marketing strategies adopted by hcl final

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ATRAINING PROJECT REPORT

ON

MARKETING STRATEGY ADOPTED BY HCLINFOSYSTEM

In partial fulfillment for theBACHELOR OF BUSINESS ADMINISTRATION

(2009-2012)

Submitted To: Ms.Renu Dudeja

Submitted By:NEHA TYAGI

9683556

BEACON INSTITUTE OF TECHNOLOGY

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DECLARATION BY LEARNER

I NEHA TYAGI hereby declare that the Project titled

MARKETING STRATEGY ADOPTED BY HCL INFOSYSTEMis an Original piece of work. It has been submitted in partial fulfillment for the Award

of the Bachelor of Business Administration.

Date:

Place: Meerut

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ACKNOWLEDGEMENT

I take the opportunity to express our gratitude to all the concerned people who have

directly or indirectly contributed towards completion of this project. I extend my sincere

gratitude towards Mr. Sanjay Kumar HR Manager at HCL. for providing the

opportunity and resources to work on this project.

I am extremely grateful to Miss Renu Dudeja, my mentor for his guidance and

invaluable advice during the projects.

At Last I would like to thanks my parents and friends for their support.

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PREFACE

Todays market scenario is totally different from few years ago. Consumer has a lot of choice

for every product because day-by-day new companies are coming with their product. Later there waslimited choice for mostly products and companies didnt have to put much efforts to sale their product.

But todays scenario is totally different. Consumers have choice because of availability of varieties and

options. We can say todays consumer is the king of market. So it is important to know his buying

behavior and try to fulfill his demand. Companys aim should be customer delight not costumer

satisfaction.

The purpose of this dissertation project is to know the marketing strategies which HCL

Infosystems Ltd. uses to become the market leader in the field of Personal Computers and Different

marketing strategies adopted by HCL to compete with others.

HCL Infosystems how much is fulfilling the customer needs and try to sale the maximum of

personal computer

This dissertation report making was really good learning period for me. I got opportunity to

know the theoretical knowledge related to marketing strategies.

This dissertation report is part of course of BBA program, which is set by CCS University,

and it is necessary for every student to under go for dissertation project. This project report is also

made for submission to BIT Meerut. Sustains including in this report are research methodology,

analysis of activities, conclusion and bearing from this project Bibliography is also given in last to

know from where information has been taken to complete this project. I hope this project will serve

the purpose.

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TABLE OF CONTENTS

SNO. PARTICULARS PAGE NO.

1. Introduction (HCL Infosystem) 052. Objectives 093. Company Profile 114.. Literature Review 285. Research Methodology 59

6. Data Analysis and Interpretation 65

7. Finding & Suggestions 71

8. Conclusion 74

9. Bibliography 76

10. Questionnaire

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Chapter 1

HCL INFOSYSTEMS LTD.

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HCL Infosystems is India's premier information enabling company. Leveraging its 28 years of expertise

in total technology solutions, HCL Infosystems offers value-added services in key areas such as system

integration, networking consultancy and a wide range of support services.

HCL Infosystems is among the leading players in all the segments comprising the domestic IT

products, solutions and related services, which include PCs, servers, networking products, imaging &communication products.

Continuously meeting the ever increasing customer expectations and applications, its focus on

integrated enterprise solutions has strengthened the HCL Infosystems' capabilities in supporting

installation types ranging from single to large, multi-location, multi-vendor & multi-platform spread

across India. HCL Infosystems, today has a direct support force of over 2000+ members, is operational

at 300+ locations across the country and is the largest such human resource of its kind in the IT

business. A majority of the team members have been specially trained in a variety of supporting

solutions, the company's key focus area.

HCL Infosystems' manufacturing facilities are ISO 9001 - 2000 & ISO 14001 certified and

adhere to stringent quality standards and global processes. With the largest installed PC base in the

country, four indigenously developed and manufactured PC brands - 'Infiniti', 'Busybee' 'Beanstalk' and

'Ezeebee' - and its robust manufacturing facilities; HCL Infosystems aims to further leverage its

dominance in the PC market. It has been consistently rated as Top player in PC industry by IDC .The

'Infiniti' line of business computing products is incorporated with leading edge products from world

leaders such as Intel. A fully integrated and business-ready family of servers and workstations, the

'Infiniti Global Line' is targeted at medium and large companies to help them to manage their

enterprise-related applications. It has considerable dominance in verticals like Finance, Government,

and Education & Research.

The Channel Business of HCL Infosystems has an extensive network of over 2500+ resellers across

300 locations. It has actively promoted the penetration of PCs in the home and the small office/home

office (SOHO) segments, through Beanstalk, Ezeebee & Busybee PCs and Toshiba Laptops.HCL Infosystems has two focused business units. While HCL Infosystems concentrates on the IT

products, solutions and related services business, HCL InfiNet focuses on the rapidly growing

communication and imaging products, solutions and services industry.

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HCL InfiNet, with a presence in more that 35 cities, has the ability to service around 250 cities in its

catchment area. It provides corporate networking services like Virtual Private Network, Broadband

Internet Access, Hosting & Co-location services, designing & deploying Disaster Recovery Solutions

& Business Continuity solution, Application Services, Managed Security Services & NOC Services

over its state-of-the-art IP network to over 200 corporates. With the Office Automation (OA) Division being part of it, HCL InfiNet now has an exclusive sales and support partnership with Toshiba

Corporation, Japan, for its photocopier products. The product portfolio covers a range of other office

automation and communication products through alliances with world leaders - including Duprinters

from Duplo, data projectors from InFocus, Telecommunication solutions from Samsung and Ericsson

and mobile communication products from Nokia. HCL Infinet Ltd. has a strong and dedicated retail

network of Nokia Professional Centres, Nokia Priority Dealers and Re-distribution Stockist across the

country.

HCL has closely seen the IT industry rise from scratch, and has actively participated in its progress.

During the twenty-eight year journey, it has picked up valuable lessons in serving the IT needs of the

Indian customer and gathered domain expertise to successfully service various businesses.

As a leading information enabler, HCL Infosystems has long standing relationships with world

technology leaders such as SUN for enterprise computing solutions, Intel and AMD for PCs & PC

Servers; Microsoft, Novell and SCO for operating systems and software solutions; Toshiba Corp. for

business automation equipment; SAP AG for specialist ERP solutions; and Oracle, Sybase and

Informix for RDBMS platform, EMC, Veritas for storage solutions. The aim is to straddle the entirelandscape of information enabling technology far more comprehensively, effectively and competitively.

Indeed, a vision to create enterprises of tomorrow.

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Chapter 2

OBJECTIVE

The purpose of research is to discover answers to question through the application of scientific

procedure. The main aim of research is to find out the truth which is hidden and which has not been

discovered as yet. Though each research study has its own specific purpose, we may think of research

objectives as falling into a number of following broad groupings:

1. To gain familiarity with a phenomenon or to achieve new insight into it (studies with this

object in view are termed as exploratory or formulative research studies).9


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2. To portray accurately the characteristics of a particular individual, situation or a group

(studies with this object in view are known as descriptive research studies)

3. To determine the frequency with which something occurs or with which it is associated with

something else(studies with this object in view are known as diagnostic research studies)

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Chapter 3

COMPANY

PROFILE

HCL Info systems Ltd are one of the pioneers in the Indian IT market, with its origins in 1976. For over

quarter of a century, we have developed and implemented solutions for multiple market segments,

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across a range of technologies in India. We have been in the forefront in introducing new technologies

and solutions. The highlights of the HCL saga are summarized below:

YEAR 1976

Foundation of the Company lay.

Introduces microcomputer-based programmable calculators with wide acceptance in thescientific / education community.

1977

Launch of the first microcomputer-based commercial computer with a ROM -based Basic

interpreter.

Unavailability of programming skills with customers results in HCL developing bespoke

applications for their customers.

1978

Initiation of application development in diverse segments such as textiles, sugar, paper,

cement, transport.

