The purpose of writing this is to demonstrate the effectiveness of the Dell Inc. In the computer industry. Dell is the leading brand in the computer industry around the globe. Dell is registered as a private company under New York stock Exchange. It was founded by Michel Dell in 1984 at the age 19. This company is primarily deals in the computer systems, Accessories and Information technology services. Dell Inc. is famous around the globe for its effective Business plan. This writing is an attempt to get insight in this successful business approach.
The industry in which Dell prevails is the highly matured industry, and there is a stiff competition between Dell and its key rivals HP and Apple. Each of these organizations is searching for the point through which it can cut off the market share of the others. Dell through its unique way of direct Selling to customers reduced prices and effective supply chain management make a difference from others.
Though Dell Inc. is the Successive organization in its industry, but there are certain mistakes made by this company like the increase in the equity shares of the company, overdependence on the debt and equity and not the creation of the reserves in the form of retained earnings. These mistakes reduce the net income of the company. The other mistake is not focusing on the new trends in the market. This writing contains some of deeps thoughts of the Dell incorporations strategies and business process.
SWOT Analysis:
The term SWOT Analysis is an abbreviation of strength, weakness, opportunity and threat. SWOT analysis is conducted by the organizations to understand their strengths and weakness and also the threats to them due to the new entrants in the market. Dell Inc. also uses this analysis to understand its competitors. The analysis is presented below: Strengths: * Direct Business Model * Well controlled and well managed relationship with suppliers and the just in time
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