisfaction Index HCL is No.1 Company whereas second and third
positions are bagged by Compaq, HP and IBM respectively. Customers are facing problem in New
Delhi related to after sales service provided by the competitors. In order to overcome this problem
in future HCL may open more service centers and use them as USP while selling. HCL is also not
advertising much for its products frequently in print media and in television channel etc.
advertising should be made frequent to let the people remembered the name of HCL. Until and
unless after sales service of the company is not good, it is not possible for the company to increase
the sales, HCL is also facing this problem in some areas of Ghaziabad. Hence it is recommended
that company should open a few more service centers in the city.
TABLE OF CONTENTS PAGE NO.

1) INTRODUCTION 6

2) OBJECTIVES OF THE STUDY 10

3) CONCEPT 11

4) RESEARCH METHODOLOGY 12

5) LITERATURE REVIEW 17

6) MARKETING STRATEGY OF HCL INF. 21

7) PROFILE OF THE ORGANIZATION 27

8) HCL INFOSYS LTD 29

9) MARKET SHARE 34

10) PROBLEMS OF THE ORGANISATION 38

11) COMPETITION INFORMATION 39

1. QUALITY AT HCL INFOSYS LTD

2. ALLIANCES AND PARTNERSHIPS

3. ABOUT HCL FRONTLINE DIVISION

4. OFFERINGS FOR BUSINESS EMPOWERMENT

5. NEED

6. ADVANTAGE

7. ACHIEVEMENTS

8. PRODUCTS AND SERVICES

12) DATA ANALYSIS AND INTERPRETATION 58

13) CONCLUSION & IMPLICATIONS 84

14) RECOMMENDATIONS 87

ii. BIBLIOGRAPHY

iii. APPENDIX
INTRODUCTION

Indian Hardware Industry and HCL Infosystems Ltd.

The year 2011 marked a turning point in the history of global trade in services, with growing
acceptance of IT based global delivery model. With ever increasing availability of international
bandwidth and powerful workflow management software, it is now possible to disaggregate any
business process, execute the sub-processes in multiple centers around the world, and reassemble
it, in near-real time, at another location. This is driving fundamental changes in the global IT
services landscape; vendors and customers are redefining the levels of value creation in the
industry. In the wake of changing global service landscape, Indian Information Technology (IT)
and IT enabled services (ITES-BPO) continue to chart remarkable growth.

The Indian IT success story has also highlighted India's attractiveness as an investment destination
– also beyond the IT sector. Another key impact of the global sourcing model popularized by the
growth of IT-ITES has been the reversal of the brain drain – as people of Indian origin (who went
to pursue careers abroad), as well as young expatriates, are now attracted to work in India.

The Indian software and services export is estimated at more than Rs. 178,230 crore (US$ 17.2
billion) in 2015-16, as compared to Rs. 88,240 crore in 2011-12. This segment will continue to
show robust growth in future also. Indian ITES-BPO sector industry continues to grow from
strength to strength, witnessing high levels of activity – both onshore as well as offshore. Last year
witnessed vendors moving up the value-chain to offer higher-end research and analytics services
to their clients. Attrition levels also remained high, between 25-40 per cent, as demand for trained
talent outpaced supply.

As export revenues from ITES-BPO grew from US $ 2.5 billion in year 2014-15 to US $ 3.6 billion
in years 2015-16, a year-on-year growth of 44 per cent was achieved. In year 2010-11, ITES-BPO
exports accounted for over 27 per cent of the total export revenue earned by the Indian IT-ITES
industry. The value of ITES-BPO exports from India is expected to exceed US $ 15 billion mark
in the year 2016-17.

Indian IT-ITES growth has had a significant multiplier effect on the Indian economy. Apart from
the direct impact on national income and employment, the sector has also contributed to the growth

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of several ancillary industries; a rise in direct-tax collection and an increase in consumer spend
due to the significantly higher disposable incomes.

The rapid growth of ITES-BPO and the IT industry as a whole has made a deep impact on the
socio-economic dynamics of the country. The sector has risen to become biggest employment
generator with the number of jobs added almost doubling each year, has spawned a number of
ancillary businesses such as transportation, real estate and catering, and has contributed to a rising
class of young consumers with high disposable incomes.

STATEMENT OF THE PROBLEM

HCL is not focusing much on advertising in comparison to its competitors. Corporate image of
HCL is pretty good. It is equivalent to IBM, Compaq and HP. HCL give a tough competition to
the above-mentioned MNCs. According to Consumer Satisfaction Index HCL is No.1 Company
where as second and third positions are bagged by Compaq, HP and IBM respectively. Customers
are facing problem in New Delhi related to after sales service provided by the competitors. In order
to overcome this problem in future HCL may open more service centers and use them as USP
while selling. HCL is also not advertising much for its products frequently in print media and in
television channel etc. advertising should be made frequent to let the people remembered the name
of HCL.

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TABLE A1: ELECTRONICS PRODUCTION (FINANCIAL YEAR)
(Rs. Crore)
Item 2011-12 2012- 2013- 2014- 2015- 2016-17
13 14 15 16
1. 11,200 11,950 12,700 13,800 15,200 16,800
Consumer Electronic
s
2. 3,750 4,000 4,500 5,550 6,100 8,300
Industrial Electronics
3. Computers 2,500 3,400 3,550 4,250 6,800 8,800
4. Communication. 4,000 4,500 4,500 4,800 5,350 4,800
& Broadcast Eqpt.
5. 1,450 1,750 1,800 2,500 2,750 3,000
Strategic Electronics
6. Components 5,200 5,500 5,700 6,600 7,600 8,800
Sub-Total 28,100 31,100 32,750 37,500 43,800 50,500
7. Software 17,150 28,350 36,500 46,100 58,240 78,230
for Exports
8. Domestic Software 7,200 9,400 10,874 13,400 16,250 19,630
Total 52,450 68,850 80,124 97,000 118,290 148,360
Source: Department of Information Technology, Government of India (http://www.mit.gov.in)

COMPUTER INDUSTRY
According to International Data Corporation (IDC) India’s information technology (IT) market is
set to grow the fastest in the Asia-Pacific region. The main growth drivers as per the survey would
be mobility, convergence and IT management.

High corporate consumption and buoyancy in small towns is driving sales of PC and has touched
13.4 million units taking the total PC penetration to 14.5 million in the country.

Internet has traditionally been a significant driver for PC sales in the country and with the
announcement of new broadband policy by the Indian government will provide further boost to
PC penetration. Broadband will usher in a whole new set of services including online games
entertainment, education and other interactive public utility services, which will give further

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impetus to PC consumption. Delicensing of wireless for indoors and outdoors, to help mobility,
will lead to the increase in laptop demand.

With reduction of excise duty on PCs to zero, a safeguard duty of 6 to 7% has been imposed by
the government to safeguard local manufacturing of computers. The prices of entry level PCs have
reduced to about Rs. 15,000 and notebooks to about Rs. 40,000. The prices of other peripherals
are also falling; a laser printer is available at a price of Rs. 10,000. The technology wise trend is
also shifting towards multifunction devices (MFDs) having features of a laser printer, fax, copier
and scanner all combined in one device.

The Hard Disk Drive technology is not limited to computers only, now with miniaturization to the
size of postage stamp (sub-one-inch form factor), that too with less than 10 grams of weight, is all
set to be part of digital music players, mobile phones, PDAs, digital still cameras and camcoders,
etc.

The impact of computer technology is becoming visible in all spheres of life. More and more
organizations and agencies are providing a range of online services apart from regular information
and data related to it. The efficiency and quality of all sectors whether it is manufacturing or
services has greatly improved with the use of Information Technology.

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OBJECTIVES OF THE STUDY
OBJECTIVE:

I have always dreamed to do something big in my life, and this tendency of mine influenced me to
undergo my research work on International brands and that too in the field of marketing which has
always been a subject of great interest to me. The main purpose behind doing this research work
on company like HCL is to expose myself to the International arena and learn about the key aspects
related to the marketing strategies of one of the giants of Indian IT Industry

Main objectives :

⮚ To know about the products and services of HCL INFOSYSTEMS that makes this brand
distinct in the IT Market.

⮚ To study the Marketing Strategies of HCL Infosystems Ltd.

⮚ To compare the marketing strategies of HCL Infosystems with that of its competitors
specially Hewlett Packard.

SCOPE OF THE STUDY

Today in the market consumers have a lot of options for every product, whether it is an IT products
or Home PCs or consumer durable or a FMCG product. This study may be helpful for company to
know about the factors affecting the buying behavior and patterns of the customer. It may also be
helpful to know the specific requirements of customer so that customer can be easily satisfied.
Moreover, this study helps to know the buying habits and patterns of customer in Ghaziabad for
HCL PCs and to have knowledge about IT market of Ghaziabad.

⇒ The study may be helpful for company to know the preferences for company of customers for
IT products and it would help in making marketing strategy for future.

⇒ Market share of company expresses the customer’s preference.

This study shows the efforts taken towards the promotion of core products of the company.

SIGNIFICANCE

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Today in the market consumers have a lot of options for every product, whether it be an IT products
or Home PCs or consumer durable or a FMCG product. This study may be helpful for company to
know about the factors affecting the buying behavior and patterns of the customer. It may also be
helpful to know the specific requirements of customer so that customer can be easily satisfied.
Moreover, this study helps to know the buying habits and patterns of customer in Delhi for HCL
PCs and to have knowledge about IT market of Delhi.

MANAGERIAL USEFULNESS OF THE STUDY

● The study may be helpful for company to know the preferences for company of customers
for IT products and it would help in making marketing strategy for future.

● Market share of company expresses the customer’s preference.

● This study shows the efforts taken towards the promotion of core products of the company.

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RESEARCH METHODOLOGY

Methodology: Defining the problem is the most important part of the market research process,
because wrong definition misdirects research. The type of the research to be carried out, the
questions to be raised, and the sampling procedure to be followed and the data to be collected, all
depend on the current understanding of the problem.

HCL is having tough competition in the market with other players, these players are assemblers
and branded. There are many factors, which influence the buyer for purchasing the PC. One of
these factors is sales and promotional activities as well. A major step in the conduction of
marketing research is the decision regarding the nature of research design we are selecting for the
purpose of our study.

The benefits of research design are that it evaluates client’s need in terms of results and the
analytical work on the gathered data that will convert it to useful findings for the management.
The selection of a particular design depends on the causality of the variables involved. For the
purpose of my study I intend to take up descriptive design.