1980

Formation of Far East Computers Ltd., a pioneer in the Singapore IT market, for SI (System

Integration) solutions.

1981

Software Export Division formed at Chennai to support the bespoke application development

needs of Singapore.

1983

HCL launches an aggressive advertisement campaign with the theme ' even a typist can

operate' to make the usage of computers popular in the SME (Small & Medium Enterprises)segment. This proposition involved menu-based applications for the first time, to increase

ease of operations. The response to the advertisement was phenomenal.

HCL develops special program generators to speed up the development of applications.

1985

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Bank trade unions allow computerization in banks. However, a computer can only run one

application such as Savings Bank, Current account, and Loans etc.

HCL sets up core team to develop the required software.

ALPM (Advanced Ledger Posting Machines). The team uses reusable code to reduce

development efforts and produce more reliable code. ALPM becomes the largest sellingsoftware product in Indian banks.

HCL designs and launches Unix- based computers and HCL PC clones.

HCL promotes 3rd party PC applications nationally.

1986

Zonal offices of banks and general insurance companies adopt computerization.

Purchase specifications demand the availability of RDBMS products on the supplied solution

(Unify, Oracle). HCL arranges for such products to be ported to its platform.

HCL assists customers to migrate from flat-file based systems to RDBMS.

1991

HCL enters into a joint venture with Hewlett Packard.

HP assists HCL to introduce new services: Systems Integration, IT consulting, packaged

support services (basic line, tramline).

HCL establishes a Response Center for HP products, which is connected to the HP Response

Center in Singapore.

There is a vertical segment focus on Telecom, Manufacturing and Financial Services.

1994

HCL acquires and executes the first offshore project from HCL Thailand.

HCL sets up core group to define software development methodologies.

1995

Starts execution of Information System Planning projects.

Execution projects for Germany and Australia

Begins Help desk services.

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1996

Sets up the STP (Software Technology Park) at Chennai to execute software projects for

international customers.

Becomes national integration partner for SAP.

1997

Kolkata and Noida STPs set up.

HCL buys back HP stake in HCL Hewlett Packard.

1998

Chennai and Combater development facilities get ISO 9001 certification.

1999

Acquires and sets up fully owned subsidiaries in USA and UK.

Sets up fully owned subsidiary in Australia.

HCL ties up with Broad vision as an integration partner.

2000

Sets up fully owned subsidiary in Australia.

Chennai and Combater development facilities get SEI Level 4 certification.

Bags Award for Top PC Vendor in India.

Becomes the 1st IT Company to be recommended for latest version of ISO 9001: 2000.

Bags MAIT's Award for Business Excellence.

Rated as No. 1 IT Group in India.

2001

Launched Pentium IV PCs at below Rs. 40,000.

IDC rated HCL Info systems as No. 1 Desktop PC Company of 2001.2002

Declared as Top PC Vendor by Dataquest.

HCL Info systems & Sun Microsystems enter into a Enterprise Distribution Agreement.

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Realigns businesses, increasing focus on domestic IT, Communications & Imaging products,

solutions & related services.

2003

Became the first vendor to register sales of 50,000 PCs in a quarter.

First Indian company to be numerous undo in the commercial PC market .

Enters into partnership with AMD.

Launched Home PC for Rs. 19,999.

HCL Info systems' Info Structure Services Division received ISO 9001:2000 certification.

Launches Infiniti Mobile Desktops on Intel Platform.

Launched Infiniti PCs, Workstations & Servers on AMD platform.

2004

Ist announces PC price cut in India, post duty reduction, offers Ezeebee at Rs. 17990.

IDC India-DQ Customer Satisfaction Audit rates HCL as No. 1 Brand in Desktop PCs.

Maintains No. 1 position in the Desktop PC segment for year 2003.

Enters into partnership with Port Wise to support & distribute security & VPN solutions in

India.

Partners with Microsoft & Intel to launch Beanstalk Neo PC.

Becomes the 1 st company to cross 1 lac unit milestone in the Indian Desktop PC market

Partners with Union Bank to make PCs more affordable, introduces lowest ever EMI for PC in

India.

Launched RP2 systems to overcome power problem for PC users.

Registers a market share of 13.7% to become No. 1 Desktop PC company for year 2004.

Crosses the landmark of $ 1 billion in revenue in just nine months.

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CHAIRMAN & CEO'S PROFILE

Ajai Chowdhry

Chairman and CEO, HCL Infosystems Ltd.An engineer by training, Ajai Chowdhry is one of the six founder members of HCL, India's premier IT

enterprise. HCL, a start-up in 1976, touched Rs.11, 000 crores for the last 12 months.

Ajai Chowdhry took over the reins of HCL Infosystems, the flagship company of the group, as

President and CEO in 1994. He was appointed the Chairman of HCL Infosystems in November 1999.

Under his stewardship, the company's turnover has grown to Rs.7783.6 crores in 2004-05 from

Rs.400.6 crores in 1994. With employee strength of over 3600, it has emerged as country's leadinginformation-enabling powerhouse.

Ajai has been a key force in driving the growth of HCL Infosystems. The credit of setting up HCL's

overseas operations, starting with Singapore in 1980, goes to him. During this tenure he extensively

covered South Asian Markets including Malaysia, Thailand, Hong Kong, Indonesia, and the People's

Republic of China, expanding business operations, which paved the way towards enhancing HCL's

core competencies in bringing the best international technologies to domestic market.

Driving the thrust on IT, Telecom and Imaging, Ajai perceives the role of his company as that of

enabling information. Credited with providing momentum to key IT phenomena - within the company

as well as in the industry - he has constantly added newer and cutting edge technology skills to the

company's portfolio. Under his leadership, several new projects have been undertaken in the company

that have had a lasting impact - getting into IT retailing, spearheading the company wide Quality

movement, and the very recent low cost PC initiative and IT for masses are some examples. An

absolute stickler for customer focus, he himself spends significant time, personally listening to

customers.

Ajai sensed an emerging opportunity early in telecom and imaging category and today HCL

Infosystems is poised to exploit this opportunity to offer a richer bouquet to its customers.

It is a recognition of his visionary status that Ajai was part of the IT Hardware Task Force, set up by the

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Prime Minister of India to give shape to the country's IT strategy. Ajai has repeatedly championed the

cause of improving PC penetration in the country. He has worked closely with many Government

bodies to take IT for masses agenda forward. Presently he is part of several government committees to

take forward the course of IT and Hardware in India. He was awarded with 'IT Man of the Year' by The

Skoch Consultancy and 'Best IT Man of the Year' by The Foundation of Indian Industry andEconomists. Ajai also addressed CII's flagship hardware event 'India e-Hardware Summit 2004' at

Hyderabad as a keynote speaker recently.Ajai has a bachelor's degree in electronics and communication

engineering, and attended the Executive Program at the School of Business Administration at the

University of Michigan, US.Ajai is an avid reader and is fond of Jazz and the fine arts. He and his wife

Gita live in New Delhi .

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ABOUT THE PRODUCTS

Business PCs

HCL recommends Microsoft Windows XP Professional for Business support.htm

The marketplace is constantly changing in terms of consumers, competition and strategies to

garner market share. Almost all aspects of your business are ever evolving. The only change over the

past few years is that the pace of change has accelerated! In fact, it is increasing even as you read this.

Information Technology (IT) changes accordingly, perhaps even faster. What is vital is that the

decisions you make today need to have the capacity to address situations for at least the next three

years and the changes that are commercial desktop segment in India, ahead of competition. Infiniti is

the only brand in Indian IT that offers you bound to occur in that time.

Infiniti is the market leader in Remote Support for Software, an innovative support mechanism

that is end-user friendly and extremely efficient in problem resolution, saving you time and

opportunity.

We, at Infiniti Product Development recognize this need as the key to success for you, and for

us. Infiniti, backed by direct selling and built-to-order, ISO 9001 & ISO 14001 manufacturing, ensures

that you get the best available product at the time of delivery, rather than at the time of order.

