CHAPTER 1

COMPANY PROFILE
 About company

 IBM (International Business Machines Corporation) is a multinational technology

company headquartered in Armonk, N.Y. It was founded in 1911 as the
Computing-Tabulating-Recording Company (CTR) and was later renamed to IBM
in 1924. IBM is one of the world's largest IT companies, with operations in over
170 countries.
 IBM is known for its hardware and software products, including computers,
servers, storage systems and networking equipment. It also provides consulting,
technology and business services, such as cloud computing, data analytics and
artificial intelligence (AI). IBM's research and development efforts have
contributed to numerous technological innovations, including the development of
the first programmable computer, the first hard drive and the first computer virus.
History of IBM

In its early years, IBM was widely associated with the punched card, invented by CTR
employee Herman Hollerith. In 1914, Thomas J. Watson joined the company as general
manager. CTR itself had been formed from three companies that sold grocery store scales,
time recording devices and tabulators. Over the next few decades, Watson built the business
machine company of the future, now known as International Business Machines.

In 1964, IBM introduced what was to become the de facto standard for large company
business computers with its System/360. Orders for the mainframe computer line outpaced
sales forecasts, and IBM received more than 1,000 orders within four weeks of the product's
announcement, according to the company. System/360 ran the OS/360 operating system, but
the successor OS Multiple Virtual Storage (MVS) became particularly influential.

MVS, which debuted in 1974, has been at the center of IBM's mainframe OS technology for
more than 40 years. The OS for IBM's current-generation z Systems mainframes, z/OS, can
trace its lineage to MVS. Over the decades, IBM has aimed to maintain forward compatibility
as its mainframe OSes have evolved.

The popularity of System/360 and the subsequent mainframe models gave IBM an enduring
market advantage, but the company faced several rivals in the mainframe space.

IBM also faced the challenge of minicomputers, or midrange systems, which were less
expensive than mainframes and were targeted toward smaller businesses or departments
within large enterprises. Digital Equipment Corp. and its Programmed Data Processor
product line took off in the 1960s as well.
MAJOR MILESTONES

IBM built the Automatic Sequence Controlled Calculator, an electromechanical computer,

during World War II. It offered its first commercial stored-program computer, the vacuum
tube based IBM 701, in 1952. The IBM 305 RAMAC introduced the hard disk drive in 1956.
The company switched to transistorized designs with the 7000 and 1400 series, beginning in
1958.

In 1956, the company demonstrated the first practical example of artificial intelligence when
Arthur L. Samuel of IBM's Poughkeepsie, New York, laboratory programmed an IBM 704
not merely to play checkers but "learn" from its own experience. In 1957, the FORTRAN
scientific programming language was developed. In 1961, IBM developed the SABRE
reservation system for American Airlines and introduced the highly successful Selectric
typewriter.

In 1963, IBM employees and computers helped NASA track the orbital flights of the
Mercury astronauts. A year later, it moved its corporate headquarters from New York City to
Armonk, New York. The latter half of the 1960s saw IBM continue its support of space
exploration, participating in the 1965 Gemini flights, 1966 Saturn flights, and 1969 lunar
mission. IBM also developed and manufactured the Saturn V's Instrument Unit and Apollo
spacecraft guidance computers.
On April 7, 1964, IBM launched the first computer system family, the IBM System/360. It
spanned the complete range of commercial and scientific applications from large to small,
allowing companies for the first time to upgrade to models with greater computing capability
without having to rewrite their applications. It was followed by the IBM System/370 in 1970.
Together the 360 and 370 made the IBM mainframe the dominant mainframe computer and
the dominant computing platform in the industry throughout this period and into the early
1980s. They and the operating systems that ran on them such as OS/VS1 and MVS, and the
middleware built on top of those such as the CICS transaction processing monitor, had a
near-monopoly-level market share and became the thing IBM was most known for during
this period.

