Intel Corporation: 1968 – 1997
INTEL CORPORATION: 1968 – 1997
Synopsis:
This case traces the strategic decisions of Intel Corporation which defined its evolution from being a start-up developer of semiconductor memory chips in 1968 to being the industry leader of microprocessors in 1997 when it ranked amongst the top five American companies and had stock market valuation of USD 113 billion.
Intel in DRAM business:
The strategies employed by Intel for DRAM business focussed on:
1. Pushing the envelope of product design
2. Being first to market with newest devices
3. Premium pricing and skim marketing. No emphasis on mass production
Initially, Intel had a successful run in this business as they:
1. Had no immediate competition
2. The demand for memory chips was insatiated. All products had successful launch and carried premium pricing.
3. The time lag between product launch was spaced conveniently to allow for new product development.
However, the entry of Japanese companies posed a......
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Approximate Word Count: 1125
Approximate Pages: 5 (250 words per double-spaced page)
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