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This Technology First brand features the latest innovations in Central Processing Unit (CPU)

design, graphics design, display design, I/O advancement and a host of other technologies that have

made Infiniti the number one corporate PC brand in India.

Home PCs HCL recommends Microsoft Windows XP Professional

support.htm support.htmThe all-new Beanstalk Series, where performance is rivaled only with elegance of design. You

get superior technology and great value for money, all fused into one. It comes with the super-speed

Intel processor, plus SD RAM and Ultra ATA Hard Disk that gives it incredible speed.

What's more, it is upgrade friendly and so virtually future-proof. Manufactured at HCL Info

systems' state-of-the-art ISO 9001 certified plant, it is designed to outperform every other Home

Computer you have ever

seen or heard about. And with more than 250 Support providers across the country, its widespread

network ensures excellence in Customer Care. So go ahead and enjoy the wonder that is HCL

Beanstalk, and watch, it will

amaze you for years to come.

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It is faster than the fastest home computer. The HCL Beanstalk comes equipped with the

lightening fast Intel Pentium 4 processor which means you can now get mind blowing multimedia

performance from your computer. With its high performance processor, it brings you the internet like

no other computer can. So get ready to experience 3D graphics, virtual reality and realistic audio-video,

like never before.The HCL Beanstalk with Intel Pentium 4 processor. the center of your digital world is

designed to meet not just your today's computing requirements, but also the needs of your future. So

bring home the HCL Beanstalk today and stay ahead of the rest of the world

HCL launches the New Beanstalk Media Center PCs. Digital Home Entertainment now at the

touch of a button with a full feature remote. Check it out!

The new Toshiba Protg A100 that lets you enhance your mobile lifestyle with its attractive

Pearl White Design and Intel Centurion mobile technology. Check it out!

The new range of HCL Home PCs with futuristic technology, amazing performance at

unbelievably attractive prices.

HCL offers Toshibas complete range of Mobile Computing Solutions, the ultimate in style and

performance.

The HCL Busy bee range of PCs offers performance, with maximum returns for your Business.

Home | Legal Notice | Contact.

The most affordablequalityPC

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Finally a quality, branded PC that was affordable. The launch of HCL ezeebee, revolutionized the

Indian PC market. A quality of PC available at just rupees 399/- per month. The advantage of owning

an HCLezeebee is its quality and reliable after sales service. HCL with its service location all across the

state and country offers customers the comfort of trouble free operation of its system, where ever they

may be. All the component used in HCL ezeebee are selected from the best manufactures in the worldand are tasted tomake sure they work in tropical climates.

HCL Busybee

Indias largest installed business PCs

A computer system designed and configured to meet the required business computing needs.

Everything with a value-loaded package that can only be made by HCL.HCL Busybee is manufactured

in HCLs state-of-art ISO 9001 certified plant. NO wonder, HCL busybee has emerged as Indias largest

installed business PCs.]

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Digital music player

Neopod is a digital music player that offers a whole new dimension of usefulness in the category of

personal entertainment device. This sleek, compact device, not only stores thousands of titles and plays

great music;but can also be used as a pocket hard drive for PC file backup, as a digital photo storage for

digital camera, as a voice recorder and as a digital FM radio.

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HCL Ezeebee

Notebook computer Experience mobility. Experience flexibility. Experience performance. With HCL Ezeebee notebooks.

Backed by the reliable HCL technology, these notebooks are designed to impress. Sharp resolution for

high quality images, integrated speakers and superior graphics make HCL ezeebee notebook the perfectchoice to meet all your business and communication needs. sleek, smart and lightweight. Thats HCL

ezeebee notebook for you.

HCL Beepos

Expanding business opportunities

HCL Beepos is a readily installed user-friendly application to provide the end user the power of

POS.This product is designed for ruggedness, security and reliability. Beepos supports wide range of

peripherals CCD Barcode scanner, Laser Barcode scanner, customer pole display, thermal printer,

programmable keyboard, etc.Beepos supports programmable keyboard which can be customized as per

user requirement.

GUIDING PRINCIPLES

VISION AND MISSION

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VISION STATEMENT

"Together we create the enterprises of tomorrow".

MISSION STATEMENT

"To provide world-class information technology solutions and services to enable our customers

to serve their customers better".

QUALITY POLICY

"We deliver defect-free products, services and solutions to meet the requirements of our

external and internal customers, the first time, every time".

India a Global HCL Super Power The Indian computer hardware industry has growing at a rate of over 30 per cent annually for

the past few years and this pace is expected to be maintained until 2005.

As the first table above shows, domestic manufacture has been increasing, but so also have

imports. The locally manufactured computers cater to low-end applications while the imported

computers continue to facilitate CAD, CAM, CASE, multi-media, and other high-end applications.

Indian computer hardware and peripherals industry segments are dominated by U.S. joint

ventures and suppliers. HCL in collaboration with Tatas, Hewlett Packard in association with HCLLimited, Digital Equipment Corporation with Hinditron Group, Silicon Graphics with Tatas, (just to

mention four major joint ventures) manufacture computer hardware for the domestic and export

markets. Compaq, Silicon Graphics, and Dell have opened offices to sell their computers in India.

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Sun Microsystems and Apple distribute their products through Wipro Information Technology

Limited.

Most business firms in India have not computerised. Many of those who have, still use

outdated products such as dot-matrix printers instead of laser and ink-jet printers.

As more and more international companies set up office in India, the demand for hardwarewill increase.

The growing awareness of the case to shed fat in the public sector will call for more

automated operations; this too will generate demand for computers.

The prospects for both exports to, and investment in, this sector are excellent.

we wait for the market to grow to high volumes that justify creating a manufacturing base in India, or

should we just kick-start manufacturing so that prices then come down and thereby create volumes?

The debate has raged on long enough and no consensus seems to be emerging. Rather, things took aturn for the worse with recent years witnessing a perceptible decline in manufacturing activity.

Therefore, when a recent MAIT study, conducted jointly with Big Five firm Ernst & Young, concluded

that the Indian hardware industry had the potential to reach a size of $62 billion by 2010, it not only

raised many an eyebrow, but derisive laughter from skeptics.

Sample some salient conclusions of the study which paint a rosy future for India Hardware Inc: By

2010, the Indian hardware industry has the potential to grow to twelve times its existing market size,

with the domestic market accounting for $37 billion and exports accounting for another $37 billion.

The study has identified major export opportunities in the areas of innovative new devices, contract

manufacturing and design services. The study says that component exports offers an opportunity worth

$5 billion, while that of design and related services in embedded systems and wireless

telecommunication services can bring in another $7 billion by 2010. Further, ambitious projections

have been made in the area of contract manufacturing, which represents a $11 billion opportunity if

India succeeds in capturing a share of only 2.2 percent of the global pie by 2010.

Though the rosy projections look good on paper, is this growth really possible? Sceptics deride the

study as an attempt by the hardware industry to copy its software counterpart, which has been tom-tomming Nasscom and McKinseys projection of $87 billion in software revenues by 2008. MAIT

officials are however quite upbeat. Says Vinay Deshpande, president of MAIT, There are four key

steps which we need to take to make India a manufacturing-friendly country. Firstly, market India as a

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hardware destination and build a brand akin to software. Making India manufacturing-friendly through

improvements in infrastructure and logistics should follow this.

Chapter 4

Literature Review

MARKETING STRATEGY

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Marketing Strategy is nothing but a combination of decision bearing on a various aspect of

marketing mix element. There are Product, Price, Place, Promotion, Process, Packaging and Personal.

HCL concentrate on all aspects, thats why HCL has very good hold on Indian market. It understands

the mindset of Indian customer very well because of it is a India based company. Strategy only then

success when it made to according to customer need and preference.So an overview of marketing strategies, which HCL uses to continue its way behind success, is

discussed here.

1. For product planning:

[a] HCL take decision their existing product along with future products. This is the continuous

process, which is done by top management of HCL.

[b] Then they research the product by research department. Research & Development Department.

[c] New product launching and product renovations is an activity which takes place continuously

here.

