Marketing case analysis of Handspring Inc.

Essay by 0Penny0University, Master's April 2004

download word file, 3 pages 3.0 3 reviews

Downloaded 499 times

Company's philosophy

Their vision is to design a user friendly device that can be used by the most common man.

Build a platform that provides for unique functionality, expands possibilities, and offers flexibility and personalization for consumers and developers alike.

Keep it small, simple, affordable and connected. Those are the principles that inspired the creation of the Visor.


Legal issues

o Lawsuits filed by NCR against handspring and palm for infringement of two 1987 patents.

Bargaining power of suppliers and manufactures very high-Depends heavily upon their license from Palm, failure to maintain this license could seriously harm their business.

Heavy competition, possibility of getting acquired by larger companies

In a technology driven sector the maturity period is low (2-4 years). The product life cycle declines quickly. This can be overcome by introducing a new version of the product once the PLC reaches its maturity.

Similar goals as Palm Inc.,

in future could cannibalize their own goals and vision.

Limited brand recognition

Competitive Advantages

Product Design ( User Friendly)





Aggressive pricing strategy, selling at a very affordable price.


Used the Internet to reach target market making information available to the user. Users can also get technical assistance to purchasing the Handspring Visor from their website. On March 2000 entered into agreement with major retailers Comp- USA, Best Buy and Staples.

Promotion-Communication with Retailers

Maintained good relationship with the retailers and distribution channel. Retailers extended the Handsprings reach to less knowledgeable consumers, which was not possible through its Web channel.

Open source innovation model

Springboard expansion slot -their source code is open to developers to change and modify for a fee and certification.

Logo certification ensured the quality of the Springboard modules developed by vendors. It had similar program for developers. Thus built its brand identity...