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Intel Corporation Business Strategy Discussion

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Assignment 1
Swarthout 1
1. How would you describe the company's former business strategy?
a. Formerly, Intel Corporation’s main business strategy was using the revenue
from their current PC sales to create new PC’s and PC components. This was to
ensure that their products were always cutting-edge and desirable, but their
product range was not as wide as they now desire. Intel describes the PC
market as their “business sector,” the part of their company that is devoted to
development, manufacturing, and sales of all their PCs.
2. Why is the company changing its strategy? What external forces are encouraging it to
change?
a. As technology changes and companies are all shifting towards becoming
entirely online, the demand for new programs and data storage is higher than
ever. At this same time, with all the new technology, the demand for PCs is
decreasing steadily, and although profitable, there isn’t much room for growth,
like there are in the other areas.
3. How would you describe the new business strategy?
a. Intel wants continued and aggressive innovation in its PC business to drive
innovation across the fast-growing IoT category” (Moorhead, 2016). Essentially, instead of
focusing primarily on PCs and how to improve them, Intel is now adding to their “growth
areas,” by focusing on developing programs, data storage, and cloud development, enhancing
IoT (internet of things) overall, and profiting from the potential evolution of all of these areas.
Now instead of focusing only on the improvement of PCs, they are now also focusing on

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Assignment 1
Swarthout 2
improving the ways we can use PCs and the programs available, widening their market
immensely.
4. What strategic goals or major targets does the company hope to achieve?
a. Intel is working on closing out their old SoFIA projects, which included the
3gx network for mobile devices, and using those resources to create the next best thing. In this
instance the company hopes to capitalize off the 5g network and improve it, allowing the IoT
to expand to their now compatible devices.
5. How does the company intend to translate its new strategic goals into tactical or operational
plans? Which levels of management will carry out these plans?
a. It appears that Intel’s senior management team has been behind all of Intel
corporations restructuring and redistribution of funds. Their new strategical plan is simply an
expansion of their old plan, which requires more mobility and funding. This requires cutting
funding to old outdated technology development and shifting it to the future. Fortunately, the
company’s PC division is still the backbone of their income and this allows them the funding
needed to expand to the IoT areas they deem profitable.
6. To what extent do you think the new strategy will be successful in addressing or adapting
to external forces?
a. I believe that Intel is entirely on the right track with their new strategy. In the
technology field if you do not adapt and keep up with advancing technology, you will crumble

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Assignment 1 Swarthout 1 1. How would you describe the company's former business strategy? a. Formerly, Intel Corporation’s main business strategy was using the revenue from their current PC sales to create new PC’s and PC components. This was to ensure that their products were always cutting-edge and desirable, but their product range was not as wide as they now desire. Intel describes the PC market as their “business sector,” the part of their company that is devoted to development, manufacturing, and sales of all their PCs. 2. Why is the company changing its strategy? What external forces are encouraging it to change? a. As technology changes and companies are all shifting towards becoming entirely online, the demand for new programs and data storage is higher than ever. At this same time, with all the new technology, the demand for PCs is decreasing steadily, and although p ...
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