2. Management Information System

In this step they collect the details about competitors product. They saw the pricing, features,

quality, Advertisement, Packaging, and Promotion of those particular products. It is necessary to have agood Information system to understand the consumer mind batter.

Market Segmentation

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We know that market segmentation means dividing market into distinct group of buyers with

deferent needs characteristic is or behavior. Who might require separate product or marketing mixes?

It refers to large heterogeneous market in to with smaller homogeneous parts in order to select

any one out than in which the company thinks it can satisfy customer more effectively different productfor different segmentation. There are different classes people are living HCL, like....

1. Lower middle class

2. Middle class family

3. Upper middle class family

4. Higher class family

5. For larger the target is fulfill by the help of advertisement and Promotional Events.

Now HCL is targeting to those customers who use to see dream about it by launching its

new Computer at just Rs. 9999.

PRICING POLICIES

Price refers to the value of product attributes. Expressed in monetary terms with a customer

plays or is accepted or affords utility. Value is referring to the quantitative aspect product relative to

other product. In HCL, pricing policies of work like as under 28


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1. Management Information System First MIS show the price of competitors.

2. Parallel pricing policy

1* Bundle, marketing2* Profit margin

They give to Channel Partner/demo center 6-8%, And company gets X% profit. HCLs main objective

is service rather then profit. No doubt there is profit but pricing policy just to meet minimum margin

for getting competitive advantage against assemblers market.

Company wants to maximize its profit than unit establishes higher policy its organization wants

to cover the large part of the market than obligation may establish negligible profit policy. HCL

believes in wealth maximization rather than profit maximization.

Sales Promotion

We know those sales promotion short-term incentives to encourage purchase or sales of productand services. Sales promotion includes

3* Consumer Promotion

4* Trade Promotion

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5* Sales Force Promotion

Sales promotion refers to all efforts made by the firm to promote the sales of products. In HCL

for sales promotion gave special offer

6* To end-users7* To institution

8* To corporate houses

Total expenses HCL use to spend on promotional activities is just 3% of the sale.

Advertising Sales Promotion

(2% of sales) (1% of sales)

Press T.V. Radio out Door

30% 35% 10% 25%

Among all tools of promotion advertisement is given prime importance by HCL. That can

be seen from the above chart that more stress put on the Television Press and Outdoor media of

advertisement.

Made-in-India strategy works for HCL

Even as everyone was all set to bury Indian PC brands, HCL Insys came out with a stellar performance

last year that proved that Indian brands still had the ability to win on home turf. Theres a lot that other

Indian players could learn from HCL Insys strategy in PCs and other segments. Gaurav Patra explains

what this IT major got right, and analyses future prospects in the light of shifting trends in the business

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Just when the whole PC industry was in the throes of a recession and analysts were screaming negative

growth rates, HCL Infosystems surprised quite a few when it registered a 27 percent growth rate over

the last year. The company gained the No 1 PC desktop vendor ranking for the year 2001, with a

market share of 8.6 percent. In fact, today it is one of the few Indian brands that continue to hold their

own against the MNC brigadeZeniths the only other name that comes to mind. From a company thatused to sell boxes, HCL Insys has now emerged as a leading systems integrator, selling solutions, while

also offering IT services and consulting services.

The HP-Compaq merger could turn out to be an advantage for HCL because one-plus-one never equals

two in this business

It is interesting to trace the transformation of a company that was earlier identified by the hardware

tag to an end-to-end solutions provider, with interests across domains such as software, networking

and consulting. A look at the strategy followed by HCL Insys throws interesting pointers for the rest of

the industry. The number one tag on the PC front (with the HP-Compaq deal, HCL goes back to No 2

now) has come as a result of clever marketing strategies, and aggressive expansions. HCL has always

been very strong on the government front. But when things started going bad on other frontsfor

instance, when the metros were showing stagnation rates, HCL Insys went ahead and expanded

aggressively in B&C class cities to boost volumes. In addition, the company initiated schemes like

consumer finance to lure the reluctant PC buyer.

Different strategies for different segmentsBut the strategy to gain market share in difficult times and reap benefits when the industry recovers has

come at a cost. For instance, industry analysts say that HCL has given massive discounts in the

products business to gain market share. Evidence lies in the fourth quarter (AMJ 2002) performance of the company, where though the products and related services business contributed 95 percent of sales at

Rs 382.94 crore, profits before interest and tax stood at just Rs 7.24 crore56 percent of total profits

before interest and tax (PBIT). The profit before interest and tax margins were dismal at 1.9 percent as

compared to 4.4 percent during the quarter ended March 2002.

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In addition to the PC segment, the company also took several innovative initiatives in other sectors to

boost revenues. Take for instance the strategy of the company in the notebooks segment. The move to

enter newer segments like education and consulting in the notebooks business has yielded great results.

Proof of success lies in the fact that HCL Insys has already bagged big orders from the Indian School of

Business and PricewaterhouseCoopers. The second part of the notebooks strategy has been toaggressively woo the SME segment with newer, cost-effective models.

The telecom business has also recorded impressive growth. For instance, the company bagged telecom

equipment orders from IIT Kanpur for 5,000 lines of MD Ericsson EPBAX and 500 lines of an ADSL

solution. Looking at the robust growth from this segment, the company has set up the India remote

support centre for providing support services to all HCL Infosystems customers.

And while there have been doubts on the long term viability of the retail ISP business, HCL Infinet, the

fully-owned subsidiary of HCL Infosystems, is betting big on its technical expertise to boost revenues.

Positive indications can be seen in the fact that the subsidiary has acquired 30 new corporate clients for

VPN implementation.

These new clients come from different verticals such as manufacturing, finance and the FMCG

industry. Company officials are also betting on the VoIP segment, which has recently been opened up to

ISPs for Net telephony, but there is still doubt on whether this sector will generate enough volumes for

any ISP, leave alone HCL Infinet.

To take advantage of the boom in the call centre business, the company has also started a unit that itterms as call centre consulting. Under this initiative, the company will help prospective clients

wanting to enter the call centre business with its knowledge base of hardware and systems integration,

and experience in call centre operations itself.

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Software services

Though the majority of HCL Insys revenues continue to come from hardware sales and related

services, the relatively small software services portion could be a surprise packet for the future. For

instance, though the software services part contributed just 5 percent of sales, margins have zoomed

from 6.5 percent in the quarter ended March 2002, to 29.4 percent in the quarter ended June 2002. The

company has a good de-risking model through this segment, and has spread its business over different

geographies. Going forward, the company expects 40 percent of revenues coming from the domestic

and export services, about 30 percent from products and system integration and about 30 percent from

software exports.

Other strategies

In line with offering competitive pricing keeping in mind the price-sensitive nature of the Indian

market, HCL Insys has made significant investments in the Professional Services Organisation (PSO),

the Support Services Organisation (SSO) and in its manufacturing plants at Noida and Pondicherry. The

build-up of the services business (both PSO and SSO) enables HCL Insys to offer complete solutions as

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well as raise manufacturing volumes in line with international standards. The increasing focus on

integrated enterprise solutions has also strengthened HCL Infosystems SSOs capabilities in supporting

installation types ranging from single to large, multi-location orders. The SSO, which comprises of a

direct support force of over 800 members, is operational at 150 locations across the country and is the

largest such force in the IT business.One more important arm in HCL Insys strategy has been the Frontline division that markets national

and international brands of computer systems (including Toshiba notebooks) and peripherals within the

country. With its extensive network of 800 resellers across 300 cities, the division actively promotes the

penetration of PCs in the home and the small office/home office (SOHO) segments.

HCL drives 'PC IN EVERY HOME' dream with

EzeeBee Pride

For those who have been putting off their decision to buy a computer for affordability reasons, here's

some great news. Keeping its commitment to truly bring IT to the masses, HCL Infosystems, India's

premier information enabling and integration company, has broken the price barrier yet again, making branded PCs more affordable than ever before. The company has announced the launch of a new PC

EzeeBee Pride that will be available at a very affordable price of Rs.12,990.