In 1969, the United States of America alleged that IBM violated the Sherman Antitrust Act
by monopolizing or attempting to monopolize the general-purpose electronic digital computer
system market, specifically computers designed primarily for business, and subsequently
alleged that IBM violated the antitrust laws in IBM's actions directed against leasing
companies and plug-compatible peripheral manufacturers. Shortly after, IBM unbundled its
software and services in what many observers believed was a direct result of the lawsuit,
creating a competitive market for software. In 1982 the Department of Justice dropped the
case as "without merit".

Also in 1969, IBM engineer Forrest Parry invented the magnetic stripe card that would
become ubiquitous for credit/debit/ATM cards, driver's licenses, rapid transit cards, and a
multitude of other identity and access control applications. IBM pioneered the manufacture of
these cards, and for most of the 1970s, the data processing systems and software for such
applications ran exclusively on IBM computers. In 1974, IBM engineer George J. Laurer
developed the Universal Product Code. IBM and the World Bank first introduced financial
swaps to the public in 1981, when they entered into a swap agreement. The IBM PC,
originally designated IBM 5150, was introduced in 1981, and it soon became an industry
standard. In 1991 IBM spun out its printer manufacturing into a new business called
Lexmark.

In 1993, IBM posted an $8 billion loss – at the time the biggest in American corporate
history. Lou Gerstner was hired as CEO from RJR Nabisco to turn the company around. In
2002 IBM acquired PwC consulting.

In 2005, the company sold its personal computer business to Chinese technology company
Lenovo and, in 2009, it acquired software company SPSS Inc. Later in 2009, IBM's Blue
Gene supercomputing program was awarded the National Medal of Technology and
Innovation by U.S. President Barack Obama. In 2011, IBM gained worldwide attention for its
artificial intelligence program Watson, which was exhibited on Jeopardy! where it won
against game-show champions Ken Jennings and Brad Rutter. The company also celebrated
its 100th anniversary in the same year on June 16. In 2012 IBM announced it has agreed to

buy Kenexa and Texas Memory Systems, and a year later it also acquired SoftLayer
Technologies, a web hosting service, in a deal worth around $2 billion. Also that year, the
company designed a video surveillance system for Davao City.

In 2014, IBM announced it would sell its x86 server division to Lenovo for $2.1 billion. Also
that year, IBM began announcing several major partnerships with other companies, including
Apple Inc., Twitter, Facebook, Tencent, Cisco, UnderArmour, Box, Microsoft, VMware,
CSC, Macy's, Sesame Workshop, the parent company of Sesame Street, and Salesforce.com.

In 2015, IBM announced three major acquisitions: Merge Healthcare for $1 billion, data
storage vendor Cleversafe, and all digital assets from The Weather Company, including
Weather.com and the Weather Channel mobile app. Also that year, IBM employees created
the film A Boy and His Atom, which was the first molecule movie to tell a story. In 2016,
IBM acquired video conferencing service Ustream and formed a new cloud video unit. In
April 2016, it posted a 14-year low in quarterly sales. The following month, Groupon sued
IBM accusing it of patent infringement, two months after IBM accused Groupon of patent
infringement in a separate lawsuit.

In 2015, IBM bought the digital part of The Weather Company;, Truven Health Analytics for
$2.6 billion in 2016, and in October 2018, IBM announced its intention to acquire Red Hat
for $34 billion, which was completed on July 9, 2019.
ORGANISATIONAL STRUCTURE

IBM has an organizational structure characterized by product-based divisions, enabling

its strategy to develop innovative and competitive products in multiple markets. IBM is also
characterized by function-based segments that support product development
and innovation for each product-based division, which include Global Markets, Integrated
Supply Chain, Research, Development, and Intellectual Property.

Product-based divisionsFunction-based segments and geographic divisions

To a lesser extent, IBM’s structure is characterized by function-based segments and

geographical divisions. These are explained below.

