Five Forces Framework in Personal Computer Industry (DELL)
INDIVIDUAL ASSIGNMENT
Five Forces Framework in Personal Computer Industry (DELL)
AZIZUL RIZAL ZULKAPLI ZP01654
ZCZB6023: BUSINESS ECONOMICS AND DECISION ANALYSIS
Lecturer: PROF. MADYA DR. NIK MUTASIM
Table of Contents
Table of Contents 2
Introduction: Five Forces Framework in Personal Computer Industry 1
Threat of New Entrants 3
Bargaining Power of Suppliers 4
Bargaining Power of Buyers 5
Rivalry among Existing Firms 6
Threat of Substitutes and Complements 7
Recommendation for DELL 9
Conclusion 9
Introduction: Five Forces Framework in Personal Computer Industry
Porter’s Five Forces Model is a model that analyzes an industry to help develop a business strategy. The model uses five forces that have been identified to categorize an industry as intensely competitive or not competitive at all and this will then determine the attractiveness of the market.
For the purpose of this assignment, I will use the company that I work with before which is DELL as a case study. Dell Inc. (formerly known as Dell Computer) is an American multinational computer technology corporation based in Round Rock, Texas, United States, that develops, sells, repairs and supports computers and related products and services. Bearing the name of its founder, Michael Dell, the company is one of the largest technological corporations in the world, employing more than 103,300 people worldwide.
Dell opened its plants in Penang, Malaysia in 1995. They have two plants located in Bayan Lepas (AP 1) and Seberang Perai (AP 2). AP 1 is their main office while AP 2 is Dell Factory and office.
In 2006, Dell opened its office in Cyberjaya. Most of the team located in here is for IT Support and Development. Currently they have about 900 people working in Dell Cyberjaya Office.
According to Grant (2005), there are many features of an industry in which a company competes that determines the level of competition it will
Five Forces Framework in Personal Computer Industry (DELL)
AZIZUL RIZAL ZULKAPLI ZP01654
ZCZB6023: BUSINESS ECONOMICS AND DECISION ANALYSIS
Lecturer: PROF. MADYA DR. NIK MUTASIM
Table of Contents
Table of Contents 2
Introduction: Five Forces Framework in Personal Computer Industry 1
Threat of New Entrants 3
Bargaining Power of Suppliers 4
Bargaining Power of Buyers 5
Rivalry among Existing Firms 6
Threat of Substitutes and Complements 7
Recommendation for DELL 9
Conclusion 9
Introduction: Five Forces Framework in Personal Computer Industry
Porter’s Five Forces Model is a model that analyzes an industry to help develop a business strategy. The model uses five forces that have been identified to categorize an industry as intensely competitive or not competitive at all and this will then determine the attractiveness of the market.
For the purpose of this assignment, I will use the company that I work with before which is DELL as a case study. Dell Inc. (formerly known as Dell Computer) is an American multinational computer technology corporation based in Round Rock, Texas, United States, that develops, sells, repairs and supports computers and related products and services. Bearing the name of its founder, Michael Dell, the company is one of the largest technological corporations in the world, employing more than 103,300 people worldwide.
Dell opened its plants in Penang, Malaysia in 1995. They have two plants located in Bayan Lepas (AP 1) and Seberang Perai (AP 2). AP 1 is their main office while AP 2 is Dell Factory and office.
In 2006, Dell opened its office in Cyberjaya. Most of the team located in here is for IT Support and Development. Currently they have about 900 people working in Dell Cyberjaya Office.
According to Grant (2005), there are many features of an industry in which a company competes that determines the level of competition it will