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How HP Stays Afloat in the Rocky Waters of the PC Market

May 22, 2018 By Young Research

By leo_photo @ Shutterstock.com

With the proliferation of tablets, smartphones, powerful gaming consoles and smart televisions, many of the features that used to make PCs unique have been added to other devices. In some cases, such as wireless connectivity and touch screens, PCs’ feature set has been surpassed.

These changes in PC market have made it all the more impressive that HP CEO Dion Weisler has been able to keep the company successful. Jay Greene reports for The Wall Street Journal:

Shortly after Dion Weisler took over Hewlett-Packard Co.’s computer business in 2013, he assembled his charges to survey nearly 40 of its PCs, a hodgepodge of styles, sizes and colors splayed out in a conference room. He wanted the employees to feel embarrassed.

“There was nothing quite as telling as having the whole portfolio on a great big table and forcing our team to look at it,” said Mr. Weisler in a recent interview. He became chief executive of HPInc.,HPQ +0.20%the personal-computer and printer business that emerged from the carving of Hewlett-Packard into two pieces in 2015.

By focusing on sleeker designs and high-performance game machines, HP managed to boost revenue and gobble market share from smaller competitors even as the PC market shrank. The bet has paid off so far, sending HP’s stock up 77% since the company’s split.

With the stagnant PC market largely condensed into a handful of giants, the questions for HP are how long it can make the formula last and what comes next.

Read more here.

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