For the purpose of my study I have will collect primary data in the form of 1) Nature of Data, and
2) Its function in the ultimate interpretation and analysis So the data collected in our project is
basically demographic and behavioral. The target population for my survey are Customers of
Channel Partners of HCL Infosystems Ltd. and my sampling frame is NCR Delhi. In all 9 channel
partners and 100 customers of HCL Infosystems will be interviewed and questioned in NCR Delhi.

3.1 Research Approaches

Primary data can be collected in five ways:

⮚ Observation,

⮚ Focus groups,

⮚ Surveys,

⮚ Behavioral-data, and

⮚ Experiments.

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Observation Research

Fresh data can be gathered by, observing the relevant actors and settings.

Focus Group Research

A focus group is a gathering of six to ten people who are invited to spend a few hours with a skilled
moderator to discuss a product, service, organization, or other marketing entity. The moderator
needs to be objective, knowledgeable on the issue, and skilled in-group dynamics. Participants are
normally paid a small sum for attending. The meeting is typically held in pleasant surroundings
and refreshments are served.

Survey Research

Surveys are best suited for descriptive research. Companies undertake surveys to learn about
people's knowledge, beliefs, preferences, and satisfaction, and to measure these magnitudes in the
general population.

● Data Sources: The researches can gather secondary data, primary data, or both. Secondary
data are data that were collected for another purpose and already exit some-where. Primary
data are gathered for specific purpose or for a specific research project.

When the needed data do not exist or are dated, inaccurate, incomplete, or unreliable, the
researcher will have to collect primary data. Most marketing research projects involve some
primary data collection.

Similar is the case in my project. For the purpose of my study I have collected primary data in the
form of

1) Nature of Data, and

2) Its function in the ultimate interpretation and analysis.

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3.2 Types of Data
⇒ Demographic
⇒ Sociological
⇒ Psychographics
⇒ Behavioral

Here I am going to analyze the opinions that how people perceive something what they believe
about it and what those believes signify. The most potent form of opinions tends to be attitudes,
which are mental sets of pre-dispositions to act in some manner. Here in my thesis I intend
to analyze the opinions and attitudes of the target population by using appropriate sample. So the
data collected in our project is basically demographic and behavioral.

3.3 Research Instruments

Marketing researchers have a choice of two main research instruments in collecting primary data:
Questionnaires and mechanical devices.

Questionnaires
A questionnaire consists of a set of questions presented to respondents for their answer. Because
of its flexibility, the questionnaire is by far the most common instrument used to collect primary
data. Questionnaires need to be carefully developed, tested, and debugged before they are
administered on a large scale.

In preparing a questionnaire, the professional marketing researcher carefully chooses the questions
and their form, wording, and sequence. The form of the question asked can influence the response.
Marketing researchers distinguish between closed-end and open-end questions. Closed-end
questions pre-specify all the possible answer. Open end-questions provide answers that are easier
to interpret and tabulate. Open-end questions often reveal more because they do not constrain
respondents, answers. Finally, the questionnaire designer should exercise care in the wordings and
sequencing of questions. The questionnaire should use simple, direct, unbiased wording and should
be pre-tested with a sample of respondents before it is used. The lead question should attempt to
create interest.

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Data Source

To meet with Channel Partners and asked to fill structured questionnaire and secondary data was
also collected. Personal interviewing is the most versatile method. The interviewer can ask more
questions and record additional observations about the respondent, such as dress and body
language. Personal interviewing takes two forms. In arranged interviews, respondents are
contacted for an appointment.

Intercept interviews involve stopping people at a shopping mall or busy street corner and
requesting an interview.

Collect the Information

The data collection phase of marketing research is generally the most expensive and most prone
to error. The information collected should be both accurate and relevant as per as the requirements
of research project. Depending on the requirement, the researcher has to work out a suitable data
collection method.

Data Collection Methods can broadly be classified into two major categories listed below:

⇒ Primary Methods: When a researcher directly collects data then this method is known as
primary method e.g. interview and questionnaire methods.

⇒ Secondary Methods: The data are termed secondary data when they were not originally
collected for use in the research project under consideration; they were collected rather for use
by some other person or for some other project.

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IMPORTANCE OF STUDY

Today in the market consumers have a lot of options for every product, whether it be an IT products

or Home PCs or consumer durable or a FMCG product.

This study may be helpful for company to know about the factors affecting the buying behavior

and patterns of the customer. It may also be helpful to know the specific requirements of customer

so that customer can be easily satisfied. Moreover, this study helps to know the buying habits and

patterns of customer in Ghaziabad for HCL PCs and to have knowledge about IT market of

Ghaziabad.

⇒ The study may be helpful for company to know the preferences for company of customers for

IT products and it would help in making marketing strategy for future.

⇒ Market share of company expresses the customer’s preference.

⇒ This study shows the efforts taken towards the promotion of core products of the company.

16
LITERATURE REVIEW

The review of literature plays a vital role in each study and needless to say, in this study, literature
regarding the defined problems has been collected and reviewed appropriately.
Michael Etgar, Paul Shrivastava (1983)1 Although inflation has abated somewhat in the United
States, its specter still looms on the horizon. Indeed, inflation is expected to remain endemic to
most advanced nations in the coming years. Perhaps no industry is as affected by inflation as
retailing. In order to cope, retailers need to understand the changes in the behaviour of their
consumers, suppliers, and competitors and must formulate constructive strategies to respond to
these.

Doug Lincoln (1985)2 This paper reports an empirical study conducted with small business
retailers. The general purpose of the study was to address the special problems small business
retailers face in making marketing decisions. Specifically, the study measured small business
managers' belief regarding the difficulty of making various marketing decisions. Additionally, the
study measured the perceived importance of marketing decisions to small business retailing
success. The findings of the study provides a clear description of existing small business retailer
problems and may also aid various organizations and individuals who attempt to assist small
business retailers.

Beaumont (1994)3 This study has concluded that the opening of mega retailers in a community
has the potential to impact of existing smaller merchants in two ways. Firstly, there is an effect on
the retail business in terms of changes to sales levels; increasing in outlets in the immediate area
carrying different product categories to the mega-retail outlets, a result of increased traffic and
declining in the overall market area in outlets carrying similar categories. Secondly, changes in the
way the merchants conduct their business in terms of competitive strategies; reduction in number
of employees; due to either a fall off in sales or increased efficiencies in the business, changes in
marketing practice; pricing, product mix and store positioning, location of outlet and recognition
of customer service as being central to survival.

Archer and Taylor (1994)4 This study argues that small retailers can survive "in the shadow of the
retail giants" the key being levels of customer service that the mega-retailers can't provide, their
very size limiting their abilities in this area. More specifically, contends that by using five well-

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documented retailing best practices, the "Five Pillars of Retailing", survival and success can be
achieved. "Five Pillars" of retailing or best retail practices, components of his "retail model", are:
Solve Consumers Problems, Treat Consumers with Respect, Connect with Consumers' Emotions,
Set the Fairest (not lowest) Price and Save customers Time.

Gaston LeBlanc, Nha Nguyen (1996)5 In their study investigate the concept of corporate image in
intangible services with data collected from three hundred and forty two consumers of a financial
institution. Identifies four factors that explain customers perceptions of image. Highlights the
implications for tracking and building corporate image in service firms.

Shils and Taylor's (1999)6 This comprehensive study identifies both social and economic effects,
the social effects being the physical and social decline of neighborhoods as retailers fail to survive,
noting profound changes in joblessness and socialization. The most serious economic effects
include retail closures as the traditional retailers fail to compete, with the consequent loss of jobs
including the employment of the owners themselves and reduced numbers of employees; both
result caused by the presence of mega-retailers shifting activities from various geographic
traditional retail centers or clusters.

Iyer, Ananth V., Ye, Jianming (2009)7 This study focuses on a logistics system where inventory
is held at three levels: the consumers, the retail store, and the warehouse. Retail customer segments
are heterogeneous and differ in their reservation prices for product as well as their holding costs.
They purchase product from a retail store managed by a retailer. The retailer chooses a retail
pricing scheme to maximize his expected profit given a model of customer temporal response to
retail pricing. This retailer is supplied product from a warehouse managed by a manufacturer. The
manufacturer is responsible for maintaining inventory level at the warehouse and providing
hundred percent service level for retailer orders. The manufacturer uses all available information
to generate an inventory policy that maximizes expected profit subject to the service-level
requirement. They evaluated the manufacturer's optimal expected profit under two possible
schemes: no information regarding the timing of retail promotion plans, and full information
regarding the timing of retail promotion plans. It shows that: as the predictability of the sales
impact of a promotion decreases, it may be optimal for the retailer to eliminate retail promotions;
increased stockpiling tendency of consumers increases retailer profits and decreases manufacturer
profits; and retail-promotion information sharing can make retail promotions change from being

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less profitable than no promotions to being more profitable than no promotions for the
manufacturer.

Gibson, Viriginia A. et al. (2006)8 In their study stated that retail organizations are often cited as
being at the forefront of corporate real estate management. This research found that the retail sector
is characterized by diversity both in terms of the degree to which organizations are vertically
integrated and in terms of the range of modes of retailing they engage in. This in turn led to diverse
real estate portfolios. However, regardless of this diversity, the overriding strategy was focused on
supporting the core activity. This study provides a snapshot of current practice However it also
uncovers the need for a greater understanding of the diversity in practice.

Helen White, et al. (2009)9 Have stated that in the wake of some fairly spectacular "dot.com"
crashes in the recent past, it is appropriate to open debate on the success of new Internet "start-
ups" versus large incumbent conventional industry players starting their own Internet activities as
separate "bolt-on" businesses. This paper examines exploratory interviews with senior managers
from a selection of "established" organizations in contrasting retailing sectors. Its purpose was to
explore the challenges and issues faced by these large retailing organizations in establishing
competitive Internet businesses. Insights and reflections are provided for other managers who are
also following this line of business expansion. Some of the companies that participated in the
research include Dell Corporation, IBM, Tesco Direct, Lotus Notes, Interflora, Flying Flowers,
Virgin, Charles Schwab, Waterstones and Thomas Cook.

T.Koti Reddy, Soumya Kanti Sarkar (2014)57 This study is on Corporate Consumer Behaviour &
Indian Hardware Market-With Special Reference to HCL Infosystem Ltd. In today's rein of
globalized consumerism, understanding the consumer behavior has attained paramount
significance. Consumer behavior is the study of how individuals make decisions to spend their
available resources, namely time, effort and money on consumption related items. The primary
objective of this project was to decipher to the extent possible, the intricacies of the buying
behavior of the corporate consumer in the IT hardware market and to study and understand the
major factors affecting the same. The research was facilitated through both primary data analysis
as well as secondary study. The report summarizes the findings in the form of a statistical analysis.
The analysis included Correlation & Regression, Discriminant Analysis and Factor analysis.
Besides, the report incorporates a comparative analysis of the different business parameters among
the market leaders. The findings have revealed a stark disapprobation between the current market
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scenario and the consumer preferences. It has become evident through the study that Service and
Technological expertise are the major influencing factors in the IT hardware industry.
Interestingly, Price is only :d secondary concern in organizational buying decision. A high
correlation has also been observed between Loyalty, Service, Customization and the tenure of
association.