Function-based segments

To support the core global IT business and support each product-based division, there are
three function-based segments:

1. Global Markets (this was previously known as Sales and Distribution).

2. Integrated Supply Chain, and

3. Research, Development and Intellectual Property.

Geographic divisions

Like most organizations, IBM’s geographic divisions help it manage a global business
despite differences in various regional markets. This is important for IBM since the company
has operations in more than 170 countries.

IBM has an organizational structure characterized by product-based divisions. This allows the
company to carry out its strategy of developing innovative and competitive products across
multiple markets.

To that end, the company’s major operations consist of five divisions:

1. Global Technology Services (GTS) – mostly consisting of IT infrastructure and

business process services.
 2. Global Business Services (GBS) – this division focuses on delivering client value via
consultancy in areas such as cloud, mobile, social business, enterprise applications,
analytics, and smart eCommerce.

3. Software – middleware and operating systems software.

4. Systems and Technology (STG) – encompassing any business solution that

requires advanced storage capabilities or computing power.

5. Global Financing – IBM also offers lease and loan financing to end-users and
internal clients. This division also includes commercial financing to dealers and
remarketers of IT products.

Function-based segments and geographic divisions

To a lesser extent, IBM’s structure is characterized by function-based segments and
geographical divisions. These are explained below.

Function-based segments

To support the core global IT business and support each product-based division, there are
three function-based segments:

1. Global Markets (this was previously known as Sales and Distribution).

2. Integrated Supply Chain, and
3. Research, Development and Intellectual Property.

CEO AND EXECUTIVES

 Based on our data team's research, Arvind Krishna is the IBM's CEO. IBM has
270,000 employees, of which 107 are in a leadership position. Krishna leads the IBM
business unit that provides the cloud and data platform. His responsibilities
include IBM Research, IBM Cloud, and IBM’s security and Cognitive Application
business.

Here are further demographic highlights of the leadership team:

  The IBM executive team is 34% female and 66% male.

 61% of the management team is White.

 14% of IBM management is Hispanic or Latino.

 10% of the management team is Black or African American.

FOUNDER

Charles Flint, Thomas Watson

CFO

James J. Kavanaugh
 CHAPTER 2

MARKETING STRATEGIES
 STRATEGIES MADE BY THE COMPANY

 IBM’s marketing strategy includes significant investments in both conventional and

online advertisements, as well as promotional budgets. All of which are used to keep
prospective consumers informed about the company’s constantly changing product
lines and to strengthen brand recognition. Equally significant is their track record of
investing millions in hiring, building, and compensating one of the most experienced
sales teams in the industry.

 Talking about IBM’s STP (segmentation, targeting, and positioning) strategy, which
is a huge part of a company’s marketing plans, IBM’s market segmentation variables
include psychographic, spatial, and demographic factors. IBM employs a
differentiated marketing strategy to target specific products and services available to
their customers based on their needs. The company positions itself as an organisation
that generates value for its stakeholders through the value distribution chain by
employing a user benefit-based positioning strategy. IBM has always emphasised on
differentiating themselves through their consistent value proposition and innovation.

 According to IDC, the worldwide AI market grew 35.6% to $28.1 billion last year as
a result of announcements, initiatives and acquisitions. IBM took the lead with 9.2%
share of the overall market, as revenue rose to $2.58 billion, 19% higher than the
previous year, driven by growth across software, hardware and services.

 "IBM's recognition in IDC's report demonstrates the strength of our business and our
leading position at the forefront of artificial intelligence," said Beth Smith, General
Manager, IBM Watson AI. "As the AI market moves from experimentation to
production, we're helping businesses integrate AI with their applications to make
more accurate predictions, automate decisions and processes, and free up employees'
time so they can focus on higher value work."

