Mission and Goals Case Study

The Changing Face of Intel

OR

Abstract:
Intel, the undisputed leader in the microprocessor industry faces slowdown in growth in its biggest market, the personal computer (PC); even as cell phones and handheld assume greater importance in people's lives. Paul Otellini (Otellini), Intel’s new CEO tries to reinvent Intel. Otellini has created business units for each product area – home, enterprise, mobility and digital health, and scattered the processor experts among them. He intends to set up a fifth division that will focus on customising products for particular countries or regions. Otellini has decided to pay greater emphasis on marketing, realising that the only way Intel can succeed in new markets is by communicating more clearly what the technology can do for customers. To redefine the Intel brand, Otellini has dropped its famous tagline and launched a new logo. It has entered into partnerships with top corporate like Apple, Nokia and Samsung among others. He has reorganised the company from top to bottom, assigning new tasks to most of Intel’s 98,000 employees. Most of the executives have been recruited from outside the company and include software developers, doctors, sociologists, and ethnographers. Is Otellini’s new strategy the right path for Intel?

Pedagogical Objectives:

• The case outlines Intel’s growth strategy. Its old marketing strategy, its new branding strategy and its new business model.

Keywords : Microprocessor; Vision, Mission & Goals Case Study; Pentium; Paul Otellini; integrated circuit; Centrino; mature PC market; dual-core; innovation; business model; product line-up; Core; ingredient”brand; Andy Grove; Moore’s Law; Intel