Hewlett-Packard is planning to split into two companies and separate the computer and printing business from the hardware and services operations.
Even though many jobs are being cut, HP is adjusting to the changing market and is constantly reshaping its business model to alter and adapt strategies to the advantage of the company.
Revenues have been increasing, which shows that HP is maintaining a strong brand identity and is leading in innovation, but profit has been decreasing. HP recognized this problem and is analyzing and handling this situation. The article talks about competition in the technology industry and I think this is a very important issue because technology is developing at such a fast rate, it is very easy for companies to fall behind on the newest trends. One reason why they are splitting into two companies is because it will enable them to grow at a faster rate without having to adjust many different areas to the changes that are taking place. HP encompasses many different areas of technology and it makes it more difficult to manage all of these areas under on brand name and identity.
I think that if they company splits apart, each new company has a more narrow focus and can help the identity of the brand and makes it easier to connect to a specific audience.