IBM’s Annual Revenue from 2000 to 2022

Once an unparalleled tech giant, IBM has been struggling for the last decade. It had to
adjust to the changing world by selling its low-margin businesses and investing in high-
margin ones. To implement its strategies, Big Blue sold IBM WebSphere Commerce to
HCL Technologies in 2018 and a part of the Watson Health business at the beginning of
this year. Although IBM’s earnings are still high, they do not reach the levels hit between
2006 and 2012. The company’s annual revenue skyrocketed to $106.9 billion in 2011,
whereas it was only $57 billion last year. In the third quarter of 2022, IBM reported
earnings of $14.11 billion, which exceeded analysts’ prognosis of $13.51 billion. In the
second quarter of 2022, IBM’s earnings dropped below expectations. IBM’s falling
fortune is reflected in the table below:

IBM’s Annual Revenue since 2000 (in $US Billion)

Year Annual Revenue (in $US Billion)

2000 $88.4

2001 $83.07

2002 $81.19

2003 $89.13
2004 $96.29

2005 $91.13

2006 $91.42

2007 $98.79

2008 $103.63

2009 $95.76

2010 $99.87

2011 $106.92
2012 $104.51

2013 $99.75

2014 $92.8

2015 $81.74

2016 $79.92

2017 $79.14

2018 $79.59

2019 $57.71
2020 $55.18

2021 $57.35

2022 $60.51.

IBM SWOT ANALYSIS

Strengths Weaknesses

1. First mover in cloud 1. Expensive service

computing solutions for and software solutions
enterprises 2. Focus mainly on
2. Brand reputation large enterprises
3. Diversified business
4. Strong competency in
acquisitions
5. Integration of products
and services

Opportunities Threats

1. Expand services and 1. Increasing competition

software divisions in the cloud computing
2. Increasing demand of market
cloud based services 2. Slowing growth of
world economy

Strengths
 1. First mover in cloud computing solutions for enterprises- IBM has moved to
cloud computing in 2007 with its “Blue Cloud” program, which was designed
to offer hardware and software solutions for enterprises that were willing to
have their own private cloud. Since then the company has become the first
reference point for enterprise cloud solutions in the cloud market. Unlike
many other companies in the cloud market, the company has been offering the
broadest range of software and services in one place.

2. Brand reputation- IBM has a significant market reach all over the world in all
of the markets it operates. Company has also been awarded as #1 company for
leaders; #1 green company worldwide; #2 most respected company; #5 most
admired company; and has received many more awards This has resulted in a
very positive and strong brand reputation. According to Interbrand, IBM brand
was value at $75.5 billion in 2012 and was the 3rd most valuable brand in the
world. Brand reputation significantly influences consumers’ decision to buy
the product and IBM clearly benefits from that.

3. Diversified business- IBM segments its business into 4 divisions: Hardware,

Software, Services and Financing. In 2000, the company was earning 35% of
its income from hardware sales, where profit margins are low and future
market growth is slow or negative. IBM has diversified from hardware to
software business, which is expected to generate 50% of company’s income
by 2015. This shift will result in lower impact of the negative trends in
hardware market and higher profitability from sales of software and services.
The company has also diversified geographically and now earns more than
60% of its income from outside US. IBM heavily invests into China and the
rest of Asia to increase the geographic diversity of its income.

4. Strong competency in acquisitions- Over the last 13 years, from 2000 to 2012,
IBM has acquired more than 140 companies in strategic areas including
analytics, cloud, security and commerce. This has led to substantial growth in
software and consulting offerings from IBM and established the company as a
leading software and consulting provider for enterprises. IBM also expects to
invest $20 billion over the next two years on acquisitions to strengthen its
product portfolio even further.

5. Integration of products and services- IBM offers hardware (servers, storages),

software (enterprise content, service and information management) and services
(cloud, software, data centers) all related to each other, which enable the company to
provide one stop solution for enterprises and integrated product for the customers.

Weaknesses
1. Expensive service and software solutions- IBM offers expensive integrated
custom solutions for enterprises that want to build reliable IT infrastructure in
their companies. This often involves buying hardware, software and services
from IBM at the same time, which is very costly expenditure for any size of
enterprise. Such an infrastructure investment is often postponed in times of
uncertainty or slowing economy growth. This weakness was evident over the
last few years, when IBM struggled to cross sell its products and saw
decreasing revenues in the same period.

