Can it overtake Hewlett-Packard as the world leader in personal computers?
By Georges Bali
1
Brief History of the company
Vision and Mission statement
Answers to questions:
Outline
Question 1: Evaluation of Michael Dell’s performance
Question 2: Elements of Dell’s strategy
Question 3: Expansion into IT products evaluation
Question 4: Financial Assessment of Dell in the years 2000 through 2008
Question 5: SWOT analysis
Question 6: Competition with HP
Question 7: Comparison of both Dell and HP strategies
Question 8: Issues to be addressed
Question 9: Recommendations
2
Dell in a brief historical summary 1984-1999
Dell’s origin goes back to 1984, when Michael Dell ( a pre-med freshman student) created PC’s Limited with only $1000. The company sold IBM PCcompatible computers built from stock components.
In 1985, it produced the first computer of its own design, the Turbo PC.
In 1988, Dell went public, growing at roughly 80 percent annually. The name was then changed to Dell Computer Corporation, raising $30 million and increasing its market capitalization to $85 million.
In 1989, it expanded its product offerings to join the mobile computing with their first laptop 316LT.
Michael became the youngest CEO to lead a company included in the
Fortune 500 in 1992, letting the company join the ranks of the top 5 computer system makers worldwide.
The company takes sales online in 1996, setting the bar for ecommerce worldwide; when it launched Dell.com website that generated $1 million in sales per day within 6 months.
By 1999, Dell was ranked no. 1 in PCs in the US and worldwide, enjoying a steady growth and gaining market share from competitors even when the industry collapsed.
3
By the beginning of the 2nd millennium, technology was improving, and so did Dell. Its internet sales reached $40 million a day. It was the first to implement a built-in Wi-Fi for on-the-go access.
In 2003, the company was renamed