Shaik Suraj Basha (2014)58 The study concentrates to which extent it is going to create economic
impact of Department stores on small vendors particularly with respect to Kurnool District in the
state of Andhra Pradesh. Department stores are usually part of a retail chain. The reasons behind
the increase of Department stores are improved shopping standards, convenient stocking / display,
shopping blend with entertainment.

These are increasing with rapid pace in the Kurnool district. There is opposition to their plans, it
has argued that livelihood of the traditional formats of low-cost retailing such as the local grocery
shops, owner-maimed general stores, paan/beedi shops, convenience stores, and handcart,
pavement vendors, small scale and rural vendors would be threatened.

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MARKETING STRATEGY OF HCL

”Marketing Strategy can be defined as a business’s approach to marketing its products or services
expresses in broad terms, which forms the basis for developing a marketing plan”. In other words,
Marketing Strategy is nothing but a combination of decision bearing on various aspects of
marketing mix elements. There are basically five P’s of marketing which play a vital role in
marketing of a product and they are Product, Price, Place, Promotion and Packaging. HCL
concentrated on all aspects that’s the reason why HCL has a very good and efficient market not
only in Ghaziabad but also in other regions of India.

Product Planning
HCL take good and effective decision on the faith of their existing product along with their future
products. This is a continuous process, which is taken into consideration by HCL’s top
management.

HCL have an R&D Department, which focuses on to the continuous innovation in order to make
HCL the best in today’s cutthroat competition

Management Information System (MIS)


HCL takes into consideration every bit of information and have a very strong MIS. In order to
have the best knowledge about the market they study the market and to be the best among the

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competitors they study all the market players thoroughly likewise they collect the information
regarding product, price, promotional strategy, etc. of the competitor

Market Segmentation
Market Segmentation means dividing the market into distinct group of buyers keeping in mind
demographics, psychographics and behavioral differences among the buyers. Who might require
different products or marketing mixes?
A market segment consists of a group of people who share similar set of wants. A segment is partly
a fiction, in that not everyone wants exactly the same thing.

HCL has classified people into the following segments as per their living standards:
⇒ Lower Middle Class
⇒ Middle Class
⇒ Upper Middle Class
⇒ Higher Class

Pricing Policies
India a country where the price of a product can define its faith in the market, hence we can say
that India is a very price sensitive market. Price refers to the value of products attributes.
Expressed in monetary terms price is the value, which a customer pays to adhere or to avail a
service or utility or a product
At HCL, pricing policy decisions are taken by the top management after following the prices of
the components and prices quoted by the competitors. After this a parallel pricing policy is
developed in which: Bundles are created and products are marketed accordingly in every region.
⇒ Profit margins are kept into consideration, etc.
HCL gives 6 to 8 percent margin to their Channel Partners or Demo Centers, and company gets
X% profit in return. HCL’s main objective is service rather than profit. No doubt there is profit but
pricing policy is just to meet minimum margin to have a competitive edge over the assembled PCs
market. HCL believes in “wealth maximization rather than profit maximization”.

Sales Promotion
Sales Promotion, a key ingredient in marketing campaigns, consists of diverse collection of
incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular
product or services by consumers or the trade.

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Sales Promotion includes:
⇒ Consumer Promotion
⇒ Trade Promotion
⇒ Business Promotion.
HCL capitalizes on to every aspect of the sales promotion in order to sell the maximum number of
units.

PROMOTIONAL ACTIVITIES
Tools used for Promotional Activities
⇒ Employee Purchase Programme (EPP).
⇒ Road Shows.
⇒ Events in Schools, Colleges and Institutes.
⇒ Tele-Calling.
⇒ Personal Selling or Door-to-Door Selling.
⇒ Special Offers.

Description of Activities
Promotional activities always give some kind of a result, this was the basic learning, which I got
in this training and I must say that the promotional activities performed by HCL for their channel
partners has given a drastic boom to sales of Home PCs in Ghaziabad region.

DIFFERENT WAYS IN HCL PROMOTE ITS PRODUCTS

⇒ Employee Purchase Programme (EPP).


⇒ Road Shows.
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⇒ Mega Events.
⇒ Personal Selling or Door-to-Door Selling.
⇒ Special Offers.

Employee Purchase Programme (EPP)


Employee Purchase Programme (EPP) is basically the special scheme or offers designed for the
employees of an organization, in order to initiate the purchase of the Home PCs at a discounted
price by the employees of that organization. In this special offer which is given to the employees
of targeted corporate or organization for a limited time period so that they feel themselves the
importance and purchase a computer under the scheme. This is also beneficial for the company to
increase the sales.
EPP is a very efficient promotional activity to improve the sales graph for the company, but it
should follow a systematic approach in conducting an EPP. For e.g.

⇒ Select a Corporate or Government Office for this programme.


⇒ Make a call to HR Manager or Administration in order to fix an appointment.
⇒ Meet the concerned person and give them offer of scheme and convince them, get permission
for EPP.
⇒ Get the information about the right location and right days for the EPP.
⇒ Organize the event in faithful manner for employee.
⇒ Try to get the maximum sales of product during this period and also satisfy them by better
services and delivery of product.
⇒ Collect database for future purpose.

Things to Remember For EPP


⇒ Price of the product should be less than the market price of the product.
⇒ Nominal margin of channel partners make it more attractive.
⇒ On the spot finance schemes is also helpful in this programme.
⇒ Rate of interest for finance is lower than the normal rates.
⇒ Accessories of computer such as web camera, printer and UPS etc. can be provided at
reasonable prices or discounted price.
EPP is a way to thank the organization and the people working there for their support and
cooperation.

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SUGGESTIONS
⇒ A team of employees can be made specially for organizing the EPP.
⇒ Sales Manager, Sales Executive and Trainees can be included in this team.
⇒ This team can organize the EPP on the continuous basis in the organizations after certain period
of time.
⇒ Scope of EPP for HCL in Ghaziabad is very good because there are a large number of
Industries and various Industrial areas as well as large no. of organizations.

The team can carry out following activities:

⇒ Maintain a record of concerned persons in each and every organization.


⇒ Remember these concerned persons on certain occasions for good corporate relationships.
⇒ Can send detail about new products and schemes launched by the company on time-to-time
basis.
⇒ Database of that organization should be separated where more opportunities are for the
company.
⇒ Detail about competitors, who are also organizing EPP, should be collected for better
performance in the future.
⇒ Feedback about the EPP should be collected; it may help in further improvement in future
EPP’s.

Road Shows
Road show is also an effective promotional activity and most of companies are using it. HCL is
also using this promotional tool very aggressively in Ghaziabad; this tool is a great help in getting
the attention of the targeted customers. The procedure of road show is to setup a CANOPY at the
road side in different markets or public places where the no. of footfalls is high and where chance
of getting noticed is high too. Hence, we may conclude that a CANOPY should be set up at prime
locations like in the market place, etc. One or two employee of the company or trainees should be
present in the CANOPY with leaflets and other related material of the company.

We distribute the leaflet in public and also answer queries generated by the visitors. It is an easy
and effective way to generate queries for the follow-ups, which can help in converting the

25
interested person(s) into customer(s). Road show also can be done with Mega Events. It helps in
increasing the awareness about the special schemes and offers by the company to the public.

Mega Events
HCL is organizing mega events in Ghaziabad very aggressively. These events are organized at
public palaces. Appropriate location in a good market, in schools, colleges, and also in residential
colonies or societies where potential customer is available, for the success of event.

In schools and colleges these events can be organized on particular day, for e.g. annual day,
teachers day, cultural day and other special occasions so as to have a maximum reach and convert
the calls to customers or clients.

Special Offers
Channel partner of HCL give special discount offers to their customers on the behalf of the
company in order to sell or promote the product of the company. These special offers are like the
special offer in summers or in the Festive season. These special offers are helpful for customers in
decision making because when customer compare the price and benefit of HCL Home PCs with
other competitors then he can easily make out the difference and choose HCL because he/ she is
getting best deal with HCL due to that offer.
Follow Up: Database of interested customers can be collected through EPP’s or Mega Events or
Road Shows and is very helpful in sales promotion and selling of a product. These interested
persons can be followed up by tele-calling Calling should convince customer and if possible
convince the customer to visit the demo center of the company. Not all but some of them may get
converted into customers.

Personal Selling
Personal selling is also an effective method to maximize the sales and is a good way for sales
promotion. Under this activity an employee or a trainee of the company make visits to cyber cafes,
computer coaching centers, big showrooms & shops and malls, in order to have some benefit for
the company. New queries can be generated by this way, which may also be converted into sales
because this method gives the customer importance and the person can feel it. Queries that are
generated by EPP, Mega Events, etc. can also be used to make personal visits to convince the
prospective customer and convert him/her to a customer.

PROFILE OF THE ORGANIZATION

26
Computer Industry

According to International Data Corporation (IDC) India’s information technology (IT) market is
set to grow the fastest in the Asia-Pacific region. The main growth drivers as per the survey would
be mobility, convergence and IT management.
High corporate consumption and buoyancy in small towns is driving sales of PC and has touched
13.4 million units taking the total PC penetration to 14.5 million in the country. Internet
traditionally been a significant driver for PC sales in the country and with the announcement of
new broadband policy by the Indian government will provide further boost to PC penetration.
Broadband will usher in a whole new set of services including online games entertainment,
education and other interactive public utility services, which will give further impetus to PC
consumption. Delicensing of wireless for indoors and outdoors, to help mobility, will lead to the
increase in laptop demand.

With reduction of excise duty on PCs to zero, a safeguard duty of 6 to 7% has been imposed by
the government to safeguard local manufacturing of computers. The prices of entry level PCs have
reduced to about Rs. 15,000 and notebooks to about Rs. 40,000. The prices of other peripherals
are also falling; a laser printer is available at a price of Rs. 10,000. The technology wise trend is
also shifting towards multifunction devices (MFDs) having features of a laser printer, fax, copier
and scanner all combined in one device.

27
The Hard Disk Drive technology is not limited to computers only, now with miniaturization to the
size of postage stamp (sub-one-inch form factor), that too with less than 10 grams of weight, is all
set to be part of digital music players, mobile phones, PDAs, digital still cameras and camcoders,
etc.