2. Focus mainly on customized products- IBM focuses on providing customized

solutions for large and medium enterprises. This is a very profitable business
model but captures only a small share of the market. The rest of the market is
often satisfied with off-the-shelf software products and services. The lack of
these products makes IBM less approachable by the rest of the market, where
competitors like Oracle and SalesForce thrive.

Opportunities

1. Expand services and software divisions- IBM provides various services

(cloud, security and infrastructure) and enterprise solutions (servers,
networking and storage), which are the most profitable IBM’s businesses at
the moment. The company should focus on growing these divisions as they
promise better growth opportunities and higher profit margins.

2. Increasing demand of cloud based services- The cloud computing market is

expected to grow by an average of 22% each year from 2011 to 2020. By
2020, the market is expected to reach $240 billion value. Currently, IBM is
offering many services related with cloud computing and is well positioned to
benefit from the growing market.

Threats

1. Increasing competition in cloud computing market- Cloud computing market

is new and lucrative market that has a lot of growth potential. The possible
profits attract many newcomers and startups and threaten to take the market
share from the incumbent IBM.

2. Slowing growth of world economy- As mentioned earlier, IBM sales heavily

depend on the enterprises’ willingness to make huge investments into IT
infrastructure, which is far from the first option during the times of slow
economy growth. While this scenario is not forecasted for the whole world
during 2013 and 2014, some regions, like Europe, will still struggle to grow.
 CHAPTER 3
FINANCIAL RATIOS

Ratios with formulas and interpretation

 Current Ratio: Formula: Current Ratio = Current Assets / Current Liabilities
Interpretation: The current ratio measures IBM's short-term liquidity and ability to
pay off its current obligations. A current ratio above 1 indicates that IBM has more
current assets (such as cash, accounts receivable, and inventory) relative to its current
liabilities (such as accounts payable and short-term debt), which suggests a stronger
ability to cover short-term debts. A ratio below 1 may indicate potential liquidity
issues, as IBM may have insufficient assets to cover its liabilities. The current ratio as
of FY2022 was 0.92, indicating that the company had enough current assets to cover
its current liabilities.

 Debt-to-Equity Ratio: Formula: Debt-to-Equity Ratio = Total Debt / Shareholders'

Equity Interpretation: The debt-to-equity ratio measures the proportion of IBM's total
capital structure that is financed by debt compared to shareholders' equity. A higher
debt-to-equity ratio may indicate higher financial leverage and risk, as it means IBM
has more debt relative to its equity. Conversely, a lower debt-to-equity ratio may
indicate lower leverage and lower risk. It's important to consider the industry norms
and IBM's specific circumstances when interpreting this ratio, as different industries
may have different typical debt levels. The debt-to-equity ratio as of FY2021 was
2.44, indicating that the company had more debt than equity.

 Gross Profit Margin: Formula: Gross Profit Margin = (Gross Profit / Net Sales) x
100 Interpretation: The gross profit margin represents the percentage of each dollar of
IBM's net sales that is left after deducting the cost of goods sold (COGS). A higher
gross profit margin indicates that IBM is generating more profit from its sales, after
accounting for the cost of producing its goods or services. It reflects IBM's ability to
effectively manage its production costs and pricing strategy. A declining gross profit
margin may suggest increased cost pressures or pricing challenges.The gross profit
margin as of FY2022 was 5.54%, indicating that the company was able to generate a
profit after accounting for the cost of goods sold.

 Net Profit Margin: Formula: Net Profit Margin = (Net Income / Net Sales) x 100
Interpretation: The net profit margin represents the percentage of IBM's net income
(profit after all expenses and taxes) relative to its net sales (total revenue). It measures
IBM's overall profitability and efficiency in managing its expenses. A higher net
profit margin indicates that IBM is generating more profit from its sales after
accounting for all expenses. A declining net profit margin may suggest decreasing
profitability or increasing expenses. The net profit income as of FY 2022 was
declined by 71.46%.

