SWOT Analysis For HP Company | In-Depth Discussion

HP is a leading player in the global market for personal computers (PCs), printers and related supplies, and IT services. In this blog post, we will do a SWOT analysis of HP company.


Summary for SWOT Analysis of HP
  • Strong presence in China
  • Well-known brand reputation
  • Diverse product portfolio
  • Significant investment in R&D
  • Poor track record with acquisitions
  • Overly reliant on personal systems segment
  • Limited presence in tablet market
  • Expand services and enterprise solutions
  • Capitalize on emerging technologies
  • Capture larger share of managed print services market
  • Leverage economic upturns
  • Growing demand for cloud-based services
  • Acquire technology-related patents
  • Slowing growth in laptop market
  • Rapid pace of technological change
  • Intense competition
  • Currency fluctuations
  • Increasing costs of raw materials and labor



Hewlett-Packard (HP) has been a trusted brand in the electronics industry since its inception in 1939. For many years now, HP has been able to maintain a strong presence in the computer industry. It is a global leader in consumer electronics. It provides a wide range of items for both individuals and corporations.

The company’s laptops, printers, desktops, Xerox machines, etc. are well distributed throughout the world. It is the leader in the printer market and is also trying to be the leader in the laptop and IT markets.

After its split from HPE (Hewlett-Packard Enterprise), the company has started growing rapidly. However, the global epidemic has led to a decline in its sales.

For the purpose of this article, we are going to consider the major strengths, weaknesses, opportunities, and other internal factors that have contributed to the development of the HP company.

SWOT analysis of HP


Complete SWOT Analysis of HP Company


Strong Presence in China

China’s GDP has grown at an annual pace of more than 8% during the past decade. Different corporations are spending more money as the economy improves, and HP is in the right position to take advantage of it.

The firm’s corporate business and services sectors, in particular, have grown their market investments and extended their product offerings.

Brand image

HP controls more than 15% of the global PC market. It is also a significant supplier of service network products. Virtually all of the markets in which the company is active have a sizable global footprint.
As a result, the company has built a solid name for itself. Hewlett-Packard was one of the world’s top 15 most valuable brands, according to Interbrand.

Diversified Product Portfolio

It’s true that HP has been slowly adding more business-focused products and services to its Personal Systems division and other parts of its product line.
There are now tens of thousands of different items and services available from businesses. Also, HP has a wider range of products than its competitors, which makes it less vulnerable to changes in different markets and industries.


The company spends a lot of money on research to remain on top of the latest developments in technology. As a result, HP Labs’ research is more focused on expanding its technologies such as natural language identification, audio/video analytics, and so on.


Poor competency in acquisitions

At least 50 technological businesses have been bought by HP in the last decade. Adding new talents, goods, and money to the firm was the goal of some acquisitions, but others were of little value or even harmful to the organization.

The most notable example is Autonomy Corporation, which was purchased for $11 billion and ultimately failed miserably. HP had to write down $8.8 billion in the value of its books after purchasing a firm that was overpriced. When HP bought the firm, it showed how ill-prepared they were. In the last decade, no other HP rival has had an acquisition disaster like this.

Over-Reliance on Personal Systems

For the time being, HP is primarily dependent on the PC market, namely laptop sales. After a few more years, the PC market is likely to expand slowly or maybe decline. As a result of declining profit margins on computer hardware, HP’s largest personal systems segment becomes a source of vulnerability.

Poor Presence in The Tablet Market

It is predicted that tablet sales will increase by double digits in the next few years. The tablet industry has proven to be of benefit to many other technology companies, which have seen significant revenue and profit growth as a result.

HP’s TouchPad tablet and the Slate tablets, which were later presented to the market, have failed to entice customers. So, the company loses money and hasn’t been able to compete well with Samsung and Apple in this lucrative industry.


Expand Services and Enterprise Solutions Divisions

Services and solutions for the enterprise, such as servers, networking, and storage, are HP’s main profitable businesses at present. The corporation should focus on developing these segments because they provide more development potential and larger profit margins than any other.

New Technologies

The corporation can now use business pricing strategies to come up with new technological advancements. Keeping customers happy is a major benefit for the organization.

Managed print services (MSP) Market

By 2024, the MSP industry is expected to reach $94.9 billion in revenue. Increasing its market share may be an excellent opportunity for HP.

An Upsurge in Economic Activity

Customers are spending more on new technologies, which might lead to more possibilities and customers for HP.

Increasing Demand for Cloud-Based Services

From 2019 to 2022, this industry is expected to grow at a 22 percent annual rate. The market is predicted to reach a value of $250 billion by 2023. As the cloud computing market continues to expand, HP is in the right position to capitalize on this opportunity.

Acquisition of More Technology-Related Patents

The best option for R & D is to obtain patents from other firms in the market, which is pricey. It’s possible that HP, with all of its free cash on hand, might make a good acquisition target. HP’s patent portfolio would allow it to stay competitive with its rivals in the industry.


The Slow Growth Rate of The Laptop Market

The computer industry’s rate of expansion is decreasing, and markets will reach saturation in the near future. Acers, Dell, Apple, Lenovo, and Samsung are just a few of the fierce competitors the company must contend with in terms of pricing, quality, brand recognition, technology, and distribution methods, among other things.

Rapid Technological Change

HP and other IT firms are in grave danger from the fast evolution of technology. It’s becoming increasingly difficult for companies to keep up with the demand for new items.
Sooner or later, the one who can’t keep up with the competition will be outpaced. This is especially bad news for HP because many of its products are already behind those of its competitors in terms of quality, price, and technical innovation.


The corporation is in a price war with other companies. As consumers become more price-conscious, HP is under more pressure to offer more features for less money.

Currency Fluctuations

Due to the fact that HP works in a variety of countries, the company may suffer difficulties due to currency fluctuations.

The Rising Cost of Raw Materials and Labour

As raw materials and labour get more expensive, production costs will go up. This will cause the price of the product to go up, which could hurt sales revenue.

Final Thought On Hewlett Packard SWOT Analysis

As you can see from the article above, the SWOT analysis of hp company has a number of strong points. These include the company’s ability to come up with new products, the strength of its brand, and its ability to make money.

By increasing its focus on innovation, the firm has managed to retain its performance level in the face of a variety of problems, including decreased client demand and increasing challenges affecting the company’s printer business.

Disclosure: The articles, guides and reviews on BlowSEO covering topics like SEO, digital marketing, technology, business, finance, streaming sites, travel and more are created by experienced professionals, marketers, developers and finance experts. Our goal is to provide helpful, in-depth, and well-researched content to our readers. You can learn more about our writers and the process we follow to create quality content by visiting our About Us and Content Creation Methodology pages.

Leave a Reply

Your email address will not be published. Required fields are marked *