The impact of computer technology is becoming visible in all spheres of life. More and more
organizations and agencies are providing a range of online services apart from regular information
and data related to it. The efficiency and quality of all sectors whether it is manufacturing or
services has greatly improved with the use of Information Technology.

HCL INFOSYSTEMS LTD.

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HCL Infosystems Ltd. is currently engaged in selling manufactured hardware (like PCs. Servers,
Monitor and Peripherals) and traded hardware (like Notebooks, Peripherals) to institutional clients
as well as retail channel partners. Besides, it offers hardware support services to existing clients
through Annual Maintenance Contract (AMC), Network Consulting and Facilities Management.
The company has reported consolidated revenue of Rs 3211.2 crores during the quarter ended
March 31, 2016 as against Rs 2011.8 crores in the corresponding quarter of the previous year, a
growth of 60%. Of which revenue from the Computer Systems business was Rs 682.2 crores as
against Rs 537.0 crores in the corresponding quarter of the previous year, a growth of 27%.

HCL Infosystems was rated as the number one Desktop PC Company by IDC India's Quarterly
PC market tracker report. According to the report, HCL recorded an impressive growth in terms
of unit shipments during the OND quarter of 2010 maintaining its leadership position in the
desktop market sixth year successively.

The commercial desktops category witnessed a 14% year-on-year growth with HCL maintaining
the top rank in terms of unit shipments, followed by HP and Lenovo. Apart from large enterprises,
the Small and Medium Business segment also contributed to a significant portion of shipments in
the category. The growth is attributed to Rs.250 crores worth of large orders bagged by the
company in the commercial space. One of HCL's distinct advantages that has been responsible for
the successful, timely implementation and rollout of services is the massive service and support
network of HCL, spread across the country.

HCL Infosystems has a committed Pan India Direct Support Infrastructure of 2800 engineers
operating across 300 cities and towns in the country. HCL's strength lies in its pan India presence,
which enables the offering of a single window to IT, Office-

29
Automation and Communication product & services solution to the customers across the country.
Such a nationwide presence sums up to be the largest human resource capital of its kind in the IT
business. The consumer desktop category witnessed a 29% year-on-year growth in unit shipments
in 2010 over 2009. HCL led this category over HP, with LG following the market leaders at the
third slot. This growth in the consumer desktop category is attributed to some of the below
mentioned initiatives undertaken by HCL:
▪ Market Reach - HCL has rapidly expanded its channel presence.
Convergence Market - Nation wide Introduction of Latest Microsoft Media Center edition
based HCL Beanstalk PC ensured consumers did not have to look around for fulfilling their
complete entertainment and information needs.
▪ PC's have suffered from lower prioritization in consumer buying basket with TV and other
entertainment devices occupying higher priority. This has been in line with the initiative to
push PC up the desirability chain and is resulting in increased penetration.
▪ Broadband Ready PC - Tying up with BSNL as well as MTNL and a focused joint marketing
program led to opening a new niche in consumers looking to connect trouble free to Broadband
services. This added to the performance and is going stronger as the masses look towards
Internet connectivity as major PC usage model.
▪ Consumer Finance - Affordability of PC has been brought in by HCL with Unique initiatives
like Rs. 499 per month EMI and 0% Finance. Such schemes have helped driving the
affordability
▪ Single Window solutions for users - HCL Branded inkjet Printers, UPS and other peripherals
like TFT LCD Monitor upgrades, Stereo Speakers etc.
▪ Alternate Channel - Inducting alternate channel by appointing consumer Durable Channel
partners, training them and creating new opportunities by custom designed marketing solutions
through them.

At a time when the notebook market in India was poised for rapid growth and the customers are
demanding mobility and looking for ways to make it easier for them to work and live life in a much
more flexible way, HCL has announced its foray into the mobile computing segment.
HCL launched the nation’s first segment-specific range of laptops, christened as ‘HCL Leaptops’.
A range of laptops, each with distinct features to particularly suit the requirements of specific

30
customer segments, available from a starting price of Rs.27, 490/- available to the consumers at
easy EMI options

A step forward in its pioneering efforts to take IT penetration to the rural areas of the country, and
adding to its rich bouquet of IT solutions for India, HCL launched the Next-generation of rural
PC, HCL Uday, in association with Intel, with features including one-touch data recovery, power-
backup through car battery etc.

In the enterprise space HCL has bagged several prestigious orders from the private & public sector,
banks, the education segment, insurance majors, defence, leading corporates etc. Toshiba
notebooks continued to do well, bagging orders from a number of corporate customers.

A number of new models like the 17” Quosmio were launched. A unique blend of entertainment
and IT, the model works as a 17 “ TV & DVD recorder, PC and music system and targets high net
worth individuals. Other models launched this quarter include the Portege R 200, a 1.1 kg model
for CXOs in addition to the range of products in the Satellite series.

Revenue from the Telecommunication and Office Automation business was Rs 2525.2 crores as
against Rs 1466.8 crores in the corresponding quarter of the previous year, a growth of 72%. The
Imaging business scaled an all time high performance. All product lines have shown remarkable
growth and contributed to this success.

The Company maintained its undisputed market leadership position in A3 MFP products in the
year 2011 and strengthened its position in the projectors market. The Konica printers, AVSI and
Plasma range maintained a consistent growth performance. The Company bagged several orders
from the Police Dept, Army, Education segment & Corporates. In the cellular handset business,
the upsurge in the subscriber base continues unabated thus contributing to very encouraging sales
for the company. HCL has also entered into a strategic partnership with Aspect, which enables
HCL to offer a complete Contact Center solution leveraging ICT technology. HCL’s IP Contact
Center Solution is integrated and executed on a turnkey basis covering Contact Center platform,
Network services and complete IT infrastructure. HCL has expanded the footprints of its Wireless
broadband to 104 Wireless POPs. HCL has entered into a strategic relationship with Railtel, which
has one of the largest fiber networks in India and covers more than 2005 locations. The wireless
broadband expansion will cover metro access, current HCL POP locations and the new locations
in a phased manner. This expansion will enable HCL to offer Internet, IP VPN & Telephony
services with better manageability and SLA delivery. IDC declared its numbers for the Indian PC

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market for financial year 2011-12 on May 21, 2011. The year recorded an impressive growth in
terms of unit shipments - the market grew 30% over financial year 2010-11 to exceed the 4.6
million-mark, according to IDC's India Quarterly PC Market Tracker, 1Q 2011, May 2011
preliminary release. In the overall Client PC (sum of Notebook PC and Desktop PC) market, the
rankings remained unchanged - HP retained the top slot with a market share* of 18%, followed by
HCL at 14%, and Lenovo at 9% in terms of unit shipments. In terms of total desktop PC shipments*
HCL led the market in the financial year 2010-11 followed by HP and Lenovo. In terms of total
notebook PC shipments* HP was the top vendor.
Table A2

Source: IDC's India Quarterly PC Market Tracker, 1Q 2011, May 2011 preliminary release

Some of the major highlights visible through 1Q 2012 were:


▪ Buoyant commercial desktop market - shipments grew 14% sequentially* (1Q 2012 over 4Q

2011)

▪ Vendors continued their focused go-to-market spend on the SMB segment; medium business

segment responded by showing a 40% sequential growth* (1Q 2012 over 4Q 2011) in unit

shipment terms

▪ Consumer PC market showed new-found maturity evident from the spate of Bollywood

superstar endorsements in the case of promotions of desktops and notebooks from HP and

Lenovo

▪ A 177% year-on-year growth* (1Q 2012 over 1Q 2011) in notebook PC shipments despite the

re-imposition of 12 per cent excise duty in the budgeCommercial desktop shipments in 1Q

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2012 performed as per IDC guidance, with a 14% sequential growth* (1Q 2012 over 4Q 2011)

and a 16% year-on-year growth* (1Q 2012 over 1Q 2011). T

▪ This was the highest sequential growth witnessed in the Indian commercial desktop PC market

in the preceding eight quarters. "For the large corporate segment, it was business-as-usual but

it was the Government and medium business segments which contributed significantly to this

market performance", said Piyush Pushkal, Senior Market Analyst, PC Research, IDC India.

In 1Q 2012, consumer desktop shipments recorded a growth of 3% sequentially* (1Q 2012 over

4Q 2011) and 36% year-on- year (1Q 2012 over 1Q 2011). Bollywood superstars like Shahrukh

Khan, Saif Ali Khan and Soha Ali Khan endorsing PCs, featured in the promotions for desktops

and notebooks from HP and Lenovo. "These superstar endorsements signified new-found maturity

in this segment of the market. They helped HP and Lenovo to notch up healthy levels of brand

visibility and also helped in expanding the overall consumer market for PCs", Piyush further stated.

The notebook PC market took another great leap in India during 1Q 2011 despite the uncertainty

around changes in taxes and duties during the annual government budget. Coupled with aggressive

marketing by vendors, the notebook PC segment as a whole witnessed a massive growth of 177%

year-on-year* (1Q 2012 over 1Q 2011) in terms of unit shipments.

According to Piyush, "In the consumer market, notebooks are increasingly being bought for use

as second PCs. The buyers are already familiar with desktops and are ready to migrate to the next

level of technology. At the enterprise level, notebooks are increasingly being looked at as

productivity tools, not meant for the designated few in the organization’s hierarchy but for the

larger workforce.”

Market Share of Various Manufacturers in Over All Desktop Market for Year 2014

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Source: IDC release 4Q 2014

34
HCL’s Revenue Growth from Computer System

COMPUTER SYSTEM –REVENUE BREAK-UP

Source: HCL Infosystems Investors release, March 2011

35
Revenue Growth from Computer System

Source: HCL Infosystems Investors release, March 2016

HCLT 🡪 HCL Technologies


HCLI 🡪 HCL Infosystems

36
PROBLEMS OF THE ORGANIZATION
In terms of cost HCL is at third position after Sahara and Zenith in desktop segment.
HCL is not focusing much on advertising in comparison to its competitors. Corporate image of
HCL is pretty good. It is equivalent to IBM, Compaq and HP. HCL give a tough competition to
the above-mentioned MNCs.

According to Consumer Satisfaction Index HCL is No.1 Company where as second and third
positions are bagged by Compaq, HP and IBM respectively. Customers are facing problem in New
Delhi related to after sales service provided by the competitors. In order to overcome this problem
in future HCL may open more service centers and use them as USP while selling. HCL is also not
advertising much for its products frequently in print media and in television channel etc.
advertising should be made frequent to let the people remembered the name of HCL.

37
COMPETITION INFORMATION

Shiv Nadar Ajai Chowdhry


Chairman and CEO Chairman and CEO
HCL Technologies Ltd. HCL Infosystems Ltd.

