Tetra Threat Framework for Intel

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  • Topic: Microprocessor, Intel 4004, Semiconductor sales leaders by year
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  • Published : March 31, 2012
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Strategy Assignment (Intel Case)|
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Submitted By: Swati Agrawal Roll no:154 PGDM-B|

Q) "Apply the tetra threat framework in analyzing Intel's strategy to sustain competitive advantage in microprocessors". Threats to sustainability are usually classified into industry level performance effects and within industry performance differentials. The tetra threat framework is used for diagnosing the sustainability of superiority within the industry performance. The 4 primary responses which need to be analyzed in the tetra threat framework are as follows: 1. Responses to Imitation

2. Responses to Substitution
3. Responses to Hold Up
4. Responses to Slack

Following are the responses of Intel with respect to the tetra threat framework:-

Responses to threat to Imitation
1. When producing DRAM it tried to get to economies of scales by its capacity power and also by licensing and contracts to other people for producing DRAM for mass market. Also this statement can be supported from the fact stated in case that initially when they came into market, they took many parts and supplies from outside vendors since from starting they were targeting a huge market

2. Also when Intel started with project CRUSH, it introduced more than 2000 designs for the customers which show its scope economies strategy for reducing threat to imitation

3. The semi conductor companies had...
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