How Does IBMs Plan for Its Goods and Services Meet the Definition of Marketing - Assignment Example

The simplest definition of marketing is to make the customers interested in your products or the services provided by you. IBM’s plan for its goods and services is the best example of understanding the pulse of the customers and launching/provide innovative products and services. Henry William Chesbrough, in the work ‘Open innovation: the new imperative for creating and profiting from technology,’ makes clear that IBM maintains its monopoly in the business world by providing services only through its vast network of hardware and software services (Chesbrough 107).

The IBM, formerly known as International Business Machines is an important business venture in the computer manufacturing sector. But now, understanding the potential, IBM plans to enter the software and services sector. For instance, IBM very well knows that the best possible way to survive in business is to reduce costs.IBM is capable to extend its services to high-end services like fraud detection. The services provided by IBM extend to other fields like genetics and ‘Cloud Computing’.

For instance, the ‘Blue Cloud’, the supercomputing venture by IBM is based on the concept of open-source programming but it will be most helpful for saving costs, reduction in power usage, and attract the users/clients towards IBM software.So, one can see that IBM’s plan for its goods and services is most helpful to create utility in the global business scenario. The partnership with Google and Sun Microsystems helped IBM to reduce further challenges from small companies. Besides, IBM is well aware of the fact that the best way to conquer the global market is to co-operate with global players, not with local players.

IBM’s plan to occupy small companies and to co-operate with large companies is really innovative and is helpful to be at the forefront of the hardware and software business. In the future, more and more companies will agree to work jointly because the enmity is not a permanent issue in the business world. Today’s business partner may become one’s toughest competitor in the future and vice versa. In the software service business scenario, IBM occupied more than 50 small-scale companies.

This helps IBM to be safe from external threats and to focus on new generation services like data management and e-business. Besides, IBM does not ignore the social networking sector. It aims to gain a lion’s share in the social networking sector by launching in-house versions.So, future partnership with IT companies like Oracle (database management and software services), Microsoft (semiconductor development and custom multicore technology), Mercury Computer Systems (cell microprocessor technology), Accenture (BPO and other services), and Hewlett-Packard Company (IT and BPO services) will be helpful for the IBM to expand its network of sales and services in the global arena.