HCL Infosystems Ltd is one of the pioneers in the Indian IT market, with its origins in 1976. For
over quarter of a century, HCL have developed and implemented solutions for multiple market
segments, across a range of technologies in India. HCL have been in the forefront in introducing
new technologies and solutions. HCL Infosystems (HCLI) draws it's strength from 29 years of
experience in handling the ever changing IT scenario, strong customer relationships, ability to
38
provide the cutting edge technology at best-value-for-money and on top of it, an excellent service
& support infrastructure.

Today HCL is country's premier information enabling company. It offers one-stop-shop


convenience to its diverse customers having an equally diverse set of requirements. Be it a large
multi-location enterprise, or a small/medium enterprise, or a small office or a home, HCLI has a
product range, sales & support capability to service the needs of the customer.

Last 29 years apart from knowledge & experience have also given us continuity in relationship
with the customers, thereby increasing the customer confidence in us.

Their strengths can be summarized as:


⇒ Ability to understand customer's business and offer right technology
⇒ Long standing relationship with customers
⇒ Pan India support & service infrastructure
⇒ Best-vale-for-money offerings
⇒ Technology Leadership

HCL Infosystems is known to be the harbinger of technology in the country. Right from their
inception HCL have attempted to pioneer the technology introductions in the country either
through their R&D or through partnerships with the world technology leaders.

Using their own R&D, HCL have


⇒ Created their own UNIX & RDBMS capability (in 80s)
⇒ Developed firewalls for enterprise & personal system security
⇒ Launched their own range of enterprise storage products
⇒ Launched their own range of networking products
HCL strive to understand the technology from the view of supporting it post installation as well.
This is one of the key ingredients that go into their strategic advantage.

HCL Infosystems has to its claim several technology pioneering initiatives.


Some of them are:
⇒ Country's first Desktop PC - BusyBee in 1985
⇒ Country's first branded home PC - Beanstalk in 1995
⇒ Country's first Pentium 4 based PC at sub 40k price point

39
⇒ Country's first Media Center PC

GUIDING PRINCIPLE
Vision statement
"Together we create the enterprises of tomorrow"

Mission Statement
"To provide world-class information technology solutions and services to enable HCL’s customers
to serve their customers better"

Quality Policy
"We deliver defect-free products, services and solutions to meet the requirements of HCL’s
external and internal customers, the first time, every time"

HCL’S Objectives
Management Objectives
To fuel initiative and foster activity by allowing individuals freedom of action and innovation in
attaining defined objectives.

People Objectives
To help people in HCL Infosystems Ltd. share in the company's successes, which they make
possible; to provide job security based on their performance; to recognize their individual
achievements; and help them gain a sense of satisfaction and accomplishment from their work.
Core Values

40
⇒ We shall uphold the dignity of the individual
⇒ We shall honor all commitments
⇒ We shall be committed to Quality, Innovation and Growth in every endeavor
⇒ We shall be responsible corporate citizens

Philosophy of Quality
"We deliver defect-free products, services and solutions to meet the requirements of HCL’s
external and internal customers, the first time, every time." To exist as a market leader in a globally
competitive marketplace, organizations need to adopt and implement a continuous improvement-
based quality policy. One of the key elements to HCL's success is its never-ending pursuit of
superior quality in all its endeavors. HCL Infosystems believes in the Total Quality Management
philosophy as a means for continuous improvement, total employee participation in quality
improvement and customer satisfaction. Its concept of quality addresses people, processes and
products.
Over the last 20 years, we have adapted to newer and better Quality standards that helped us
effectively tie Quality with Business Goals, leading to customer and employee satisfaction.

QUALITY AT HCL INFOSYSTEMS LTD.


The history of structured quality implementation in HCL Infosystems began in the late 1980s with
the focus on improving quality of its products by using basis QC tools and Failure Reporting and
Corrective Active Systems (FRACAS). We also employed concurrent engineering practices
including design reviews, and rigorous reliability tests to uncover latent design defects.

In the early 90s, the focus was not merely on the quality of products but also the process quality
systems. HCL’s manufacturing unit at NOIDA was certified initially to ISO 9002:1994 by BVQI
in 1994 and later on to ISO 9001:1994 in 1997. As of now, all HCL’s manufacturing units are
certified by BVQI as per ISO 9001:2005

In early 1995, a major quality initiative was launched across the company based on Philip B.
Crosby's methodology of QIPM (Quality Improvement Process Management). This model was
selected to because it considered the need and commitment by an organization to improve but more
importantly, the individual's need towards better quality in his personal life.

Under HCL’s Quality Education System program, we train HCL’s employees on the basic

41
concepts and tools of quality. A number of improvement projects have been undertaken by HCL’s
employees, whereby process deficiencies and bottlenecks are identified, and Corrective Action
Projects (CAPs) are undertaken. This reduces defect rates and improves cycle times in various
processes, including personal quality.
We have received MAIT's 'Level II recognition for Business Excellence' for HCL’s initiatives in
the Information Technology Industry, adding another commendation to HCL’s fold. MAIT's Level
II recognition is based on the 'European Foundation for Quality Management' (EFQM), for gaining
quality leadership and business competitiveness. HCL’s certifications / awards in 2008 include
ISO 9001-2000 by BVQI for HCL’s InfoStructure Services and award of First Prize by ELCINA
(Electronic Component Industries Association) for Quality, 2007-08. The ELCINA award
criterion considers two aspects. (1) Enablers (Leadership & Management commitment, Resource
Management, Product Realization, Measurement Analysis & Improvement) and Results (Product
Quality, Customer / Stake holder satisfaction, Business results).

The tryst for continuous quality improvement is never-ending in HCL Infosystems. We always
strive to maintain high quality standards, which help us fulfill HCL’s mission to provide world-
class information technology solutions and services, to enable HCL’s customers to serve their
customers better.

ALLIANCES & PARTNERSHIPS


To provide world-class solutions and services to all HCL’s customers, we have formed Alliances
and Partnerships with leading IT companies worldwide. HCL Infosystems has alliances with
global technology leaders like Intel, AMD, Microsoft, Bull, Toshiba, Nokia, Sun Microsystems,
Ericsson, nVIDIA, SAP, Scansoft, SCO, EMC, Veritas, Citrix, CISCO, Oracle, Computer
Associates, RedHat, Infocus, Duplo, Samsung and Novell. These alliances on one hand give us
access to best technology & products as well enhancing HCL understand of the latest in
technology. On the other hand they enhance HCL’s product portfolio, and enable us to be one stop
shop for HCL’s customers.

ABOUT HCL
In the early 70’s, a group of young, enthusiastic and ambitious technocrats embarked upon a
venture that would make their vision of IT revolution in India a reality. Shiv Nadar and five of his
colleagues got together and in 1975, setup a new company called Micro comp. To start with they
decided to capitalize on their marketing skill Micro comp marketed calculators and within a few

42
months of starting operations, company was outselling its major competitors. In 1976, Micro comp
approached UPSEC (Uttar Pradesh State Electronics
Corporation) for help to setup a computer company.
Impressed by their technical and marketing competence,
UPSEC agreed to setup a joint venture. On the August 11,
1976 Hindustan Computers Limited was incorporated as a
joint venture between entrepreneurs and UPSEC and with an
initial equity of Rs. 1.83 Lakhs.

Ajai Chowdhry
Chairman and CEO, HCL Infosystems Ltd.
Source: www.hclinfosystem.com

Source: www.hclinfosystem.com
HCL – A Snapshot
The HCL Enterprise comprises two companies listed in India, HCL Technologies and HCL
Infosystems. HCL Technologies is the IT and BPO services arm focused on global markets, while
HCL Infosystems is the IT hardware and system integration arm focused on the Indian market.

43
Together, these entities have uniquely positioned HCL as an enterprise with service offerings
spanning the IT Services and Product spectrum.

Source: www.hcl.in

The range of offerings span Product Engineering and Technology Development, Application
Services, BPO Services, Infrastructure Services, IT Hardware, Systems Integration, and
Distribution of Technology and Telecom products in India.

HCL Infosystems Ltd. (HCL Infosystems) has now become India’s one of big technology
integration company. Over the years, HCL Infosystems has positioned its business operations to
fulfill its vision statement ‘Together we create enterprise of tomorrow’. The overarching theme for
the company’s swift progression into the software and service arena, in India and globally, is
evolving. Signifying a state of constant growth, the evolve theme is visible in the many ways that
HCL Infosystems has undergone a metamorphosis into becoming a complete IT solutions
company.

44
Source: www.hcl.in

The menu of HCL Infosystems global services broadly covers IT consulting and professional
service in the area of vertical applications, technology integration, ERP implementation and
software development. This also includes a complete portfolio of systems and network services
for development.

This also includes a complete portfolio of systems and network services for Financial
Management, Helpdesks, System Supports and network and Internet Implementation. HCL
Infosystems global customers include Samsung, Govt. of Singapore and AMAL Insurance, Jurong
Port in Singapore, Malaysian’s BSN Commercial Bank, SIA, DBS Bank, Maybank Life
Assurance, Charted Semiconductors, Asia Matsushita and Shell Malaysia. Some of its global
customers in government sector are Inland Revenue Authority of Singapore, Civil Aviation
Authority of Singapore, Singapore Power, Ministry of Education, Health and National
Development, Telecom Authority of Singapore and Penang State Govt.

HCL Infosystem’s chosen platform of total technology integration lends itself to some very
significant alliances with global leaders. Among it’s partner are HP for high end AISCE/UNIX
services and workstation and HP open view network management solution, Intel for PC and PC

45
server building blocks, Microsoft, Novell, SCO AG Solutions, Red Hat, Linux, Samsung, Pivota
for CRM solution and ORACLE Sybase and Informix for RBMS platform.

KEY BUSINESS ASSOCIATES OF HCL

Source: www.hcl.in

ABOUT HCL FRONTLINE DIVISION


The HCL Frontline Division of HCL Infosystems Ltd. focuses on providing solutions and value-
added services to small and medium corporate, the small office/home office and the homebuyer.
Involved in marketing and distributing national and international brands of computer systems and
peripherals, the Frontline Division evolves innovative channel strategies to widen its market reach,
and offers value added support services to users. The extensive distribution network established
by the Division encompasses more than 800 resellers and close to 300 retail outlets across 300
cities. Using its unmatched strength in distribution, Frontline has big plans to increase penetration
of notebooks in SOHO/SME segments. The organization plans to use its already established retail
network in big way for this. It has proved its distribution might in the PC segment already where
it has pioneered on several fronts, with retail being just one.

