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Group Members








Our mission Delight our customers, employees, and shareholders by relentlessly delivering the platform and technology advancements that become essential to the way we work and live. Our vision Our vision is to create and extend computing technology to connect and enrich the lives of every person on earth, by focusing on the following key strategic objectives. Our objectives Extend silicon technology and manufacturing leadership Deliver unrivaled microprocessors and platforms Grow profitability worldwide Excel in customer orientation

Our values Customer orientation Great place to work Quality Discipline


Bargaining power of suppliers Bargaining power of customers

Competitive Rivalry within an industry

Threat of substitute products

Threat of new entrants

Competitive Rivalry within an industry

Bargaining power of suppliers is highly controlled. Control the prices of their raw materials

Absence of powerful IT platform

Absence of strong Internet presence

Dominant suppliers in the industry

Lack of forward integration

Bargaining power of suppliers

Competition with Japanese memory chip makers - Heavy users of their own products and firms were integrated into consumer electronics, computers and telecom - Abundant and cheap capital; channeling funds through bank loans

Battle drawn in the court over the issue of micro code

Long term competitive rivalry with AMD

- AMD came up with Athlon microprocessor in 1999 -AMD introduced 1 GHz Athlon microprocessor three days ahead of Intel in March 2000

Intel has been ahead of competition in the area of intellectual property -NEC issue of copying Intels microcode protecting its IP rights

Issue with AMD over 386 processor

Reimbursing half of OEMs advertising cost in return for putting Intels logo in their advertisements. Vertically integrating into design and manufacture of subsystems and end systems Strategy to allocate chips preferentially to best customers building relationships and hence further business.

Programs such as the Red X and the Intel Inside campaign Educating end user on importance of microprocessors through television advertisements. Honoring request from customers for chip replacement loss of sales dollars, gain in trust of company

Threat of substitute products

The threat of substitutes is low, as:

The price to shift from one semiconductor provider is relatively large.

The buyers willingness to substitute is pretty low once they find that the provider is very suitable to their needs.

The price and performance of the substitutes do not present a grave threat to the company under analysis

Threat of new entrants

The threat of new entrants is low, because:

Economies of scale exist in the industry

Investment and capital required is sizeable

Difficult access to industry distribution channel

Requirement of highly specialised skills

SWOT Analysis
Favorable Unfavorable
Weaknesses Customer concentration Lack of formal strategic plans Technical problems Huge work load



Strong market position Brand image Advanced technological capabilities


Threats Increasing competition Litigations Product specialization


Launch of Atom processor Partnerships and alliances Growing global semiconductor market Expanding PC market








Intel being a multinational company, it has to operate according to different government policies of different countries depending on the stability of the countries

The economic growth of semiconductor industry is fairly positive and very promising. The exchange rates are stable which promises a wealth of opportunities for those who are already established in this industry

Political ideology and political stability or instability strongly influence the pace and direction of the economic growth.

With the increased pace in the change in technology spurred by more need for higher and more advanced technology, the demand for the semiconductor industry is stronger than ever.

Politics can consist government stability, political values and beliefs shaping policies. Therefore, the politics of a country affect the investment decision of organizations in this country strongly

This presented a whole avenue of possibility for Intel to develop their products at a rate which will keep up with the demands of the market.



Even income distribution among target market is observed in this industry and main consumers are large companies

There is a very fast technological transfer and a very fast rate of technological obsolescence in the industry. In the semiconductor industry the prices for products tend to decrease over time Not only does the price fall for a given integrated circuit, but as the complexity of the chip increases, the price per electronics function decreases from product generation to generation Technology evolves so rapidly that the market moves to the next generation or beyond. Thus, to be successful it needs to continue investing in new products even during these down periods

Intel is involved in a very dynamic industry where change and innovation are everyday words

It needs to constantly be sensitive to the change in market demands and preferences



With globalization, the rules of competition, trade mark rights, patents, WTO rules, price controls, etc have become important and need to be included while understanding the general environment

Environment conservation and protection is an issue, which has gained prominence because of deteriorating environmental balance which is threatening the sustainability of life and nature

Recently the European Union formally lodged antitrust charges against Intel, accusing the CPU maker of using illegal methods to compete against its main rival AMD. Intel is a large firm and being accused of anti-competitive behavior by the EU will affect its reputation in a big way, and to prove its conduct had been legal it will have to incur hefty costs

Intel has proclaimed the Climate Savers Computing Initiative. The Initiatives goal is to reduce global computer CO2 emissions by 54 million tons per year

This clearly shows that Intel is trying its best to reduce the pollution of the environment.




network interface controllers and integrated circuits, flash memory, graphic chips, embedded processors

Semiconductor microprocessors, motherboard chipsets, DRAM, SRAM, and ROM


Tri-Gate transistor



Intel has a new plan for growth: getting in good with young, hip adults. Intel just posted the strongest quarterly results in its 42-year history, with revenue of $10.3 billion, up 44% from 2009. To continue that kind of growth, its executives want to win over consumers, particularly 19- to 24-year-olds who tend to be trend setters in their communities. Those are the people who can make new technology products fly off shelves.

BUSINESS GROWTH Expanding Intels Business Through IT

Intel App-up services
Supporting new business services

Intel Hybrid cloud program

Scaling web solutions for Intels sales and marketing group

Enabling secure external collaboration


Be where the people are Understand their unique requirements Build the right solutions Test and validate those solutions Bring the solutions to market Develop sustainability