Product Launch Strategy In International Market

with reference to Laptop

Sayed Abuturab Ar
Naik Prayag
Vijay Nalawade
Nilam Sawant
Laptop

• A laptop computer, also known as a notebook

computer, is a small personal computer designed
for mobile use.
• A laptop integrates all of the typical components
of a desktop computer, including a display, a
keyboard, a pointing device and a battery into a
single portable unit.
• The rechargeable battery is charged from an
AC/DC adapter and has enough capacity to power
the laptop for several hours, enabling it to be used
virtually anywhere.
History Of Laptop

• The First Laptop was Designed in 1979 by a Briton,

William Moggridge, for Grid Systems Corporation, the
Grid Compass was one fifth the weight of any model
equivalent in performance and was used by NASA on the
space shuttle program in the early 1980's.
• Osborne 1. Adam Osborne, an ex-book publisher
founded Osborne Computer and produced the
Osborne 1 in 1981, a portable computer that weighed
24 pounds and cost $1795. The Osborne 1 came with
a five-inch screen, modem port, two 5 1/4 floppy
drives, a large collection of bundled software
programs, and a battery pack
 Types of Laptop

• Desktop replacement
• A replacement computer is a personal computer that provides the full
capabilities of a desktop computer while remaining portable. They are often a
larger, bulkier laptop. Because of their increased size, this class of computer
usually includes more powerful components and a larger display than
generally used in smaller portable computers and can have a relatively limited
battery capacity
• Sub notebook
• Laptops weighing typically between 0.8 to 2.7 kg and a screen of 6.4 to 13.3
inches diagonally. A subnotebook is a small and lightweight portable
computer, with most of the features of a standard laptop computer but smaller.
The term is often applied to systems that run full versions of desktop operating
systems such as Windows or Linux, rather than specialized software such as
Windows CE, Palm OS or Internet Tablet OS.
• Netbooks
• A new subgroup of the traditional laptop computer, Netbooks are smaller,
more compact laptops that are designed for surfing on the internet and basic
word processing. Most of these Netbooks use 10 in. screens, weigh at around
1.5 to 3.0 lbs, and are generally powered by either Intel Atom, Celeron, or via
processors, due to their more favorable Performance per Watt ratings and cost.
Major brands and manufacturers
• Acer - TravelMate, Extensa, Ferrari and Aspire
• Apple - MacBook, MacBook Air and MacBook Pro
• ASUS - Asus Eee, Lamborghini
• Compaq - Evo, Armada, LTE, and Presario
• Dell - Inspiron, Latitude, Precision,Studio, Vostro and XPS
• Gateway
• G7 LAPTOPS - CLASSIC, EXECUTIVE, PROFESSIONAL
• Hewlett-Packard - HP Pavilion, HP Omnibook, HP Compaq
Notebooks
• Lenovo - ThinkPad, IdeaPad, and 3000 series
• Panasonic - Toughbook, Let's Note (available in Japan only)
• Samsung - SENS: M, P, Q, R and X series
• Sony - VAIO: FJ Series, UX, TZ, NR, SZ, CR, FZ, and AR series
• Toshiba - Dynabook
Reason for selecting product
• Laptop market has registered 79% Year-on-Year (YoY) growth during 2006.
• The laptop sale is growing at much faster rate than projected.
• India's personal computer market is undergoing a major transition.
• However, laptop computers cannot completely wipe out desktop computers,
because both are designed to meet different needs or different consumer
segments.
• Market share of laptops would be 35-40% in the next two years.
• The Laptop market is growing at a fast rate because of change in work life of
consumers. As the need for "anytime anywhere" access to information is
increasing, the sales of Laptops are also increasing.
• Other factors that are responsible for the hike in sales figure are reduction in
prices and affordability. Laptops are now sold at approximately half the price
at which they were sold two years ago. Laptops prices are now almost at par
with the desktop computer prices.
• The third most important factor is duty free import of Laptops as a personal
baggage that has helped a lot in increasing the penetration level of the product
among the consumer population.
• Awareness about laptops has also increased over the years.
Company Profile
• A new world company

• Extensys Techpad was incorporated on 11 November

1999, with Capital of 50 million dollar.
• Company has benchmarked its operation based on top
most player like HP IBM.
• Extensys Techpad a new kind of PC company, defies
geographic and organizational boundaries on a global
scale:
• We develop, produce, and deliver our products across
continents
• Our global company has corporate headquarters at
MUMBAI
Company Profile
• World sourcing
• World sourcing Extensys Techpad answer to globalization. Our strategy unleashes the
power of innovation across our global team. World sourcing dramatically differs from
outsourcing, the original globalization model. With outsourcing, developed markets
manage innovation, marketing, and general management, while low-cost emerging
markets manage raw materials, labor, and manufacturing. World sourcing means
resources, opportunities, and ideas can be found everywhere around the world.
We locate hubs of excellence where they create the most value. Our hubs enable us to
solve customers’ needs with outstanding products. We can then deliver these products
expediently and efficiently thanks to our supply chain and logistics.
• For our Think line of products, we focus our R&D efforts on solving challenges
companies face: managing their PC population efficiently, realizing a low total cost of
PC ownership, and protecting valuable data from theft and damage. For our Idea line
of products, we focus on individual and small business customer needs such as
superior audio experience, personal data protection, and a entertainment environment.
In today’s economy, Lenovo believes customers judge companies solely by the level
of value they deliver to customers worldwide. Therefore, Lenovo promises customers
and partners to deliver award-winning PCs with an unequalled ownership experience.
 Product Features and Pricing