Positioned as 'value for money' range, EzeeBee is the result of the company's intense efforts, led by the

vision of Chairman & CEO Ajai Chowdhry, to make PC an affordable entity for the masses. With a

distribution focus on smaller towns as well as the Home and SOHO users, this path breaking PC will be

sold in all the HCL outlets across the country. The product comes with the quality and support of HCL,

the only Indian IT hardware company with a turnover in excess of USD 1.38 billion.

To ensure that high quality is maintained even at a low cost, the EzeeBee Pride PC is designed for high

performance. Built to boost productivity and improve response time EzeeBee Pride PC is powered by

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the 1Ghz processor. The multimedia and Internet capable PC comes with the standard one-year

warranty has a 30GB hard-disk, 128 MB RAM, 15" color monitor, CD ROM Drive and is backed by

the countrywide support network. The PC will be ideal for home users and SOHO segments, offering

all the functionalities sought by this segment.

"It is my ultimate dream to see a computer in every Indian home. With EzeeBee, we hope to empower

more and more individuals with the power of computing. We believe that the true potential of IT can be

achieved only through mass IT penetration. In a country like ours, price is a huge deciding factor and

one of the major barriers to achieving it." said Mr. Ajai Chowdhry, Chairman and CEO, HCL

Infosystems Ltd. "We have taken the lead in finding innovative ways to bring the price down by

introducing new technologies and products that we believe will not only best suit the requirements of

the home and SOHO segment, but also go easy on their pockets,".

The EzeeBee range has been designed and configured for use by value conscience first time users who

want to enhance their IT skills. It can be used by students for educational purposes, by the entire family

from learning to digital entertainment to work at home. It can even be utilized for increasing efficiency

in a small to medium business. Flaunting the trademark good looks of the range, the PCs also come

with optional bundles like the inkjet printer, UPS, speakers and web cams at an additional cost.

The range is manufactured and tested under ISO 9001 and ISO14001 certified processes. In January'04,

HCL Infosystems had launched Ezeebee at sub 15k price point HCL Infosystems is country's numerouno PC maker and seller.

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HCL Infosystems and Union Bank partner to

make PCs more affordable. Lowest ever

EMI in India: Rs.499 for HCL Ezeebee

In a country where only 11 out of 1,000 people own a computer, one of the key influencers is

affordability. HCL Infosystems, India's premier information enabling company, and the Union Bank of

India recently entered into a partnership that will make it extremely easy to fit a personal computer into

the monthly family budget. A HCL Ezeebee PC will now be available at an EMI of only Rs 499 per

month. This offer is available on an Ezeebee with Pentium 4 and Intel's Hyper Threading Technology.

Speaking on the occasion, Mr Ajai Chowdhry, Chairman & CEO, HCL Infosystems, said, "It is our

ultimate dream to see a computer in every Indian home. I am confident the offer introduced today will

go a long way in making this endeavour successful. If it is the cost of acquisition of a personal

computer that stops an Indian from owning a computer, then HCL has taken the responsibility of

providing the best financial deal possible, thereby empowering more and more consumers with the

power of computing".

This premium branded PC at Rs 499 per month is targeted at making the PC an affordable commodity

in Indian homes. A quality PC backed by an impressive customer support available across the country

is another step from HCL Infosystems in increasing PC penetration in the country. A wide reaching

multi-media campaign is being released to inform about this new initiative.

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The interest rate on this scheme has been kept to the lowest possible rate that compares to that of

typical consumer goods. This scheme has a host of other models with different configurations

available, thereby giving consumers a wide option to choose from.

Recent research has indicated that PC ownership can help a family in many ways. Prime reason being

the child's education, thus giving the child a diverse learning experience irrespective of city .HCL

Ezeebee can be used by all members of the family, from learning to digital entertainment to Internet to

work at home.

HCL Infosystems recently broke the Rs 15,000 price barrier by introducing the Ezeebee. HCL Ezeebee

has been created specifically to cater to the needs of first time Home PC buyer. With cutting edge

technology and ease of use features, this brand has found wide acceptance with the consumers across

the country.

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HCL partners with Microsoft & Intel to

revolutionize digital entertainment in IndiaImagine the ultimate device that caters to all your entertainment needs. Visualize a TV, DVD, MP3

player, radio, gaming tool, web browser, video recorder all rolled into one. Envisage having the world

of home entertainment at your fingertips. Fantasy? Not if you experience the revolution that is

Beanstalk Neo.

The Beanstalk Neo, launched today by HCL Infosystems, India's premier information enabling and

integration company, promises to change the world of home entertainment for the Indian user. The

Beanstalk Neo has been specially developed by HCL Infosystems, utilizing the latest Microsoft

Windows XP Media Center Operating System and Intel's Hyper Threading technology. This latest

product from the HCL stable is available across the country through the company's channel network.

The Beanstalk Neo is a true convergence product with an unbeatable blend of futuristic style and

pioneering technology. The first thing that sets it apart are the stunning good looks, enhanced by a sleek

finish and a 17 inch flat LCD display system for that superb cinematic experience. An integrated digital

entertainment system which includes a LCD TV, DVD player, MP3 / CD player with a surround sound

system, live radio and television, wireless and broadband ready, the Neo comes with the convenience of

remote control so that you are not required to learn any controls or interfaces. The HCL Beanstalk Neo

is available at Rs 99,990/-, and comes with a one-year comprehensive on-site warranty.

Announcing the launch of the Beanstalk Neo, Mr Ajai Chowdhry, Chairman & CEO, HCL Infosystems

Ltd., said, "The Beanstalk Neo, without any exaggeration, will completely transform digital

entertainment for the Indian user. The Beanstalk range, ever since its advent in 1995, has always

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brought the best of breed technology to the Indian consumer and kept him in-step with the latest

innovations worldwide. We see a trend today where the user wants a multi-functional product

combined with ease of use.

The Neo has been designed keeping the requirement of today's demanding consumer in mind.

Concisely put, the Neo is not just a new PC, it is a revolution."

Commenting on the announcement, Mr Rajiv Kaul, Managing Director, Microsoft Corporation Pvt.

Ltd, said, "The proliferation of various technology products and services, has complicated the life of

the consumer - and they are demanding simplicity, ease of use and holistic offerings that just work. The

Windows XP Media Center Edition 2004 is a great example of integrating software, hardware and

services to create simple and compelling entertainment experiences that enhance the lives of our users,

everydayBuilt from the ground up to deliver the picture and sound quality you expect from a digital

entertainment center, the Beanstalk Neo lets you use one unified interface

Pause and rewind live TV and radio so you never miss a moment

Record an entire TV series or genre and watch shows at your convenience

Experience your digital photos, videos, and DVDs with friends and family

Put your world of music at your fingertips with an amazing jukebox

Get connected to a world of digital movies, music, and more - at your convenience

The HCL Beanstalk Media Center PC comes with a 17 inch integrated high-resolution, anti-glare flatLCD monitor, with 1280 x 768 support - 16:9 aspect ratio. Among the features that make it the ideal,

easy to use entertainment powerhouse are a wireless keyboard and mouse, built-in TV tuner, DVD and

CD player/recorder, MP3 capability, an FM radio, gaming tools, a photo editor and a web browser. The

Beanstalk Neo can also create, edit, store and screen digital home movies and photos.

The Beanstalk Neois equipped with an Intel Pentium IV 2.8 GHz with Hyper-Threading

technology, 800 MHz FSB and Windows XP Media Center Edition 2004 operating software, the most

advanced OS for PCs in the Home segment.

In addition to its multi-media features, this innovative Beanstalk PC offers the 'dream pack' with 5

Microsoft games; Microsoft works 7, as well as 100 songs, 5 movies and 10 karaoke.

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A STRATEGIC ALLIANCE WITH BULL TO

LAUNCH A NEW RANGE OF SCALABLE

ENTERPRISE CLASS SERVERS ON OPEN

ARCHITECTURE

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HCL, India's premier information enabling company, today announced a strategic alliance with Bull, a

leading Europe based company, to launch HCL scalable Enterprise Class Servers on Open Architecture.

