Business Model Canavec

BUSINESS MODEL CANAVEC

As we can see from the business model canvas the business of HP Company focuses on individual consumers as well as on large and small corporations. With regard to the value proposition, HP is trying to please their customers offering a wide range of products, with lower prices, compared with Apple, for example. This gives them an excellent opportunity to attract more clients and a good competition in the market.

HP develops the nature of the relationships with its various customer segments focusing on motivations as boosting sales. For example, they suggest to a customer getting their phone fixed that they should upgrade to a newer version of the handset.

The distribution channel of HP company based particularly on HP official website, where customers can view and purchase different kinds of products and services offered by the company.

The typical key activity that is commonly practiced by HP is creation of new product research. Before a new product can be produced, it must first go through the research and development department which will explore what the design of the product should be, the expected production costs and how long it will take to produce sufficient amounts of the product.

HP includes a full range of resources and each of them has some responsibility without which a company could not be on the market. HP is heavily dependent on their brand to sell their products to a customer segment that is devoted to the brand.

The company focuses on this type of key partnership as strategic alliances. Basically this is not competitors and organization that can help, for example, in marketing sphere.

According cost structure, HP invests deeply into its research and development with the purpose of bringing around improvement in existing products and constantly creating new and innovative solutions.

The main revenue stream of the company is outlet of a new product to market. Many consumers, out of a sense of curiosity to the new product, buy it, mostly at inflated prices, in this regard, growing the company's revenue.