• Brand Name: Extensys LS71

• The Extensys LS71 is a stylish 35.81 cms (14.1) notebooks delivered in Extensys Techpad
cool new chassis design and backed by the new architecture T2390 Intel® Pentium® dual
core processor.
• Specifications
• Price Rs.39990.00*
• Processor Intel® Core™ 2 Duo T5450 (1.66 GHz, 667 MHz FSB)
• Operating system Genuine Windows Vista® Home Premium
• Display size 15.4" WXGA Vibrant View TFT with integrated camera and TV tuner
• Memory (std / max, type, speed) 2 GB / 4 GB, DDR2 SDRAM, 667 MHz
• Memory slot (available / total) 0 SODIMM / 2 SODIMM
• Hard drive160 GB, Serial ATA
• VOptical drive DVD Recordable (Dual Layer), 24X Max ersion 2.0
• Wireless Intel® PRO/Wireless 3945ABG, Bluetooth + EDR
• Ethernet 10/100 Ethernet
• Graphics chipset 128MB NVIDIA GeForce Go 8400M GS
• Security device None
• Weight 2.71 Kg
• Warranty7 Customer Carry-in Repair - One year parts and labour (system battery: one year)
Product Features and Pricing

• Extensys HS 99
• The Extensys HS 99 emerges among the Extensys Techpad. Gallantly sporting sublime
looks, the Extensys HS 99 is a 12.1" ultra-portable notebook with crisp racing lines,
luminescent dashboard lights, and space-age carbon-fiber reminiscent of a graceful Ferrari
race car that exudes uncompromising performance in an elite expression of style and class.
• Specifications  
• Price
• $1349 RS 62000
• Processor Intel® Core™ 2 Duo L7500 processor (1.60 GHz, 800 MHz FSB)
• Operating system Genuine Windows Vista® Home Premium
• Display size 11.1" WXGA TFT with integrated camera LCD Glossy
• Memory (std / max, type, speed) 2 GB / 3 GB, DDR2 SDRAM, 667 MHz
• Memory slot (available / total) 0 SODIMM / 1 SODIMM
• Hard drive 120 GB, PATA
• Optical drive USB Super Multi-Burner 24X Max, 24X Max
• Wireless Intel® Wireless WiFi Link 4965AG
• Ethernet 10/100 Ethernet
• Graphics chipset Intel® Graphics Media Accelerator X3100
• Security device None
• Weight 1.09 Kg
• Warranty Depot Repair - One year parts and labour (system battery: one year)
Advantage of our product
• Durability
• Upgradeability
• Performance
• Security
• Parts standardization and compatibility
Key Issues in international market
Key Issues in international market
Reason for selecting product
• Laptop market has registered 79% Year-on-Year
(YoY) growth during 2006.
• The laptop sale is growing at much faster rate than
projected.
• India's personal computer market is undergoing a
major transition.
• However, laptop computers cannot completely wipe
out desktop computers, because both are designed to
meet different needs or different consumer segments.
• Market share of laptops would be 35-40% in the next
two years
Reason for selecting product

• The Laptop market is growing at a fast rate because of change

in work life of consumers. As the need for "anytime anywhere"
access to information is increasing, the sales of Laptops are
also increasing.
• Other factors that are responsible for the hike in sales figure are
reduction in prices and affordability. Laptops are now sold at
approximately half the price at which they were sold two years
ago. Laptops prices are now almost at par with the desktop
computer prices.
• The third most important factor is duty free import of Laptops
as a personal baggage that has helped a lot in increasing the
penetration level of the product among the consumer
population.
• Awareness about laptops has also increased over the years.
PEST Factor
A scan of the external macro-environment in
which the firm operates can be expressed in
terms of the following factors:
• Political
• Economic
• Social
• Technological
PEST Analysis of market
Analysis of the US market
Analysis of the US market
market share
market share
Europe market analysis
Europe market analysis
Modes of entry in IB
• The decision of how to enter a foreign market can have a significant
impact on the results. Expansion into foreign markets can be achieved
via the following four mechanisms:
• Exporting
• Licensing
• FDI with strategic alliance
• Joint Venture
• Merger & Acquisition
• FDI without strategic alliance
• Green Field Strategy
• Direct Investment
• Special Modes of Entry
• Contract Manufacturing
• Management Contract
• Outsourcing
Selected mode of Entry: Acquisition
• Our company by acquire various small & medium
enterprises who are into manufacturing of various
components of laptop. This will help us in direct &
cost effective sourcing of material requirements.
• Over a period of last 2 years Company acquired
various SMEs which are as follows.
• Syintia Enterprises
• Recons Tech Pvt. Ltd.
• IC tech
• & several others for about $25 million
Selected mode of Entry: Acquisition
• Company has acquire 65% stake in Trilogica solution
pvt ltd which specialize in providing after sale
services and customer management system. This will
help in providing timely and efficient service to
customer and to gain edge over competition

• Company has tied up with UPS logistics which will

help in procurement of component and distribution of
final product
Theories of International Business
• Various international trade theories are as follows
• Mercantilism
• Absolute advantage: Adam Smith
• Comparative advantage: Ricardo
• Factor Endowments Theory: Eli Heckscher and Bertil
Ohlin
• International Product Lifecycle: Raymond Vernon
• National Competitive Advantage: Michael Porter
National Competitive Advantage: Michael Porter
Business strategy of major player