 Return on Equity (ROE): Formula: ROE = (Net Income / Shareholders' Equity) x

100 Interpretation: ROE measures IBM's profitability in relation to its shareholders'
equity. It shows how effectively IBM is utilizing shareholders' equity to generate
profit. A higher ROE indicates that IBM is generating higher profits from
shareholders' equity, which represents the shareholders' investment in the company. A
declining ROE may suggest lower profitability or inefficient utilization of
shareholders' equity. Return on equity of IBM as of FY2022 is 26.76%.

 Return on Assets (ROA): Formula: ROA = (Net Income / Total Assets) x 100
Interpretation: ROA measures IBM's profitability in relation to its total assets. It
reflects how efficiently IBM is utilizing its assets to generate profit. A higher ROA
indicates that IBM is generating higher profits from its assets, which represent its total
resources. A declining ROA may suggest lower profitability or inefficient asset
utilization. Return on assets of the company as of FY 2022 is 3.97%.
Stock price analysis

Historical performance: IBM's stock price has had its ups and downs over the years. From
2016 to 2019, the stock price saw steady growth, increasing from around $120 per share to
over $150 per share. However, in 2020, the COVID-19 pandemic had a significant impact on
the stock market, and IBM's stock price saw a decline, dropping to around $100 per share.

Current market trends: As of April 27, 2023, IBM's stock price is $138.15 per share. This
represents a significant increase from its 2020 low, but it is still below its pre-pandemic
levels. The overall market conditions have been favorable for technology stocks, which has
helped drive up IBM's stock price. The company has also been implementing strategic
initiatives to drive growth, such as its focus on cloud computing and artificial intelligence.

Analyst projections: Analysts have mixed views on IBM's stock price. Some analysts are
bullish on the company's growth prospects, citing its focus on emerging technologies and
strategic partnerships. For example, in October 2022, Morgan Stanley raised its price target
on IBM from $145 to $165 per share, citing the company's shift towards higher-growth
businesses.

Other analysts are more cautious, citing concerns about the company's debt levels and slow
revenue growth. In January 2023, Goldman Sachs downgraded IBM's stock from "neutral" to
"sell," citing the company's "lackluster fundamentals."

In addition to these factors, IBM's stock price is also influenced by broader economic trends,
such as interest rates and inflation. For example, if interest rates rise, investors may shift their
investments to fixed-income securities, which could negatively impact IBM's stock price.

Overall, IBM's stock price analysis is complex and influenced by a range of factors. While
the company has seen some positive developments, there are also concerns that may impact
its future performance. Investors should conduct their own research and analysis and consider
their own investment objectives and risk tolerance before making any investment decisions.
 CHAPTER 4
SUSTAINABILITY AND UNIQUE PRACTICES
Initiatives towards Sustainability and Unique Practices

IBM has long been recognized as a leader in sustainability and has implemented a wide range
of initiatives and unique practices to promote environmental responsibility. With a strong
commitment to addressing climate change and fostering sustainable development, IBM has
made significant strides in reducing its environmental impact and driving positive change. In
this response, I will delve into IBM's sustainability initiatives and practices in more detail,
highlighting their key areas of focus and the impact they have made.

One of IBM's primary sustainability goals is to achieve net-zero greenhouse gas emissions by
2030. To reach this ambitious target, IBM has implemented a multifaceted approach that
encompasses various aspects of its operations. The company has invested heavily in energy
efficiency measures, renewable energy procurement, and emission reduction programs.
Through continuous improvements in data center efficiency and infrastructure optimization,
IBM has been able to significantly reduce energy consumption and associated greenhouse gas
emissions.

Renewable energy plays a vital role in IBM's sustainability strategy. The company has been
actively procuring renewable electricity to power its data centers, offices, and manufacturing
facilities. IBM's global energy procurement team works diligently to identify and secure
long-term contracts for renewable energy, supporting the development of renewable projects
around the world. By transitioning to renewable energy sources, IBM not only reduces its
carbon footprint but also helps drive the growth of the clean energy sector.
In addition to sourcing renewable energy externally, IBM has also invested in on-site
renewable energy systems. The company has deployed solar panels and other renewable
technologies across its facilities, allowing it to generate clean energy directly on-site. These
on-site renewable energy systems not only provide a sustainable and reliable source of
electricity but also serve as showcases for clients, demonstrating the feasibility and benefits
of renewable energy adoption.

IBM's commitment to sustainability extends beyond its own operations. The company
actively collaborates with its suppliers to promote sustainable practices throughout the supply
chain. IBM's supplier sustainability program focuses on engaging suppliers to improve their
environmental performance and social responsibility. By setting expectations, providing
resources, and fostering collaboration, IBM encourages suppliers to adopt sustainable
practices, reduce their environmental impact, and promote responsible business conduct.

IBM recognizes the importance of the circular economy in achieving long-term sustainability
goals. The company aims to minimize waste and maximize the reuse, recycling, and recovery
of materials. In product design and manufacturing, IBM prioritizes the use of recycled or
renewable materials, extends the lifespan of products through repairability and upgradability,
and ensures proper end-of-life management to minimize environmental impact. By adopting
circular economy principles, IBM strives to create a more sustainable and resource-efficient
business model.

One of IBM's groundbreaking sustainability initiatives is its Smarter Cities program. IBM
leverages its expertise in technology and data analytics to develop solutions that optimize
resource usage, enhance energy efficiency, reduce congestion, and improve the overall
sustainability and livability of cities. Through partnerships with local governments and
organizations, IBM has implemented smart city projects worldwide, addressing various urban
challenges and driving sustainable urban development.

Water management is another critical area of focus for IBM. Recognizing the importance of
water conservation, IBM has implemented comprehensive water management programs to
reduce water consumption and improve water efficiency. The company closely monitors
water usage in its operations, implements conservation measures, and invests in water-
efficient technologies. IBM also supports water stewardship initiatives aimed at protecting
water resources and promoting responsible water management practices.

Transparency and accountability are essential aspects of IBM's sustainability efforts. The
company regularly publishes corporate responsibility reports that provide detailed
information on its environmental performance, social impact, and governance practices.
These reports highlight the progress made towards sustainability goals, disclose key metrics
and targets, and showcase the company's commitment to transparency and continuous
improvement.

In conclusion, IBM has demonstrated a strong commitment to sustainability through its

various initiatives and unique practices. From striving for carbon neutrality and renewable
energy adoption to promoting circular economy principles, engaging suppliers, and
leveraging technology for smarter
 CHAPTER-5

CONCLUSIONS AND SUGGESTIONS

ITS CRUCIAL TO HAVE CLEAR AND CONSISTENT BRAND VISION AND PURPOSE

Here are a few reasons why it is important:

1. Differentiation: A clear brand vision and purpose help differentiate a company from
its competitors. It defines what sets the company apart and creates a unique identity
that resonates with customers.
2. Customer Connection: A well-defined brand vision and purpose allow customers to
connect with the company on a deeper level. When customers understand and align
with the values and purpose of a brand, they are more likely to develop a sense of
loyalty and trust.
3. Employee Alignment: A strong brand vision and purpose provide a guiding
framework for employees. It helps align their efforts and actions with the overall
mission of the company, fostering a sense of unity and driving collective motivation.
4. Strategic Direction: A clear brand vision and purpose inform strategic decision-
making within the company. It serves as a compass, guiding the development of
products, services, and marketing strategies that align with the brand's identity and
purpose.
5. Long-Term Sustainability: A well-defined brand vision and purpose contribute to the
long-term sustainability of a company. It helps the company adapt to changing market
dynamics while staying true to its core values, ensuring relevance and resilience in the
face of evolving customer expectations.