The Division's singular mission has been to continuously anticipate and explore technologies that
have emerged as strong trends and established market standards in the computing world globally,
and bringing these to the Indian user in as short a time as possible. Widely recognized for opening

46
up several frontiers of the world of computing to Indian users, the Division has partnered Dragon
Systems, Inc., the world's leading supplier of speech and language technology, to introduce speech
recognition tools in the country.
In Kerala the Frontline Division is represented by its state franchisee Team Frontline Pvt. Ltd.. It
is an ISO 9001 certified company and an extremely customer focused IT provider.

OFFERINGS FOR BUSINESS EMPOWERMENT OF HCL INFOSYSTEMS


NEED
In the emerging net economy, IT infrastructure Plays the role of a Powerful business enabler to
improve your business processes, to help you focus on your goals and strategies and more
importantly, to help you serve your customers better. IT Infrastructure demands constant change
latest technology, reliable operations and high availability. Leaders like you, in the process of
selecting the best of breed in technology, require integrating different solutions from various
vendors. Thus a situation where you need a strong reliable and trusted partner committed to deliver
beyond just services.

ADVANTAGE
Staying competitive in today’s dynamic business environment means finding new ways to reduce
costs while maximizing the value of your technology and personal resources. More than ever, your
ability to "do more with less" determines how successful your organization will be. That’s why
HCL Infosystems helps you achieve. By channeling our in-depth expertise gained from over 28
years of IT Domain experience. We provide a full bandwidth of services specifically designed to
meet your complete IT needs. And as a single window for completing business solutions wherever
you are located...
We make IT possible to save money...we tell you where as well as time ...we show you how

The 6 S
Solutions
The one stop shop solution center for all your IT needs, customized to meet and scale with your
unique Business Needs.
Services
A range of value added services in IT infrastructure operations and management.
Support

47
Pan-India footprint of support and logistics locations. Over 260 Direct service support locations.
Technically sound workforce of over 1700 certified professionals.
Standards
World Class Quality standards maintained for PPP (People, Processes & Performance). Alliance
with global technology leaders.

Savings
We help you find new ways to reduce costs & "do more with less" by maximizing the value of
your technology and personal resources, thereby reducing your total cost of ownership (TCO).

Satisfaction
Complete Satisfaction for the customers through the HCL 6S offering that enables one to maximize
system uptime through rapid response and resolution services, thereby optimizing your IT
investments.

HCL Production Facility

ACHIEVEMENTS
FOUNDATION OF THE COMPANY LAID

1976
⇒ Introduces microcomputer-based programmable calculators with wide acceptance in the
scientific / education community
⇒ Launch of the first microcomputer-based commercial computer with a ROM -based Basic
interpreter

48
1977
⇒ Unavailability of programming skills with customers results in HCL developing bespoke
applications for their customers

1978
⇒ Initiation of application development in diverse segments such as textiles, sugar, paper,
cement, transport

1980
⇒ Formation of Far East Computers Ltd., a pioneer in the Singapore IT market, for SI (System
Integration) solutions

1981
⇒ Software Export Division formed at Chennai to support the bespoke application development
needs of Singapore
⇒ HCL launches an aggressive advertisement campaign with the theme ' even a typist can operate'
to make the usage of computers popular in the SME (Small & Medium Enterprises) segment.
This proposition involved menu-based applications for the first time, to increase ease of
operations.
⇒ The response to the advertisement was phenomenal.

1983

⇒ HCL develops special program generators to speed up the development of applications


⇒ Bank trade unions allow computerization in banks. However, a computer can only run one
application such as Savings Bank, Current account, Loans etc.
⇒ HCL sets up core team to develop the required software - ALPM (Advanced Ledger Posting
Machines). The team uses reusable code to reduce development efforts and produce more
reliable code. ALPM becomes the largest selling software product in Indian banks

1985
⇒ HCL designs and launches Unix- based computers and IBM PC clones
HCL promotes 3rd party PC applications nationally

49
⇒ Zonal offices of banks and general insurance companies adopt computerization
Purchase specifications demand the availability of RDBMS products on the supplied solution
(Unify, Oracle). HCL arranges for such products to be ported to its platform.
1986
⇒ HCL assists customers to migrate from flat-file based systems to RDBMS
⇒ HCL enters into a joint venture with Hewlett Packard

1991
⇒ HP assists HCL to introduce new services: Systems Integration, IT
⇒ consulting, packaged support services (basicline, teamline)
⇒ HCL establishes a Response Centre for HP products, which is connected to the HP Response
Centre in Singapore.
⇒ There is a vertical segment focus on Telecom, Manufacturing and Financial Services

1994
⇒ HCL sets up core group to define software development methodologies
⇒ HCL acquires and executes the first offshore project from IBM Thailand
1995
⇒ Execution projects for Germany and Australia Begins Help desk services
⇒ Sets up the STP (Software Technology Park) at Chennai to execute software projects for
international customers
1996
⇒ Starts execution of Information System Planning projects
⇒ Becomes national integration partner for SAP
⇒ Kolkata and Noida STPs set up

1997
⇒ HCL buys back HP stake in HCL Hewlett Packard

1998
⇒ Chennai and Coimbatore development facilities get ISO 9001 certification

1999

50
⇒ HCL ties up with Broadvision as an integration partner
⇒ Acquires and sets up fully owned subsidiaries in USA and UK Sets up fully owned subsidiary
in Australia

2005
Bags MAIT's Award for Business Excellence
Rated as No. 1 IT Group in India
Launched Pentium IV PCs at below Rs 40,000

2006
IDC rated HCL Infosystems as No. 1 Desktop PC Company of 2006

2007
Chennai and Coimbatore development facilities get SEI Level 4 certification
Bags Award for Top PC Vendor In India
Becomes the 1st IT Company to be recommended for latest version of ISO 9001 : 2000

2008
Realigns businesses, increasing focus on domestic IT, Communications & Imaging
products, solutions & related services
Declared as Top PC Vendor by Dataquest
HCL Infosystems & Sun Microsystems enters into a Enterprise Distribution Agreement

2012
HCL Infosystems' Info Structure Services Division received ISO 9001:2000 certification
Launches Infiniti Mobile Desktops on Intel Platform
Launched Infiniti PCs, Workstations & Servers on AMD platform

51
Became the first vendor to register sales of 50,000 PCs in a quarter
First Indian company to be numero uno in the commercial PC market
Enters into partnership with AMD
Launched Home PC for Rs 19,999

2014
IDC India-DQ Customer Satisfaction Audit rates HCL as No.1 Brand in Desktop PCs
Maintains No.1 position in the Desktop PC segment for year 2014
Enters into partnership with Port Wise to support & distribute security & VPN solutions in India
Partners with Microsoft & Intel to launch Beanstalk Neo PC
Becomes the 1st company to cross 1 lac unit milestone in the Indian Desktop PC market
Partners with Union Bank to make PCs more affordable, introduces lowest ever EMI for PC in
India

2016
Boeing inks 787 Dreamliner design deal with HCL
HCL infrastructure ranked No.1 service provider - CMP

PRODUCTS AND

SERVICES

52
HCL Infosystems's portfolio of products covers the entire spectrum of the information technology
needs of its customers.
By virtue of the immense diversity of markets and customers that it addresses, HCL Infosystems's
products offerings include everything from high-end enterprise level servers for mission critical
applications to multimedia home computers.

Need of customers may vary from person to person. One can give importance to cost of the product
and for the other features are more important. Use may be different as some one is using it for
office purpose, someone for home use, and others for business purpose. Needs of customers are
different hence requirement may be different also. HCL Infosystems fulfill all the requirements of
its customers and has tailor made solution for them.
HCL INFOSYSTEMS PRODUCT PORTFOLIO
DESKTOPS & NOTEBOOKS
● Business PCs
● Home PCs
● HCL Leaptops

Intel WORKSTATIONS
● Infiniti Challenger Workstations
● SUN Workstations

AMD WORKSTATIONS
● Infiniti Xcel Line 2200NL
● Infiniti Xcel Line 2200SY

SERVERS

Intel Servers
● Infiniti Global Line Servers
● IGL Entry Level Servers
● IGL True Enterprise Servers
● IGL Blades Servers
● IGL Itanium Servers
● Infiniti Solutions

AMD Opteron Servers


● Infiniti Xcel Line 2200AT

53
● Infiniti Xcel Line 2200MI
● Infiniti Xcel Line 2200AZ
● Infiniti Xcel Line 4200TL

Other Servers
● SUN Servers
● HP Risc Servers & Workstations

THIN CLIENTS
● Winbee Thin Clients
● SUN Thin Clients

DISPLAY PRODUCTS
● SUN Thin Clients

NETWORKING PRODUCTS
● WinSmart Switch
● SNMP Managed Switch

SECURITY PRODUCTS
● HCL InfoWall
● HCL InfoSecuAccess
● HCL InfoVPNe
● HCL InfoSecuMon
● HCL InfoNetMon
● HCL InfoSurveillance
● HCL InfoSecuDesk - Biometric Logon
● HCL InfoSecuDesk - SmartCard Logon
● HCL InfoSmartCard
● HCL InfoLoadBalancer
● HCL InfoSMS
● HCL InfoDashboard

HCL InfoAttendance
● HCL InfoAttendance - BN model
● HCL InfoAttendance - SN model

STORAGE SOLUTIONS

HCL Storage Solutions


● HCL Infiniti SAN ARRAY 2502FC
● HCL IGL NAS Servers
● IGL NAS 1400 BT
● IGL NAS 2700 SP
● IGL NAS 2700 BD

54
● SUN Storage Solutions
● EMC Storage Solutions

TOSHIBA NOTEBOOKS

SOLUTIONS
● Infostructure Services
● Networking Services
● Security Services
● Facilities Management Services
● Domestic Hardware Services

SOFTWARE LICENSES

55
HOME PCS
HCL Beanstalk
HCL recommends Windows® XP Professional

The all-new BeanStalk Series, where performance is rivaled only with elegance of
design. Customer gets superior technology and great value for money all fused into
one. It comes with the super-speed Intel® processor, plus SD RAM and Ultra ATA
Hard Disk that gives it incredible speed.

What's more, it is upgrade friendly and so virtually future-proof. Manufactured at HCL


Infosystems' state-of-the-art ISO 9001 certified plant, it is designed to outperform every other
Home Computer customer have ever seen or heard about. And with more than 250 Support
providers across the country, its widespread network ensures excellence in Customer Care. So go
ahead and enjoy the wonder that is HCL BeanStalk, and watch, it will amaze customer for years
to come.