The new HCL servers will provide customers the proven capability and mainframe-class reliability of

the traditional proprietary RISC platforms on Open Architecture at a much lower total cost of

ownership.

"The biggest challenge at the core of the enterprise has always been to gain the performance, headroom

and reliability of high-end 64-bit computing, without the high cost and complexity of proprietary RISC

architecture." said George Paul, Executive Vice President - Marketing at HCL "This partnership will

allow us to offer our customer a complete range of solutions for the Core of the Enterprise on Open

Architecture and help them move beyond proprietary RISC platforms."

Today enterprises are looking to break free from the barriers of proprietary RISC platforms and now

with more than 5000 validated applications available on Itanium both on windows and linux,

enterprises finally have enlarged options.

The partnership will enable HCL to address high-end requirements of its customers for the core of the

enterprise, in areas such as large-scale databases, ERP applications, Data centres, High Performance

Computing requirements of Scientific and Research Segment etc. It will enable Bull to expand the

geographical market reach of its technologies, establishing its presence through HCL's extensivenetwork of over 170 offices and 300 service centres spread across the country.

The new range is based on Bull's NovaScale servers, powered by Intel Itanium 2 processors and

Bull's FAME (Flexible Architecture for Multiple Environments) technology. Using market-standard

building blocks, the FAME architecture represents a technological breakthrough for high-end, mission-

critical servers, delivering significant improvements in price/performance.

This launch further strengthens HCL's Infiniti Global Line Servers, which has fast emerged as a

preferred brand amongst a cross-section of markets in India including Manufacturing, Telecom,

Finance and Banking, the Government, Defence Forces and Internet Service Providers.

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Notably, HCL has shown phenomenal growth in server segment by registering a market share of 19.6%

for calendar year 2005. This launch is yet another demonstration of the company's strong focus on the

Server Business and its commitment towards the Indian Customers by providing the right technology,

at the right time, and at the right price point.

While in Delhi and commenting on the announcement, Michel Lepert, Executive Vice President and

General Manager of the Products and Systems Division at Bull, said: "India is a high-growth market

with a strong interest in new technologies such as the ones built into our NovaScale servers. We are

totally committed to supporting HCL, and given the work that we have already done together to move

the partnership forward we are confident that HCL customers will immediately benefit from very

competitive high-end solutions".

Mr Surendra Arora, Director - Customer Solutions Group, South Asia, Intel said - 'Intel has worked

with the industry over the last six years to develop a rich eco-system of highly scalable and open

standard solutions. We have a large number of OEM's, operating systems and 5000 applications

running Intel Itanium processor family-based platforms. We are now very pleased to collaborate

with HCL Infosystems and Bull, a member of the Itanium(r) Solutions Alliance, to enable the Indian IT

customers with mission critical computing needs to benefit from the outstanding performance,

reliability, scalability and availability delivered by Itanium(r)-based systems.'

To share the benefits enterprises can derive from this union, HCL, Intel & Bull, have jointly organised

exclusive seminars in Delhi, Bangalore & Mumbai for CIOs this week.

Bull NovaScale servers have gained IT market recognition and won large customers, both end-user

IT organizations and OEMs. They are used notably as data base servers and application servers as well

as in HPC (High Performance Computing) applications. A prime example: NovaScale servers are the

foundation of the largest scientific computer ever delivered in Europe, which is currently under

installation and will be operational by the end of 2005.

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Customer gains

Why would a company opt for RIM, rather than total IMS or even just manage its infrastructure in-

house?

The most obvious reason is the cost advantage, of course. Industry estimates place the benefits due to

cost arbitrage at between 30 and 50 per cent. Nasscom's Mehta draws a comparison: "For EDS andglobal giants, it used to be more a game of credit rating arbitrage. Since EDS had high penetration into

many of its customers, it was profitable for it to take over the IT assets of clients. Now, with RIM

players in this space, the credit rating of traditional outsourcers has completely deteriorated. They are

no longer competitive in this space."

Further, according to Forrester, IT budgets have seen no more than 1-2 per cent increase in the past few

years. Thus, CIOs look upon outsourcing as one of the way of stretching the budget. IT infrastructure is

one of the areas where they haven't been able to derive much benefit and RIM provides them that

scope.

Says Priti Rao, vice president and head, Pune Development Center, Infosys Technologies,

"Transparency is a big advantage. The services are easily measurable and transparent to the customer.

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There is no question of charging less or more. They see what they get and, thus, they know what we

charge."

The SLAs can now be dramatically improved - because the client is now aware of all the processes and

methodologies, and has the tools to monitor fucntions to drive better SLAs.

Integrated monitoring and management tools and advanced correlation tools RIM offer can helpanticipate a problem before the user brings it up, and resolve the problems in a faster, structured

manner, reducing business losses due to IT downtime.

Unlike in in-house management where employees work only on single shift, RIM vendors monitor

infrastructure performance 24x7x365. This helps do away with the costs a delay inevitably brings,

since the vendors work across different time zones and can fix problems before the next working day

begins.

It also offer customers multiple avenues to reduce costs through headcount reduction by elimination of

under-utilised resources, leveraging operations improvements from working with multiple customers

and cross-pollination of best practices.

Often processes are not well defined when operations are managed in-house. By outsourcing

infrastructure management, clients can make sure that the vendor complies with the standard processes

followed by the industry. For instance, ITIL (IT Infrastructure Library) and IS07799 for security.

Says Nayyar, "the whole approach towards savings is quite interactive. In the software industry, the

arbitrage cost-savings doesn't impact the rest of the industry, Here, it affects everything the network

bandwidth, the data centre costs, all costs."

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COMPETITORSHP is a company unlike any other. We serve everyone from consumers to small and mid-sized

businesses to enterprises to public sector customers with an extensive portfolio of market-leadingsolutions specifically designed to meet the needs of each customer segment.Our annual R&D investment of $3.5 billion (USD) fuels the invention of products, solutions and newtechnologies. We produce an average of 11 patents a day worldwide. HP Labs provides a centralresearch function for the company which is focused on inventing new technologies to improve our customers' lives, change markets and create business opportunities.Millions of people around the world use HP technology every day. HP is:

the largest consumer IT company the world's largest SMB IT company a leading enterprise IT company

Our strategy is to offer products, services and solutions that are high tech, low cost and deliver the bestcustomer experience. Our team of 151,000 employees does business in more than 170 countries.Revenue reached $86.7 billion for the fiscal year that ended October 31, 2005. HP has a significant presence in all market we serve

Consumer leadership in handhelds, notebooks, printers and digital cameras for rewardingexperiences

Small and medium business market-leading products, solutions and services for simplifiedownership

Enterprise a full portfolio of leading products and services for building an AdaptiveEnterprise

Public sector, health & education experience and alliances for lower costs and increasedefficiencies.

Doing well by doing good

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HP is proud of our people, our standards and values, and our deep commitment to global citizenship.Since our first year in business in 1939, HP has given back to communities through philanthropicdonations of money, equipment and time.Today, we employ new models of engagement and new business and technology solutions to help more

people around the globe to participate in the world economy via information technology.Stanford University classmates Bill Hewlett and Dave Packard founded HP in 1939. The company's

first product, built in a Palo Alto garage, was an audio oscillatoran electronic test instrument used bysound engineers. One of HP's first customers was Walt Disney Studios, which purchased eightoscillators to develop and test an innovative sound system for the movie Fantasia.

Advertising then and now

Pioneering and Passionate: HCLs Tradition of Reaching Everyone in the MarketplaceHCL's new accessibility ad campaign focuses on what people can do, not what they cant. In one ad, aDeaf man hears the demands of his employees. In another, a blind woman sees changes in themarketplace.These ads continue HCLs legacy of award-winning advertising, which represents everyone in themarketplace whether Curtis Mayfield, a stroke victim using voice-recognition technology ( 1997 );

Joyce Massingill, a Black aerospace engineer ( 1969 ); or Carl Berman and Mitch Goldstone, a gaycouple who own a photo shop ( 1998).Passionate about diversityToday, representing the diversity of the marketplace is a strategic mission. "We're passionate andalmost maniacal in this regard," says Lisa Baird, vice president, Worldwide Integrated MarketingCommunications.