By having a clear and consistent brand vision and purpose, companies like IBM can
effectively communicate their value proposition, connect with customers, and drive
sustainable growth in the marketplace.

INTEGRATING YOUR MARKETING EFFORTS IS ESSENTIAL FOR A BUSINESS

Integrating marketing efforts is essential for a business to maximize its effectiveness and
achieve its goals. Here are a few reasons why marketing integration is crucial:

1. Consistent Messaging: Integrating marketing efforts ensures that consistent messages

and branding are conveyed across different channels and touchpoints. This helps
create a cohesive brand image and avoids confusion among customers.
2. Improved Customer Experience: Integration allows for a seamless customer
experience throughout the marketing funnel. When marketing efforts are integrated,
customers encounter consistent messaging and a cohesive journey, resulting in a more
positive and engaging experience.
3. Enhanced Efficiency: Integrating marketing efforts enables better coordination and
utilization of resources. By aligning strategies, processes, and teams, businesses can
 avoid duplication of efforts, reduce inefficiencies, and optimize their marketing
investments.
4. Holistic Data Insights: Integration allows for a comprehensive view of customer data
gathered from various marketing channels and activities. This enables businesses to
gain valuable insights into customer behavior, preferences, and trends, which can
inform decision-making and drive targeted marketing campaigns.
5. Synergistic Impact: When different marketing channels and tactics are integrated,
they can work together to amplify the impact of marketing initiatives. A cohesive and
synchronized approach across multiple channels, such as social media, email
marketing, content marketing, and advertising, can reinforce brand awareness, reach a
broader audience, and generate better results.

Overall, integrating marketing efforts ensures consistency, efficiency, and synergy in a

company's marketing activities. By aligning strategies, messages, and channels, businesses
can deliver a more seamless and impactful customer experience while optimizing resources
and achieving their marketing objectives.

SUGGESTIONS

1. Embrace Emerging Technologies: IBM has a long history of innovation, and it should
continue to embrace emerging technologies such as artificial intelligence (AI),
blockchain, and quantum computing. By investing in research and development in
these areas, IBM can stay at the forefront of technological advancements and create
new opportunities for growth.
2. Strengthen Cloud Computing Offerings: IBM has made significant progress in the
cloud computing space with its IBM Cloud platform. To compete effectively with
other major cloud providers, IBM can continue to enhance its cloud offerings,
improve scalability and performance, and expand its global data center infrastructure.
3. Foster Industry Partnerships: Collaborating with other technology companies,
startups, and industry leaders can provide IBM with access to new markets,
technologies, and expertise. By forming strategic partnerships, IBM can drive
innovation, expand its reach, and offer comprehensive solutions to its customers.
4. Focus on Industry-Specific Solutions: IBM has a strong presence in various
industries, including finance, healthcare, and manufacturing. By further tailoring its
solutions to specific industry needs, IBM can provide greater value to its customers
and establish itself as a trusted partner in their digital transformation journeys.
5. Enhance User Experience: Improving the user experience across IBM's products and
services can drive customer satisfaction and loyalty. By prioritizing usability, intuitive
design, and customer feedback, IBM can ensure that its solutions are user-friendly,
efficient, and deliver a seamless experience to customers.
6. Emphasize Sustainability and Social Responsibility: As sustainability and social
responsibility become increasingly important for businesses, IBM can continue to
demonstrate its commitment to these areas. By integrating sustainable practices into
its operations and developing solutions that address societal challenges, IBM can
strengthen its reputation as a responsible and ethical company.

These suggestions aim to provide some broad areas where IBM can focus on for growth and
success. It's important for IBM to evaluate these suggestions within the context of its specific
goals, market dynamics, and competitive landscape to determine the most effective strategies
for its business.

REFERENCES

www.ibm.com

www.investopedia.com

https://in.investing.com

www.moneycontrol.com

https://www.macrotrends.net