Intel Analysis

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INTELS’ CASE STUDY ANALYSIS

INTERNAL ANALYSIS:
Resources:
1.Financial Resources –
The annual revenues of Intel have grown phenomenally in recent years, thanks to the push for more advanced technology by consumers. Since 1991 annual revenues have climbed from $4.8 billion, more than five-fold to $25.1 billion in 1997 (, , & , 1999). To continue this growth, Intel seeks to continue to be the pre-eminent building-block supplier to the computer industry worldwide. With these strong financial revenues, the company is expected to achieve their target profits in the years to come through the utilisation of this resource which they have plenty of for investment in worthwhile projects.

2.Human Resources –
The total number of Intel employees was 63,700 at 1997 year-end, up from 48,500 in 1996 (, 1999). Worldwide EH&S staff number around 225 and are organized by site (, 1997). Although there is historically a resistance on the part of the employees when it comes to change, there is sufficient cooperation from them on an overall note, especially when it comes to innovations for the good of the company.

3.Physical Resources –
The Company under scrutiny is an international company with more than a dozen major facilities outside of the United States, located in eight countries. According to (1997), there are six sites in the continental United States—in Arizona, California, New Mexico, Oregon, and Washington—with multiple facilities at each and one site in Puerto Rico. Its oldest and smallest manufacturing facility, wafer fabrication facility on the Aloha campus in Oregon, was built in 1978 and was closed in 1996. In recent years Intel has been building a new fabrication facility, an investment of $1 billion to $1.5 billion, every nine to twelve months (, 1997). With the advancement of their physical resources in comparison with existing competitors, it is not surprising to see that Intel has majority of the market share.

Key success factors:

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