In July 2001, eight months after the release of Intel’s Pentium 4 processor, the sales of the new product did not meet expectations. This was due in large part to substantial declines in world markets after record year microprocessor demand in 1999 and early 2000. At the same time Pentium III processor sales had not declined as fast as expected, in fact, the production of desktop Pentium III processors were accelerated to demand in the second quarter of 2001. Intel was faced with critical decisio … Read more »

In July 2001, eight months after the release of Intel’s Pentium 4 processor, the sales of the new product did not meet expectations. This was due in large part to substantial declines in world markets after record year microprocessor demand in 1999 and early 2000. At the same time Pentium III processor sales had not declined as fast as expected, in fact, the production of desktop Pentium III processors were accelerated to demand in the second quarter of 2001. Intel was faced with critical decisions about how to turn the tide, to make the transition to other Pentium 4 processor a success.
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from
Hau Lee,
Feryal Erhun,
Jay Hopman,
Mary Murphy-Hoye,
Paresh Rajwat
Source: Stanford Graduate School of Business
19 pages.
Release Date: 02 February, 2005. Prod #: GS43-PDF-ENG
Intel Corp. Product Transitions and Demand Generation HBR case solution

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