Swot IBM
SWOT
IBM SWOT analysis 2013
Strengths
Weaknesses
1. First mover in cloud computing solutions for enterprises
2. Brand reputation
3. Diversified business
4. Strong competency in acquisitions
5. Integration of products and services
1. Expensive service and software solutions
2. Focus mainly on large enterprises
Opportunities
Threats
1. Expand services and software divisions
2. Increasing demand of cloud based services
1. Increasing competition in the cloud computing market
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
IBM SWOT analysis 2013
Strengths
Weaknesses
1. First mover in cloud computing solutions for enterprises
2. Brand reputation
3. Diversified business
4. Strong competency in acquisitions
5. Integration of products and services
1. Expensive service and software solutions
2. Focus mainly on large enterprises
Opportunities
Threats
1. Expand services and software divisions
2. Increasing demand of cloud based services
1. Increasing competition in the cloud computing market
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