Case Name :      HCL Beanstalk: All-in-One Desktop Re-Launch

Authors :           Rahul Seth, Jaydeep Mukherjee

Source :             Ivey Publishing

Case ID :            W13277

Discipline :        Marketing

Case Length :    15 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

HCL Infosystems Ltd. is a reputable computer hardware firm and a major player in the Indian desktop market. Due to changes in consumer behaviour, the desktop market is shrinking and demand is shifting towards laptops, where HCL has a miniscule presence. At the same time, the desktop market is witnessing the emergence of a new form of devices called all-in-ones (AIOs). HCL needs a significant presence in AIOs to retain its position in the Indian PC market. The company was an early entrant in the Indian AIO market in 2007 and sought to capture a niche market for its premium range, but did not succeed and withdrew its product line. The category has, in the last four years, grown in the mass market segment and HCL needs a successful relaunch of the HCL Beanstalk AIO in the face of intense competition from multinational competitors who have a head start. The problem is compounded by the fact that the HCL brand is losing market share and that the company lacks the financial resources to invest heavily in brand building. HCL’s management believes that the Beanstalk needs to capture eight per cent of the retail segment of the Indian AIO market in order to be able to gain the same share in the business-to-business market, which is slower to adopt new technologies.