It is faster than the fastest home computer. The HCL BeanStalk comes equipped with the lightening
fast Intel® Pentium® 4 processor which means customer can now get mind blowing multimedia
performance from customers computer. With its high performance processor, it brings customer
the Internet like no other computer can. So get ready to experience 3D graphics, virtual reality and
realistic audio-video, like never before.

The HCL BeanStalk with Intel® Pentium® 4 processor, the centre of customers digital world, is
designed to meet not just customers today's computing requirements, but also the needs of
customers future.

56
DATA ANALYSIS

1. Time Period in Sales of Computers

More than 10 Years 11%


0-5 Years 45%
6-10 Years 44%

Interpretation
It is very much evident from the chart that 45% of the people are selling computers from last 5
years. Hence we may conclude that company should increase the no. of channel partners in order
to serve the need of the consumer and to be with the competition.

57
2. According to you which is the most consumer oriented brand?

HCL 34%
Compaq 22%
HP 22%
IBM 11%
WIPRO 10%
Others (Please specify) 01%

Interpretation
This can be straight said that HCL is most Customer oriented brand but if we take HP Compaq
combined it is the second largest most customer oriented brand in the market.

58
3. Market Potential for Ezeebee
High 67%
Medium 22%
Low 11%

Interpretation
According to 67% of Channel Partners there is tremendously high market potential for HCL
EzeeBee in the market. . This can be interpreted from the graph that this product is fairly popular
as well but the company should add some innovations to this product and market it then after this
product can be a great success.

59
4. Market Potential of Beanstalk

High 56%
Medium 33%
Low 11%

Interpretation

According to 56% of Channel Partners there is tremendously high market potential for HCL
BeanStalk. This shows that if HCL BeanStalk has a very good market potential if utilized properly
can yield excellent results for Company.

60
5. Consumers Preference for Ezeebee

High 45%
Medium 33%
Low 22%

Interpretation
According to Channel Partners 45% of customers prefer HCL EzeeBee than the PCs by other
competitors in the same segment. The chart above shows that consumers know about the product
and prefer this product fairly well, hence, it can be stated that this product is a good product but a
few changes or innovations in the product can make it a excellent product to target a particular
segment at a reasonable price.

61
6. Consumers Preference for Beanstalk

High 67%
Medium 22%
Low 11%

Interpretation
According to Channel Partners 67% of customers prefer HCL BeanStalk than the PCs by other
competitors in the same segment. This graph shows that this product is in good demand by the
consumer and the company should focus on to it and try to capitalize on this product.

62
7. In-Shop Promotional Activities of Channel Partners
Criteria Excellent Very Good Good Average Poor None
Rating Scale 10 8 6 4 2 0

S. No. Name of Channel Partner Product Display Poster Display


1 Express Computers, New Delhi 6 4
2 Precomm Computer, New Delhi 6 6
3 Ample Computers, New Delhi 4 6
4 Visual Computers, New Delhi 6 6
5 Reliance Info Solution, New Delhi 4 4
6 Fortech Computers, New Delhi 8 8
7 Sai Info Solution, New Delhi 6 4
8 Electronic Plaza, New Delhi 4 4
9 Advance Infotech, New Delhi 6 6
Total 50 48

Interpretation
It is evident from that the product display is very good at Fortech Computers, Ghaziabad and
Precomm Computers, Ghaziabad and at Advance Infotech, Ghaziabad poster display as well as
product display both are good; And overall in-shop promotional activities of the channel partners
is good.

63
8. Scheme to Customer
Criteria Very High High Moderate Poor None

Rating Scale 8 6 4 2 0

S. No. Scheme Name Demand

Bundle Offer, Free Tour Package,

1,2,3,4 Free CD Pack, Free Upgradation of RAM Very High, Low, High, Moderate

Interpretation
The above chart reveals that the Bundle offers are very popular scheme among the customers. This
scheme also gives the sales volume to the company because this scheme is available with all
models of HCL PCs. Company should also focus on various other customer-oriented schemes.

64
9. Effect of Product and Poster Display

Criteria Excellent Very Good Good Average Poor None


Rating Scale 10 8 6 4 2 0

S. No. Name of Channel Partner Product Display Poster Display


1 Express Computers, New Delhi 6 4
2 Precomm Computer, New Delhi 6 6
3 Ample Computers, New Delhi 4 4
4 Visual Computers, New Delhi 4 6
5 Reliance Info Solution, New Delhi 4 4
6 Fortech Computers, New Delhi 8 8
7 Sai Info Solution, New Delhi 4 4
8 Electronic Plaza, New Delhi 4 4
9 Advance Infotech, New Delhi 6 6
Total 46 46

Interpretation
The above table and chart reveals the effect of product display and poster display in Showroom of
Channel Partner or Demo Center. Both the displays create more awareness about the HCL products
and also useful in creating demand for the product; And the overall effect of product and poster
display according to different channel partners is good.

65
10. Effect of Catalogue
Criteria Excellent Very Good Good Average Poor None
Rating Scale 10 8 6 4 2 0

S. No. Name of Channel Partner Effects


1 Express Computers, New Delhi 4
2 Precomm Computer, New Delhi 6
3 Ample Computers, New Delhi 4
4 Visual Computers, New Delhi 4
5 Relience Info Solution, New Delhi 6
6 Fortech Computers, New Delhi 8
7 Sai Info Solution, New Delhi 4
8 Electronic Plaza, New Delhi 4
9 Advance Infotech, New Delhi 6
Total 46

Interpretation
The catalogue is very effective tool for selling. It is beneficial for the customer as well as company.
It increases awareness about the company products, product depth etc. Overall effect of catalogue
according to different channel partners is good. Hence, demand of different HCL products can be
increased if catalogue is used in proper way

66
11. Promotional activities which dealer found most efficient one.

Canopy 34%
Ads in Newspapers 22%
Direct Marketing 22%
Insertions 10%
EPP 11%
Can’t Say 01%

Interpretation
Canopy is the most effective and efficient activity, AD in News Paper and Insertions are other
effective Activities. I also found an excellent medium to reach to the target customers and with
this approach the company can reach to the more people and educate them about the project.

67
12. Problem of Channel Partners
Criteria Very High High Moderate Low None

Rating Scale 8 6 4 2 0

S. No. Problem Desktop Laptop

1 Supply of Product

a) From Company Very High Moderate

b) From Distributor Moderate Low

2 Time of Delivery High Low

3 Packaging Low Low

4 Model Version High Moderate

5 Scheme High Moderate

Interpretation

It is very much evident from the table and graph, above, that the main problem of the channel
partners is with the supply of product. Hence, company should give attention towards it. Otherwise
chances are more for shift of brand for current as well as prospective customers.

68
PART-2: CUSTOMER QUESTIONNAIRE ANALYSIS

Questionnaire Analysis

1. Computers Has Become A Necessity These Days, Do You Agree?


YES NO
90% 10%

Interpretation
▪ Almost all the respondents argued to the fact that Computers have become the utmost priority
in modern times. Therefore it is a good opportunity for the companies like HCL & HP to
explore the maximum market opportunities.

69
2. Have you heard of HCL Infosystems and hp?

YES NO
90% 10%

Interpretation
▪ Respondent agree in majority that they are very well aware about HCL infosystems as a brand.

70
3. Awareness about HP
YES NO
90% 10%

Interpretation
Respondent agree in majority that they are very well aware about HP as a brand.

4. Are you aware that HCL & hp offer many products other than the computers?

71
YES NO
70% 30%

Interpretation
▪ Respondent are aware at large that the companies like HCL and HP manufacture other
computer Hardware as well in additions to PC.

72
5. Which brand of computers and other accessories do you buy?

HCL 40%
HP 40%
Others 20%

Interpretation
▪ HCL seems to have an edge over HP, according to the customers response. However these two
combined together constitute the bulk of the market share in India.

73
6. Satisfaction Level of HCL Customers
YES NO
75% 25%

Interpretation
▪ 75% of the total respondents expressed their satisfactions about the performance of HCL
Infosystems.

74
7. Satisfaction Level of HCL Customers
YES NO
70% 30%

Interpretation
▪ 70% of the total respondents expressed their satisfactions about the performance of HP.

75
8. From where do you buy these products?

Distributor 40%
Company Outlets 30%
Others 30%

Interpretation
▪ Company distributors seem to be successful in making bulk of the Sale with, company outlets
and others sources to follow.

76
9. Customer Satisfaction About Pricing Structure of HCL Infosystems

Yes 60%
No 40%

Interpretation
▪ 60% of the Respondents appeared their satisfaction about the pricing structures of HCL. The
company still needs to work hard on its pricing strategy to satisfy the remaining 40% of the
customers.

77
4.2 . S.W.O.T ANALYSIS OF THE ORGANIZATION

Strength
⇒ HCL is a well-known brand.
⇒ Aggressive Marketing Strategy.
⇒ Strong Channel of Distribution.
⇒ Products available can provide solutions to any environment.
⇒ Customized products for every type of customer.

Weakness

⇒ Not been able to establish an entry barrier for competitors.


⇒ Services provided are not up to the mark.
⇒ Channel Partners of HCL are not much capable in order to provide best services to the potential
customers.

Opportunity
⇒ HCL products due to their price and quality factor over the other competitors are gaining
popularity. HCL should capitalize on to this and can have the maximum sales out of it.
⇒ The new technology that is being provided by HCL is one big opportunity for HCL and HCL
should come to the market continuously with innovative and new technology products.
⇒ Lower rates of different models give opportunity to HCL for grabbing the assembled PCs
market.
Threats

⇒ Possibility o more new entrants into the same business cannot be ruled out.
⇒ HCL PCs are facing a tough competition from Compaq, HP and IBM in higher segments and
from Sahara and Assemblers in lower segment.
⇒ HCL is also facing a tough competition from Compaq and HP in higher & middle segment and
from Sahara in lower segment of Laptops market.

78
MAJOR FINDINGS

Main aim of any Research, which is conducted in the market place to bring in light hidden and
basic facts, which effect or can effect the business of company in any mode directly or indirectly.
These hidden truths are basic facts, which are outcomes of the research conducted and are known
as findings. The information gathered from the market, which can be accountable in the
achievement the objective for the company is basically known as findings. The result of assigned
project in management studies is also known as findings.

The findings of this project are as follows:

Aggressive promotional strategy is being used by HCL in New Delhi

HCL is a market leader in IT products in New Delhi and have a close competition with Compaq
and HP.

People are not very much aware about other offerings like software development, networking,
Internet services, facility management and high end solutions, they only know that HCL deals in
desktops, laptops and servers.

Most of the people think that HCL is a typical hardware firm and has no relations with software
or software development.

HCL, Compaq and HP are the companies that are on the top in the mind of Brand Oriented or
Brand Aware Customers.

