business course

SWOT analysis is a structured planning method used to evaluate the strengths, weaknesses, opportunities, and threats involved in a project or in a business ventures. A SWOT analysis can be carried out for a product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective. Strengths of Dell: 1 brand name. Dell has a very strong brand reputation for quality products. Its brand is valued at $7.5. 2 product customization. Dell allows its customers to customize their laptops. Such services were not original found within any other major computer retailer ( and currently only Sony and Toshiba allow that). But add great value to the customers and provides Dell with competitive advantage. 3 environment record. Dell is engaged in many green initiatives and has received many rewards for being an eco-friendly business. This is a benefit when working with public and government agencies. 4 competency in mergers and acquisitions. Over the last five years Dell has spent $13 billion for successful mergers and acquisitions, which brought patents, new capabilities, assets and skills to the business. 5 direct selling business model. Dell doesn’t sell its products through big box retail outlets but instead sells directly to consumers and enterprises, keeping their already thin profit margin to themselves. Weaknesses of Dell: 1 commodity products. The large stream of Dell’s revenues comes from computer, especially laptop, sales, which is a commoditized product. Computer hardware products are sold with a very low profit margin. 2 poor customer services. Once praised, Dell’s customer services deteriorated due to outsourcing its call centers offshore. Dell invested a large sum of money in fixing this, but hasn’t yet regained its previous reputation for customer services. 3 low investments in R&D. the company spends a much lower