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2.Establish a de facto management standard in a market that has resisted standardization for the past 30 years.the truth is that EMC, with its current market position, is uniquely positioned to offer its management framework as a de facto standard.third-party storage platforms such as those from Compaq, Hitachi/HP/Sun, NetApp and IBM.Because of a lack of common standards in the storage industry, which prevented products from different manufacturers from working wel
l together, EMC had a lock on customers once they settled on its proprietary platform. IBM, for example, can bundle hardware, software, and services and practically give the storage away. EMC is also betting on software; the last several acquisitions have been software vendors. This translated into high prices, which led to lofty profit margins and returns on invested capital exceeding 20%. EMC's economic moat has narrowed, however. (¼Û¸ñÌ«¸ßL¬Ïa¶ÔÏ AæµAIBMºÍHITA»ÓоºÕùÓÅÊÆ)EMC built its business on superior technology. StrageAs demand for high-price storage hardware has slowed, EMC has moved into new markets. With the globalization of markets, greater foreign competition, and the reduction of entry barriers,. And in the current environment, many businesses are willing to forgo a superior product for one that meets their basic needs. (AæÁÙN¹Á¦)Õa¸oÎÊÌaµA1/2a¾o·1/2·¨ÊÇHelp is on the way for profits, thanks to the firm's investment in software. The software investments have already improved margins and strengthened customer relationships for EMC, and we expect more benefits. Despite lowering prices, cutting expenses, and moving into new markets through partnerships with Dell DELL, EMC's profit margins continue to face pressure. The company is cutting costs and lowering prices to preserve market share. RiskKey risks include increased pricing pressure, competition from large rivals like IBM and Hitachi, and an unproven software strategy. ProfileEMC is a leading vendor of hardware and software systems for network storage.
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IBM Hitachi,
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