Download as doc, pdf, or txt
Download as doc, pdf, or txt
You are on page 1of 5

WIPRO

Strengths:

Global R&D facility. Retention of the man-power is the best in the industry. Impressive list of clientele. Relatively lower receivable compared to the industry average. Diversified skill base across service lines Delivery capabilities & client satisfaction Commitment to go the extra mile Technological partnership with other software companies Low cost advantage MEGA Partnership Cisco, EMC, Microsoft, Oracle and SAP Low operating margin of the other group companies. Free floating stock is very less. Domestic market was huge but was underdeveloped Small player in global market Limited domain Clients not trusting the capabilities of Indian Software Cos. In the branded product category. In the consultancy area. In the emerging technology areas like Blue Tooth, WAP etc. Huge global market The Company has entered into the global market so now its the biggest opportunity Huge potential in domestic market Increasing cost of human capital. Slowdown in the US economy. Will face fierce competition in the areas of e-business and ASP services. Competition by Indian companies in domestic market Presence of big companies in global market Exchange rate : This can be a threat to the company as the company is making profits

Weaknesses:

Opportunities:

available to the company. Threats:

due to the high exchange rate and if this rate comes down in future it can lead to a major problem for the company.

High exposure to the telecom/tech sectors (36%) Slowdown in the banking, financial services and insurance (BFSI) sector

SWOT Analysis Infosys


Strengths

Since the company is based in India its competitive advantage is enhanced. The Indian economy, despite weak economic indicators such as relatively high rates of inflation, has low labor costs. The workforce has relatively high skills levels in Information Technology. Couple these two elementstogether and you have an operational basis that offers low-cost based, highly skilled competitive advantage. Trained Indian personnel often speak very good English and are sensitive to Western culture, underpinned by India's colonial past.

Infosys is in a strong financial position. The business turned over more than $4 billion in 2008. This means that it has the capital to expand, and also the basis to leverage potential investors. The company has bases in 44 global development centres, most of which are located in India, although the company has offices in many developed and developing nations. This means not only that Infosys is becoming a global brand but also that it has the capability to support the global operations of multinational clients.

Weaknesses

Infosys on occasion struggles in the US markets, and has particular problems in securing United States Federal Government contracts in North America. Since these contracts are highly profitable and tend to run for long periods of time, Infosys is missing out on lucrative business. Added to this is the fact that its competitors do well in terms of securing the same Federal business (and one should also take into account that many of its competitors are domiciled in the US and there could be political pressure on the US Government to award contracts to domestic organizations).

Despite being a huge IT company in relation to its Indian competitors, Infosys is much smaller than its global competitors. As discussed above, Infosys generated $4 billion in 2008, which is relatively low in comparison with large global competitors such as Hewlett-Packard ($91 billion), IBM ($91 billion), EDS ($21 billion) and Accenture ($18 billion).

It is sometimes argued that Infosys is weaker when it comes to high-end management consultancy, since it tends to work at the level of operational value creation. Competitors such as IBM and Accenture tend to dominate this space.

Opportunities

At a time of recession in the global economy, it may appear that some companies will reduce take up of services that Infosys offers. However, in tough times clients tend to focus upon cost reduction and outsourcing - with are strategies that Infosys offers. So hard times could be profitable for Infosys.

There is a new and emerging market in China as the country undergoes a huge industrial revolution. The strategic alliance between Infosys and Schlumberger gives the IT company access to lucrative business in the gas and oil industries. There has been a trend over recent years for European and North American companies to base some or all of their operation in India. This is called an offshore service. Essentially there is a

seamless link between domestic operations and services hosted in India. Examples include telecommunications companies such as British Telecom and banks such as HSBC that have customer service and support centres based in India. Think about the times that you have made calls to a support line to find that the adviser is in Mumbai or Bangalore and not in your home market.

Threats

India is not the only country that is undergoing rapid industrial expansion. Competitors may come from countries such as China or Korea where there are large pools of low-cost labor, and developing educational infrastructures such as universities and technology colleges.

Customers may switch to other offshore service companies in other countries such as China or Korea. Other global players have realised that India has the benefit of low-cost, highly-skilled labor that often speaks English and is culturally sensitive to Western practices. As with all global IT players, Infosys has to compete for skilled labor and this may have the effect of driving up wage levels, and making it more difficult to recruit and retain staff.