Cost and quality are two major factors that are taken into consideration by people while making
the purchase.

People are today more concerned about the after sales service which is a USP for HCL, since, it
has good service in comparison to the other market player.

In technology and quality HCL hold the second position after HP and Compaq combined.

In terms of cost HCL is at third position after Sahara and Zenith in desktop segment.

HCL is not focusing much on advertising in comparison to its competitors.

Corporate image of HCL is pretty good. It is equivalent to IBM, Compaq and HP. HCL give a
tough competition to the above-mentioned MNCs.

79
According to Consumer Satisfaction Index HCL is No.1 Company where as second and third
positions are bagged by Compaq, HP and IBM respectively.

Customers are facing problem in New Delhi related to after sales service provided by the
competitors. In order to overcome this problem in future HCL may open more service centers and
use them as USP while selling.

FINDINGS

▪ It is very much evident from the chart that 45% of the people are selling computers from last
5 years. Hence we may conclude that company should increase the no. of channel partners in
order to serve the need of the consumer and to be with the competition.

▪ This can be straight said that HCL is most Customer oriented brand but if we take HP Compaq
combined it is the second largest most customer oriented brand in the market.

▪ According to 67% of Channel Partners there is tremendously high market potential for HCL
EzeeBee in the market. . This can be interpreted from the graph that this product is fairly
popular as well but the company should add some innovations to this product and market it
then after this product can be a great success.

▪ According to 56% of Channel Partners there is tremendously high market potential for HCL
BeanStalk. This shows that if HCL BeanStalk has a very good market potential if utilized
properly can yield excellent results for Company.

▪ According to Channel Partners 45% of customers prefer HCL EzeeBee than the PCs by other
competitors in the same segment. The chart above shows that consumers know about the
product and prefer this product fairly well, hence, it can be stated that this product is a good
product but a few changes or innovations in the product can make it a excellent product to
target a particular segment at a reasonable price.

80
▪ According to Channel Partners 67% of customers prefer HCL BeanStalk than the PCs by other
competitors in the same segment. This graph shows that this product is in good demand by the
consumer and the company should focus on to it and try to capitalize on this product.

▪ It is evident from that the product display is very good at Fortech Computers, Ghaziabad and
Precomm Computers, Ghaziabad and at Advance Infotech, Ghaziabad poster display as well
as product display both are good; And overall in-shop promotional activities of the channel
partners is good.

▪ The above chart reveals that the Bundle offers are very popular scheme among the customers.
This scheme also gives the sales volume to the company because this scheme is available with
all models of HCL PCs. Company should also focus on various other customer-oriented
schemes.

▪ The above table and chart reveals the effect of product display and poster display in Showroom
of Channel Partner or Demo Center. Both the displays create more awareness about the HCL
products and also useful in creating demand for the product; and the overall effect of product
and poster display according to different channel partners is good.

▪ The catalogue is very effective tool for selling. It is beneficial for the customer as well as
company. It increases awareness about the company products, product depth etc. Overall effect
of catalogue according to different channel partners is good. Hence, demand of different HCL
products can be increased if catalogue is used in proper way

▪ Canopy is the most effective and efficient activity, AD in News Paper and Insertions are other
effective Activities. I also found an excellent medium to reach to the target customers and with
this approach the company can reach to the more people and educate them about the project.
▪ It is very much evident from the table and graph, above, that the main problem of the channel
partners is with the supply of product. Hence, company should give attention towards it.
Otherwise chances are more for shift of brand for current as well as prospective customer.

81
▪ Almost all the respondents argued to the fact that Computers have become the utmost priority
in modern times. Therefore it is a good opportunity for the companies like HCL & HP to
explore the maximum market opportunities

.
▪ Respondent agree in majority that they are very well aware about HCL infosystems as a brand.

▪ Respondent agree in majority that they are very well aware about HP as a brand.

▪ Respondent are aware at large that the companies like HCL and HP manufacture other
computer Hardware as well in additions to PC.

CONCLUSION & IMPLICATIONS

82
1) The study has final concluded that main aim of any Research, which is conducted in the market
place to bring in light hidden and basic facts, which effect or can affect the business of company
in any mode directly or indirectly.

2) Also these hidden truths are basic facts, which are outcomes of the research conducted and are
known as findings.

3) The information gathered from the market, which can be accountable in the achievement the
objective for the company is basically known as findings. The result of assigned project in
management studies is also known as findings. The findings of this project are as follows:

i) Aggressive promotional strategy is being used by HCL in New Delhi HCL is a market leader in
IT products in New Delhi and have a close competition with Compaq and HP.

ii) People are not very much aware about other offerings like software development, networking,
Internet services, facility management and high end solutions, they only know that HCL deals in
desktops, laptops and servers.

iii) Most of the people think that HCL is a typical hardware firm and has no relations with software
or software development.HCL, Compaq and HP are the companies that are on the top in the mind
of Brand Oriented or Brand Aware Customers.

iv) Cost and quality are two major factors that are taken into consideration by people while making
the purchase. People are today more concerned about the after sales service which is a USP for
HCL, since, it has good service in comparison to the other market player. In technology and quality
HCL hold the second position after HP and Compaq combined.

v) In terms of cost HCL is at third position after Sahara and Zenith in desktop segment. HCL is
not focusing much on advertising in comparison to its competitors. Corporate image of HCL is
pretty good.

vi) It is equivalent to IBM, Compaq and HP. HCL give a tough competition to the above-mentioned
MNCs.

83
And at last but the not the least it can be concluded easily from this project that according to
Consumer Satisfaction Index HCL is No.1 Company where as second and third positions are
bagged by Compaq, HP and IBM respectively.
Customers are facing problem in New Delhi related to after sales service provided by the
competitors. In order to overcome this problem in future HCL may open more service centers and
use them as USP while selling.

RECOMMENDATIONS

84
⇒ HCL has a good brand image in the field of home PCs. But HCL is not popular in business
segment where Laptops ad PCs are required. Company should also promote these products and
utilize its brand image.

⇒ HCL is also not advertising much for its products frequently in print media and in television
channel etc. advertising should be made frequent to let the people remembered the name of
HCL.

⇒ Relationship between the customer and the company is base of growth for any company.
Company should maintain good relationship with its big customers such as institutions,
corporate, schools, colleges and should also have good relations with end users. Company can
send cards and invitation to the customers from time to time or on certain occasions.

⇒ Hoardings of company’s product should be at kept at prime locations where maximum people
can see it.

⇒ Until and unless after sales service of the company is not good, it is not possible for the
company to increase the sales, HCL is also facing this problem in some areas of Ghaziabad.
Hence it is recommended that company should open a few more service centers in the city.

⇒ Distribution of machines from company to channel partner is not being done on time. So,
channel partner is being able to make the delivery on time. Hence, the time taken for the
delivery should be minimized to a larger extent in order to make the faster deliveries.

85
BIBLIOGRAPHY

BOOKS
⇒ Marketing Management - Philip Kotler (Eleventh Edition, Pearson Education, Inc.)
⇒ Principles of Marketing – Philip Kotler, Gary Armstrong (Eleventh Edition, Pearson
Education, Inc.)
⇒ Marketing Research - G.C. Berry (Third Edition, Tata McGraw Hills)
⇒ Marketing Research - An Applied Orientation – Naresh K Malhotra (Fourth Edition, Pearson
Education, Inc. Pearson Prentice Hall)

WEBSITES
⇒ http://www.hclinfosystems.com
⇒ http://www.hclperipherals.com
⇒ http://www.hcl.in
⇒ http://www.hclstore.com
⇒ http://www.google.com
⇒ http://www.channeltimes.com
⇒ http://www.idcindia.com
⇒ http://www.khoj.com
⇒ http://www.mit.gov.in
⇒ http://www.dqindia.com

MAGAZINES
Business Today February 12, 2016
Business Standards January 6, 2016
Three Sixty Magazine November 30, 2016
Outlook February 15, 2017

86
APPENDIX
Questionnaire
Name of Channel Partner _________________________________________________

Location _________________________ Date of Visit ___________________________

1) Since how long you are selling Computers?

• 0-5 Years • 6-10 Years • More than 10 Years


2) According to you which is the most consumer oriented brand?

• HCL • Compaq • HP

• IBM • Wipro

• Others (Please specify) ________________________

3) What is the market potential of HCL EzeeBee?

• Excellent • High • Medium

• Low • Can’t Say

4) What is the market potential of HCL Beanstalk?

• Excellent • High • Medium

• Low • Can’t Say

5) What is consumers preference for HCL EzeeBee?

• Excellent • High • Medium

• Low • Can’t Say

6) How would you rate consumers preference for HCL Beanstalk?

• Excellent • High • Medium

• Low • Can’t Say


7) Please rank the schemes offered to Customers as per the demand of Customer? (Rank
1-4)
• Bundle offers • Free Tour Package
• Free CD Pack • Free Upgradation of RAM

8) What is effect of Product and Poster Display?

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• Excellent • Very Good • Good

• Average • Poor • None

9) How would you rate the effect of Catalogue?

• Very Good • Good • Average

• Poor • None
10) Please rank promotional activities on the scale of effectiveness (Rank 1-6)

• Canopy • Ads in Newspapers

• Direct Marketing • Insertions

• EPP • Can’t Say

11) What are the various problems faced by you (**Please Rank)

a) Supply of Product

(i) From Company ______

(ii) From Distributor ______

b) Time of Delivery ______

c) Packaging ______

d) Model Version ______


e) Schemes ______

(**Rank 8 for Very High, 6 for high, 4 for moderate, 2 for Low)
12) Any Suggestions to HCL Infosystems

Thank you very much for your valuable time

##How would you rank the in-shop promotional activities of Channel Partner?

• Excellent • Very Good • Good

• Average • Poor • None


CUSTOMER QUESTIONNAIRE
(1) Computers has become a necessity these days, do you agree ?
(a) Yes (b) No

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(2) Have you heard of HCL Infosystems and HP?
Yes No

(3) Are you aware that HCL & HP offer many products other than the computers?
Yes No

(4) Which brand of computers and other accessories do you buy?


(a) HCL (b) HP (c) Others

(5) Are you satisfied with the performance of the products of HCL and HP?
(a) Yes (b) No

(6) From Where do you buy these products?


(a) Distributor (b) company outlets (c) others

(7) Are you satisfied price structure of HCL Infosystems?


Yes No

(8) Are you satisfied price structure of HP?


Yes No

(9) Which brand would you prefer over the other ?


(a) HCL (b) HP

(10) Do you have any knowledge of all the promotional activities of HCL and HP
products?
(A)Yes (B) No

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