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To increase its business, HCL is focusing on newer segments, such as medium businesses andconstituency groups. How do you get the attention of constituency groups? You start by representingthem in your advertising."When people can see themselves in our advertising," Lisa adds, "they can connect with us." Castingads and conveying messages must hit the right note, however, to be effective. To ensure positive

portrayal of constituency groups, HCL recently developed casting guidelines for its ad agencies

worldwide.HCL also sponsors key community events, such as La Familia Technology Week during HispanicHeritage Month, Black Family Technology Awareness Week during African American History Month,and advertising in Gay, Lesbian, Bisexual and Transgender (GLBT) journals during Gay Pride Month."Advertising drives people to learn more," Lisa says. "For us, that means creating interest in our solutions, products and leadership message."

Recognizing subtle differencesWhen it comes to marketing to constituency-owned businesses such as women, Asian, Black, Hispanicand Native American businesses, HCL applies the same go-to-market strategies as it does for any

business reaching out through business partners, employing a 1-800 number or HCL.com .Within a specific constituency market, HCL first identifies which businesses make the most sense toconnect with. Then, the HCL determines the most efficient way to reach each of them whether through individualized marketing or a creative combination of HCL's go-to-market strategies.HCL business partners then help in generating demand and selling HCL solutions to businesses. For example, Esource Systems and Integration, Inc., an HCL-authorized business partner based inHuntersville, North Carolina, sells HCL solutions which contain HCL software and hardware products.This business partner provides technology solutions for government agencies and commercialcustomers to solve business problems.HCL also enters the business community through professional associations and organizations. Suchgroups generate interest in HCL and may even help HCL identify new business partners. By sponsoringand participating with them, HCL is able to communicate its message of value to the member

businesses."We're saying, in effect, to our constituency customers, 'We know you're out there and we want to work with you to make your businesses more profitable and productive,'" says Rai Cockfield, vice president,Market Development. His group is responsible for marketing to businesses owned by women, Asians,Blacks, Hispanics and Native Americans.

While focusing on small- and medium-sized businesses, marketing to constituencies is all about building relationships. By working with business partners and owners, HCL demonstrates it speaks acommunity's language and recognizes its culture. HCL then closes the equation by helping businessesunderstand how they can reach their potential.Finding out each segment's needs requires a willingness to break with old assumptions and "go placeswhere you don't usually go." While acknowledging that everyone in a segment is not the same, it's

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necessary to recognize "subtle differences" that exist between constituencies such as one being more"relationship-oriented" or "techno-savvy."Even so, Rai maintains all people prior to a purchase ask, "Does this product or service meet my need?Is the company reputable? And is the price reasonable?" Today, he adds a more pressing question, "Areyou reaching me in the way that I see myself?'"That's what endears a person to a company and a product," he says.

Opening the apertureImagine the ability to access information anywhere computing without limits. That's what HCLresearchers call "pervasive computing and accessibility." They also have redefined accessibility tomean access to information for everyone," says Jani Byrne, formerly the worldwide businessdirector, Accessibility, HCL Research.HCL researchers are taking that notion of accessibility a step further: Imagine the ability to accessinformation anywhere computing without limits. That's what HCL researchers call "pervasivecomputing and accessibility."In a world of computing without a limits, a blind person could go to the refrigerator to cook food.Radio-frequency tags could instruct people how to prepare that meal, step-by-step. A teenager couldlearn to cook this way, or get help with homework.The mission of HCL's six Worldwide Accessibility Centers , launched in 2000, is to ensure all of HCL's3,000 plus products are accessible, and to bring the notion of access to everyone irrespective of abilityor disability to businesses around the world.While first focused on special needs, the Centers boldly decided to "open the aperture," Jani says, to

bring information technology to the masses, especially individuals with temporary disabilities, theaging community, as well as people with traditional forms of disability, such as hearing, vision,cognitive, mobility, and speech.The Centers now target businesses and government agencies with this broader, more inclusive

definition of accessibility. Developing technologies accessible by everyone whether disabled or temporarily abled solves many accessibility issues across the board. For example, researchersrealized that the general public always enjoys inventions designed for people with disabilities suchas close-captioned TV, sidewalk curb cuts and wide doorways."If you've tried to hear sports scores on a TV in a noisy restaurant, you've experienced the benefits of closed captioning," says Jani.

Another target is the aging global population. In the United State alone, the fastest growing segment of our society is people over 85. Furthermore, throughout our life span, each one of us will experiencesome form of disability...whether it's working with dyslexia during early educational years or facingcognitive impairment as we grow older.

Thanks to federal legislation, HCL is well-positioned: Producers of information technology who make products accessible will be favored for bids with the government a longtime HCL customer over those who do not. Even if a competitor offers a lower bid, the government must contract the producer of accessible products."This significant marketing strategy is central to HCL's leadership in the marketplace, explains Jani."Brand HCL is in the game and with the power of HCL Research, we're in a leadership position."

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HCL is sharing its vision of an accessible future through a robust public relations strategy, ads andevents which have already touched 31 million people. A multimedia experience depicting this futurewas launched at California University at Northridge (CSUN) last year and so well-received that theGovernor's Office asked that it be featured at a post-Oscar event."At HCL, we proudly believe in the technology leadership of our company, as evidenced by our unsurpassed patent activity for the past 10 years, says Jani. "Now we're leveling the playing field to

make information accessible to everyone."

Corporate Security Mission Strategy Security is a hot topic. It grabs the headlines. Lots of market research has been done and there are many

views of the information security market, yet by any measure the market is poised for substantial

growth. The information security opportunity is projected by IDC to grow from $4.5b in 1996 to

$13.5b in 2000, with a 31% CAGR.

Security is the enabler to e-business. HCL, along with its business partners has securitysolutions to help companies conduct business securely. HCL is serious about security and has astrategy to create a mindshare that HCL means I/T security. HCL has decades of experiencedesigning and implementing security systems around the world. Our customers want their

business systems to be secure. They want products and services based on open standards. Theywant an effective security management system and they want access to experienced

professionals for advice and assistance in implementing security products and services.Currently, no company can claim the depth and breadth of security offerings that HCL can,making security one of the biggest differentiators for the HCL brand. Many of these focus areas,

because they are "for the greater good" of HCL and not justifiable from within one division's budget alone, suffered significant budget cuts in 1997-1998. This adversely impacted our abilityto capture mind and market share as competitors have strengthened their positions by filling outtheir own security value nets through partnerships, mergers and acquisitions. The SecureWay

brand pulls the many aspects of security within the HCL company together. Current work underway to define security suites will further enable us to compete in this space.

