What started as a sign of tough economic times

Assignment Help Finance Basics
Reference no: EM13851256

In Asia, the decline was greater at 11.5 per cent, and Kitagawa attributed this to the fact that in emerging markets, the less expensive tablet option has become the first computing device for many people (who may simply be deferring the purchase of a PC down the track).

The second report by International Data Corporation (IDC), using a different methodology, came to the same conclusion, although produced a slightly smaller decline than expected. IDC said the numbers ‘reflect a market that is still struggling with the transition to touch-based systems running Windows 8'.

At the same time as the PC market is declining, the tablet market is growing, with IDC predicting a nearly 60 per cent increase in tablet sales, and for tablets sales to surpass those of portable PCs. According to Ryan Reith at IDC, ‘What started as a sign of tough economic times has quickly shifted to a change in the global computing paradigm with mobile being the primary benefactor'.

Does this mean an end to the PC market? IDC believes that PCs will have an important role in this new era of computing, particularly for businesses. However, for many consumers, tablets provide a simple solution for those wanting the basic capabilities of a PC.
Further, Loren Loverde, program vice president at IDC said:

Many users are realizing that everyday computing, such as accessing the Web, connecting to social media, sending emails, as well as using a variety of apps, doesn't require a lot of computing power or local storage. Instead, they are putting a premium on access from a variety of smaller devices with longer battery life, an instant-on function, and intuitive touch-centric interfaces. These users have not necessarily given up on PCs as a platform for computing when a more robust environment is needed, but this takes a smaller share of computing time, and users are making do with older systems.

It could be argued that the PC market would decline anyway, despite the growth in tablets and smartphone sales, as PC sales have achieved a sort of equilibrium. The processing power of PCs already meets the needs of most users, so any small improvements in newer models are not enough to result in the purchase of a new PC.

While industry people, researchers and journalists debate the different views, it is always important to observe the views of the users or customers. One way is to review online consumer comments. Following an online story on the decline in sales of PCs in The Age, readers left a range of views on the topic. Most agreed that lightweight tablets are great for web browsing, watching movies and social media. Many commenters stated that they owned both a tablet and a PC or laptop, acknowledging 256 that the capabilities of tablets are still very limited (unable to complete more complex word processing, gaming and photo editing tasks). Most commenters still used PCs or laptops for work purposes where applicable, so it seems unlikely that consumers will ditch the PC altogether any time soon. Some consumers even looked to the future, envisioning a hybrid device using both tablet and PC technology - a device that docks to a larger monitor with a keyboard and mouse, but able to be easily transported to meetings or on business trips.

Journalist and commentator Tony Bradley stated his view: Ultimately, PCs aren't dying, they're evolving. One form of PC is in decline, but another form is growing exponentially. The tablet market is expanding much faster than the traditional PC market is shrinking, and combining the two for a more comprehensive perspective on personal computers in general shows that the PC market is still growing.

Reference no: EM13851256

Questions Cloud

Explain a strategic management consultant by organization : You have been hired as a strategic management consultant by organization. What specific recommendations would you make to the senior management team in the development of their strategic management plans with the issues facing their company. Be ..
Describe the reduction in the price of milk : What pricing strategy would be used to best describe the reduction in the price of milk to $1 per litre. What pricing adjustments do you foresee being carried out in the future by Coles and Woolworths
How well do you think the organizational structure works : How well do you think the organizational structure works? Please explain. Should the structure be changed? Please explain how and why.
How are genres more than just recognizable types of texts : How are genres more than just recognizable types of texts? Why do we develop genres? How do genres facilitate and mediate social activity
What started as a sign of tough economic times : At the same time as the PC market is declining, the tablet market is growing, with IDC predicting a nearly 60 per cent increase in tablet sales, and for tablets sales to surpass those of portable PCs. According to Ryan Reith at IDC, ‘What started ..
Identification of three to five macroeconomic indices : For the Portfolio Project, conduct an analysis of a recent article and provide your evaluation and outcome expectations in an articulate and informative paper that discusses: A minimum of three general economic principles related to the article. Iden..
How much was added to gdp : Volkswagen company is Germany own company with a massive factory in Mexico. In 2013, the Volkswagen Mexican factory produced $228 worth of cars and sold $6 to the U.S., $51 to Mexico, and $10 to Germany. How much was added to Germany’s GDP?
Sunk cost completely discarded in decision making process : For this discussion question, you will apply cost principles to business problems. A sunk cost is one that has already been incurred and cannot be recovered. Economic theory supports that only prospective (or future) costs are relevant to a decision...
Data analysis on creativitypre and creativitypost : Please construct an appropriate chart/graph that displays the relevant information for these two variables (comparative mean score of creative pre-post test).

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculate the expected rate of return for each portfolio

during a 5-year period the relevant results for the aggregate market are that the rfrisk-free rate is 8 percent and the

  Describe a situation a company would choose to issue bonds

Describe a situation in which a company would choose to issue bonds. Discuss the advantages of bond financing. What challenges will this company face regarding bond financing?

  Gross margin ,profit margin and earnings per share

financial analysis for Panera Breads INCOME STATEMENT and CASH FLOW for FY 13 but also including old data from Fy 11 and 12. DO NOT INCLUDE BALANCE SHEET as this is a portion of a total assignment. should only be a few pages of text. Income statement..

  Comparison of two banks

Select two banks and comparison shop for the best deal on a new personal checking account.

  Export patterns

You've been asked to research the export patterns of principal competitor, which include : Clorox (TM) , Colgate-Palmolive (TM), Dial Corporation (TM) , and Procter & Gamble (TM). Locate the annual report (and other information) for one of these c..

  Computation of break even volume of service revenueaqua

computation of break even volume of service revenue.aqua systems engineering provides consulting services to city water

  Costs result from production of defective parts

Not only customers, but stockholders, suppliers, and others, are among the _________ whose values must be protected in making ethical decisions concerning the quality of products.

  Briefly state the principle of the optimal cash balance

What are special purpose vehicles (SPVs)? What is the main advantage of SPVs? List a few forms of credit enhancement that are critical to SPVs.

  Time value of money and interest rates

Company A purchases obsolete inventory and re-sells it on-line. Company A learns that Company B is selling some obsolete inventory for $100,000. Supposing interest rates remain at 10% over the upcoming two years, should Company B accept Company As o..

  Explain what is the price of the bond which pays annual

Explain What is the price of the bond which pays annual interest and Both bonds are non-callable and have a face value of $1,000

  Discuss challenges the budget analyst should consider

Discuss at least two challenges the budget analyst should consider when preparing a trend analysis over a five-year period. Justify your response.

  A firm buys on terms of 315 net 45 it does not take the

a firm buys on terms of 315 net 45. it does not take the discount and it generally pays after 75 days. what is the

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd