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Dell Financial Analysis

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Dell Financial Analysis
Financial Analysis of Dell Inc.

ABOUT DELL
Dell Inc. is a multinational information technology corporation, which is based in Round Rock, Texas. It manufactures, sells, and supports computers and other technological products and services, such as servers, data storage devices, software, televisions, cameras, printers, and MP3 players. The most known mergers and acquisitions include Alienware of 2006, Perot Systems in 2009 and Force 10 Networks, earlier this year. Dell is one of the largest technological corporations in the world.
INDUSTRY
Dell is in an industry where there are relentless advances in technological products and services. The industry is constantly hindered by economic changes and competitive pricing pressures with all sorts of competitors from the branded level to the generic level. Dell remains a great competitor in its industry for the reason it has managed to adapt to these changes. The company competes with abilities to offer competitive solutions to customers that provide with the most product and features that are in most demand, along with superior quality and customer service. Unlike most of its competitors, Dell has direct relationships with its customers. This allows to company direct access to customers, allowing the company to determine and understand what customers need and desire. Because of this strategy, Dell has a competitive advantage in the industry. On a global level, the company sells desktops, notebooks, printers, notebook computers, ink, displays, and monitors, along with other accessories.
ANALYSIS OF COMPANY FINANCIAL STATEMENTS (See Table 1 in Excel document)
In 2010, the economic slowdown from 2009 was carried over, causing a decrease in revenue. The spending trends of decreased in 2010. The slowdown impacted the spending trend of commercial customers which made up seventy-seven percent of the revenue in 2010. The consumer segment experienced a decrease due to consumers the company competitively pricing its



References: 1. Benner, Katie. "Michael Dell 's Dilemma." Fortune 163.8 (2011): 41-44. Business Source Complete 2. Caulfield, Brian. "Dell Slashes Revenue Outlook, Shares Fall More Than 7%." Forbes.Com (2011): 11. Business Source Complete. Web. 5 Dec. 2011. 3. "Dell CEO: Transformation On The Way For PC Maker." Channel Insider (2010): 1-3. Business Source Complete. Web. 3 Dec. 2011. 4. "Dell Completes Force10 Deal." Mergers & Acquisitions Report 24.35 (2011): 8. Business Source Complete. Web. 2 Dec. 2011. 5. "Dell Growth Drivers And Five-Year Forecast." Black Book - Dell: "Intimacy" Unique, Valuation Attractive, But Watch For Echo Of The Bust (2004): 57-71 6. "Dell Seeks to Recapture U.S. Market Share." Channel Insider (May 21, 2009): 1-2. Business Source Complete, EBSCOhost (accessed December 2, 2011). 7. Retrieved from http://finapps.forbes.com/finapps/jsp/finance/compinfo/Ratios.jsp?tkr=DELL on December 17, 2011. 8 Complete. Web. 2 Dec. 2011. 9. Retrieved from http://i.dell.com/sites/content/corporate/secure/en/Documents/FY10_Form10K_Final.pdf, December 20, 2011. 10. Retrieved from http://www.infinanEcials.com/en/financial%20ratio,Dell%20Inc,30275NU.html December 29, 2011.

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