SWOT Analysis of Microsoft Corporation


STRENGTHS: Microsoft is a huge global brand. It is recognizable for two main reasons. It was one of the largest software developers it has developed a customer base of around 30 million people. It has built its reputation on the successful development of its computer softwares namely the Windows line of products. Brand is all-important. Microsoft is one of the most established and healthy IT brands in the World, and has a very loyal set of enthusiastic customers that advocates and uses the brand. With loyal customers, it means that Microsoft does not only recruits new customers but retains old ones. The company is composed of different main offices inside the United States and around the globe making the distribution and development of its products easily accessible to the consumers. It has its offices in Germany, United Kingdom and Europe and sub offices in countries such as China, France and Korea. WEAKNESSES: Microsoft lacks a solid client and service support center on the internet. This is important since problems and bugs with regards to their products must be fix rapidly to attain efficiency. The lack of a customer service center would erode the integrity and quality perceived by costumers on Microsoft products. Microsoft products have compatibility issues with other hardwares and softwares manufactured by other companies. This compatibility issue would then limit the ability of the customer to buy all products made by Microsoft since it would affect the stability and performance of a computer. Microsoft does not share the programming codes of its softwares making modification difficult if bugs and other malfunctions are detected by programmers not affiliated to the company. OPPORTUNITIES: Microsoft moved into the Chinese market by producing computer programs based on the Chinese language and giving discretionary authority to the Chinese government to censure and to eaves drop on emails, documents and webpage. Microsoft has also diversified its products. During the past years the company has ventured into fields such as game design, game developing and publishing and the production of game consoles such as the Xbox. The company has also branched out to provide free email and news services to its

costumers. It has also developed softwares and computer programs that is vital in organizing business spreadsheets and data. THREATS: The success of Microsoft in software development has spawned other competitors to follow the footsteps of the company towards success. The primary competitor of the company in the operating systems industry is the Linux program developed by independent programmers. This program is easy to use and can be obtain free of charge. Since the company is diversifying in other fields it competes its products with the products being made by companies who have been experts in their chosen industry. The company might eventually lost its battles in making its products competitive when put side by side with products made by corporations which has established their name and reputation to the customers. Another threat that is being faced by Microsoft is the different lawsuits and indictments against the company being made by independent companies, programmers and software developers. These lawsuits do not only exhaust the financial resources of the company but it also promotes negative publicity and bad public image.

APPLE
Strengths
iTunes Music Store is a excellent source of revenue, especially with the iPod and the accessibility on Windows platform. Apple Computer are expert in Developing own software and hardware. Apples niche audience provides the company with some lagging from the direct price competition. Giving a face-lift to desktop and notebook lines. Web technology can be used to improve product awareness and sales. Low debtmore maneuverable. Apple Computers have good brand loyalty. Partnership with Intel Computers in 2006 Present. Strong Research & Development Department.

Weaknesses
Weak relationship with Intel and Microsoft. Weak presence in business arena. The product life cycle of Apple products are very small for that reasons revenues are more depend on launch of new products and services. Weak presence in markets other than education and publishing. Slow turn around on high demand products. Apples market share is far behind from major competitor Microsoft. In past the relationship between Steve jobs and employee were not good which result in reputation loss.

Opportunities
Increase in worms and viruses on PCs so the antivirus solution can be developed by Apple Large population (Gen X&Y) which are extremely individualistic and name brand conscious. The ties of apple other companies are weak, Apple can develop good relationship for joint ventures Downloadable music and MP3 players are highly marketable. The online sales of computer are increasing with rapid speed. The laptop market growth is high; Apple Computers should focus to develop new models to cater the need of customers.

Threats
Companies not seeing Apple as compatible with their software. Apple facing strong competition from Dell, HP, Sony and Toshiba in laptop segment. Downloading free music from other online source without paying cost is common it may impact the iTunes sales. Apple software, Cell phone and hardware are expensive as compared to other competitors such as Dell. The long lasting recession may impact the sales of the company due to higher prices of the products and services

Microsoft launched Microsoft Vista, Windows 7 which is gaining market share. The switching in technology is very fast.

You might also like