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HCL offers the industry's most extensive and comprehensive portfolio of security products,solutions and services under the umbrella of the SecureWay brand. The offerings come from allthe divisions within HCL. The SecureWay brand is currently the security rallying point for go-to-market execution with work underway to redefine the brand and create a series of securitysuites.End to end security covers access from the end users desktop to backend systems. To get there

you often go through other networks, the Internet, servers etc. A security breakage can occur atany point. Security is only as strong as your weakest link, that is why we believe it is importantto address all aspects of computer security and why HCL is well positioned to be a leader in thisarea. Because security is so comprehensive and our customers are not security experts we mustoffer solutions that are understandable, usable and useful .. or they won't use them. Our customers expect HCL to provide leadership technologies to help make them leaders in their field.Security drives significant revenue and profit for HCL throughout the strategic horizon.Revenue is generated through uniquely identifiable security offerings (direct) and through

products whose sale is contingent on other HCL security offerings (indirect).Our strategy provides for this by grouping our offerings by I/T Security Consulting/Services,Technologies and Products and Solutions.Consulting and Services : Our worldwide I/T security consulting practice helps customersdetermine exactly what their security risks are...and then designs a security program to cover them using proven methodology that incorporates both business and technology requirements.HCL Security Services has the experience and expertise that can dramatically reduce risk andexposure in today's interconnected world. There was a recent announcement in March that

provides a series of security services under e-business.Technologies: Technology is key to making e-business real. Many new technologies have beeninvented to secure e-business and make it safe. Our research labs develop technology that has

been awarded the most U.S. patents of any company for five years running with a worldwide portfolio of more than 30,000 patents, 100 of those are in security.Products: Award winning research is only part of the puzzle, however. It is equally important toturn the best of this technology into products and solutions to help our customers compete moreeffectively in a fast-changing world. HCL has set the pace in this regard, offering the broadestrange of security solutions available from any vendor in the industry with continuous focus onsimplifying these solutions for our customers use. Unlike many other systems where security isan "add on", security is integrated into the heart of HCL's hardware and software products. Our software features specialized capabilities designed right into our operating systems, andnetwork and database management programs. Other tools include: Global Sign On, LDAPDirectory, SmartCards, Firewall, Virtual Private Network technology all part of eNetwork,

built-in security features in Lotus Notes and Tivoli management tools making security easy toadminister.Solutions: Our security strategy is built on a strong foundation. It begins with securityimbedded into our operating systems, hardware, software servers, middleware and clients, sosystem security can't be circumvented. It continues to the next layer of network securityaddressing administration, delivery and access of information across networked environments.And thirdly our strategy encompasses commerce applications or transactions involving securecredit card transactions, integrating with "middleware" applications and third party software.All three of these layers need to deal with the issues of authentication, data integrity, accesscontrol and non-repudiation offering our customer secure solutions. The list is long and

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impressive. When coupled with HCL I/T security consulting and the range of services providedas part of our SecureWay brand offerings, these tools provide the foundation for securing our customers information systems and networks.Enabling I/T security requires adherence to international standards - - standards reached not justthrough government imposition, but through global agreement. HCL fully supports the deliveryof open standards. We all want to operate in a world in which everybody's software runs on

everybody's hardware over everybody's network. Our strategy addresses working withgovernments around the world to support an unrestricted marketplace for security andencryption products that integrate globally.We provide security technology and contribute intellectual expertise to many standards groupssuch as Open Group, W3C, ISO and many other national and regional standards bodies aroundthe world. Our strategy is to lead in driving secure Internet-based computing by adopting,developing and promoting standards such as a PKIX reference implementation of the InternetEngineering Task Force (IETF) Public-Key Infrastructure (PKIX) which will promote astandard way to secure any and all applications with digital certificates. We lead the creation of the Key Recovery Alliance whose goal is to expedite the use of strong encryption. And havecontributed to many standards such as SET, IPSEC, Open Card, and Gold Standard to mention afew.To manage the corporate security within HCL, a security management system has been put in

place. It is a two-pronged approach that combines the customer-driven insights of top divisionlevel managers who view security as an important differentiator which will drive more revenueand profit for their offerings with the cross-HCL focus of senior corporate level managers who

plan HCL's future. On one side is the Security Management Team (SMT) acts as an InvestmentReview Board for security, made up of the top executives from our platform, software andservices divisions. This group meets quarterly to steer our tactical and strategic securityinvestments as a corporation in order to focus our investments and optimize the security

portfolio. On the other side is the CEC level Security Council which meets 3-5 weeks after theSMT meets to review its' recommendations and provide high level guidance.In 1998-1999, the SMT's charter is to maximize the HCL value proposition as it relates tosecurity in order to capture our rightful share of the multi-billion dollar opportunity identifiedfor security (approaching $13.5B by the year 2000), and to ensure that security remains a keydifferentiator for e-business. The SMT has committed to a contract with the HCL corporationthat in return for investment dollars, specific quantifiable results will be realized. It will driveHCL's strategic interests irrespective of local measurement issues, ensure coherent investmentsacross HCL, and promote HCL-wide interests in partnerships, standards, and policy.

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Chapter 5

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RESEARCH

METHODOLOGY

The main objective of this project is to study the existing system of Consumer behavior and sale

promotion in HCL of its concepts and implementation, and in the process to consider any possible

changes or improvements in the system.

The objective is also to find out the reactions of both the assessors and assesses of Consumer behavior

and sale promotion as to their satisfaction or otherwise of the existing system and their reaction to any

changes in their performance appraisal system, especially about the latest method i.e. 360 0 Appraisal

method. Moreover, instead of yearly appraisal they would like their Appraisal to be done more

frequently as to twice in a year.

The research involved data collection techniques:

Primary Sources Secondary sources

PRIMARY SOURCES:

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Primary data is the data which is collected for the first time. It is collected from the source of origin.

For primary data collection questionnaire was framed considering certain factors like manpower

planning, recruitment sources, selection methods etc. the objectives of the study was also kept in mind.

A copy of the questionnaire is also attached in the Annexure.

Questionnaire method is being followed and was preferred over interview method because: It is more economical

This method can cover wider areas

This method is original and therefore very reliable.

Respondents feel more comfortable while answering the questions asked.

SECONDARY SOURCES:

The secondary data are those high are already in existence and which have been collected, for some

other purpose than the answering of the questions in hand. The secondary data collection involved desk

study, which was carried out to obtain background information about the sample companies. The main

sources of information were company reports, pamphlets, and magazine and personnel department.

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Research DesignA research design is thse arrangement of condition s for collection and analysis of

data in manner that aims to combined relevance to the research to the research

purpose with economy in procedure.

As such the design includes an outline of what researcher will do from writing the

hypothesis and its operational implication to the final analysis of data. More explicitly, the design

decisions happen to be in respect of:

What is the study about?

Why is the study being made?

Where will the study be carried out?

What type of data is required data be found?

Where can the required data are found?

What periods of time will the study includes?

What will be the sample design?

What techniques of data collection will be used?

How will the data be analyzed?

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In what style will the report be prepared?

COLLECTION OF DATAIt dealing with any real life problem it is often found that data at hand are inadequate and hence, it

becomes necessary to collect data that are appropriate. There are several ways of collecting the

appropriate data which differ considerably in context of money costs, time and other resources at the

disposal of the researcher.

Primary data:-

Primary data can be collected either through experiment or through survey. If the researcher conducts

an experiment, he observes some quantitative measurements, or the data, with the help of which he

examines the truth contained in his hypothesis, But in the case of survey, data can be collected by any

one or more of following ways.

(i) By observation:

(ii) Through personal interview:

(iii) Through telephone interview.

(iv) By questionnaires:

(v) Through schedules:

(vi) Other method:

a) warranty card

b) mechanical devices

c) Projective techniques

d) Depth interview.

Secondary data:-

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Secondary data means data that are already available i.e., they refer to the data which have already been

collected and analyzed by someone else. when the researcher utilizes secondary data, then he has to

look into various sources from where he can obtain them.

Secondary data may either be published data or unpublished data. Usually published data are available

in (a) various publication of central, state are local governments, (b) technical and trade journals (d) books, magazines, and newspaper. (e) Reports and publications of various associations connected with

business and industry, bank stock exchange (g) Public record, and statistics, historical documents, and

other sources of published information like website of industry or company.

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I have made a questionnaire having 19 question and I have include various kinds of people under my

research. There were 200 sample size, due to lack of time.

Some of the people refuse to tick on the income group. So I was suffering from some problem.

At last I have given some space to know our respondent suggestion or comment of HCL but some of

the respondent refused to write any thing.

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(1). Do you have computer?

YES NO46 154

23% 77%23%77%0%20%40%60%80%YES

NO

Conclusion:- I found that, there was a loge potential customer they want to purchase computer

systems.

There was some serious customer. Also they want to purchase computer recently.

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(2). If yes than state the brand.

HCL Compaq & HP IBM Assemble Others9 8 3 12 14

19.6% 17.4% 6.5% 26% 30.4%19.60%17.70%6.50%26%30.40%0.00%5.00%10.00%15.00%20.00%25.00%30.00%35.

marketing strategies adopted by hcl final

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