Now to the ‘cons’. While year 2008 has got on 
to a good start with first quarter net revenue up at 13%, or $3.4 billion, from a year earlier to $28.5 billion, speculations on a grim PC markets is all it takes to put a question mark on HP’s future prospects. Moreover, considering the fact that Dell will soon be reaping the benefits of its retail strategy (as it decided to sell through the indirect route from last year), it will be difficult for Hurd to maintain HP’s dominant position in the global PC market. While one really cannot doubt Hurd’s style of running this giant, his job now is to sell more rather than clean internally.
From a 25% increase last year, PC sales of HP is bound to take a hit in wake of a worldwide crunch in hardware sales and is hence expected to grow by only 5.4%. To cater to the situation, Hurd has already outlined his aggressive intents by announcing promising new products in the printer, PC and the enterprise markets for the year 2008. However, industry watchers are doubting whether this move be enough to maintain HP’s momentum in the long run.
Mark Hurd has done the rescue act before but HP’s shareholders expect nothing less from him this time as well. That’s exactly what happens when you save the Titanic from sinking. They expect you to do that again & again...
to a good start with first quarter net revenue up at 13%, or $3.4 billion, from a year earlier to $28.5 billion, speculations on a grim PC markets is all it takes to put a question mark on HP’s future prospects. Moreover, considering the fact that Dell will soon be reaping the benefits of its retail strategy (as it decided to sell through the indirect route from last year), it will be difficult for Hurd to maintain HP’s dominant position in the global PC market. While one really cannot doubt Hurd’s style of running this giant, his job now is to sell more rather than clean internally.From a 25% increase last year, PC sales of HP is bound to take a hit in wake of a worldwide crunch in hardware sales and is hence expected to grow by only 5.4%. To cater to the situation, Hurd has already outlined his aggressive intents by announcing promising new products in the printer, PC and the enterprise markets for the year 2008. However, industry watchers are doubting whether this move be enough to maintain HP’s momentum in the long run.
Mark Hurd has done the rescue act before but HP’s shareholders expect nothing less from him this time as well. That’s exactly what happens when you save the Titanic from sinking. They expect you to do that again & again...
