Find Out a Market for the Kitty Hawk
In my opinion, the entire team has done their best to find out the markets for their products, they decided to make a unique disk drive to capture the market; they searched and visited different consumer electronics to launch their device named “KITTYHAWK” which consists of 1.35 inches in size. It can store data up to 20 megabytes, by selling these devices with the costs of $50 that might be not covering a large market close enough to achieve their desired breakeven time and thus, they will not be able to capture the market easily as they think of their customers that are looking for reasonable rates. Also, they thought of providing more storage than others, they had developed a self-directed project team, distributing responsibilities among their team members to focus on developing personal digital assistant (PDA) market. A 100$ revenue rate was decided to be consumed and to capture high growth market rates. With these benefits and new innovation in the market, they asked Nintendo and other companies to use the disk drive device in game cartridges and mobile phones.
The company was trying its best to compete in the market where the competitors are ten times more profitable than HP. As it was a new innovation by HP, they receive a lot of advantage in comparing with its competitors; they designed this device according to the needs of their customers to sell these devices on cheaper rates. They had developed their devices in the needs of their customers by improving their performances, to provide the best possible features and with fewer costs as compared to other companies. Furthermore customers would be willing to buy their product. They can easily capture the markets by designing their device on a professional standard, and understanding the concepts that everyone is willing to buy their product.
Company Made Some Right and Wrong Decisions
HP had done a lot of things right and wrong while making some decisions in its planning and development for the Kitty Hawk drive. The project on which they are working had most of the support of their senior management team, the project team members have complete freedom to develop the device according to their perspective that they would not feel any pressure and can be motivated towards making a successful disk drive that their market share can be raised as compared to other competitors in the global market. Another right thing they have done is by bringing the idea of designing a new drive into the competitive market to improve the company’s growth more than its competitors.
They engaged with the markets that are related from the usual customers of HP such as mobile computing and gaming, this identifies the value of new technology to be implemented and to move further in those areas that can raise the standard of Kitty hawks device and to maintain their financial objectives through this. Their main strength on which they worked relating to the project is to provide or sell devices at very low cost that is 50$ that has make an advantage for their consumers to buy the drive by keeping loads of data storage in it. Before the Kitty Hawk, most of the customers do not know about the storage devices and they can think of improving their products; it is because of HP that they get awareness of the drives that can store data with the latest technologies to be introduced.
What they did wrong is that Spenner, a member of the senior management team
was basically a risk taker, he thought we should prefer thinking of an idea rather focusing on the situations, everyone was aware about PDA market that it would become a future success, from which Spenner had created the product into the limited market. Also, the product on which the company is working or designing was not meeting with the standards of different competitors.
Another thing that might reduced their production is the actual period on which the device requires to be developed in 18 months, however, HP worked to built in that drive by 12 months because of interacting with the high competition. They didn’t establish the target market that was to be discovered with time to time and they could not cope up in other sections of the technology like desktop and notebook computers. They considered with the latest facts and did not focus on mobile computing with the fact that it is a new industry and cannot be develop………………….
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