Compare and Contrast Michael Dell and Andy Grove Essay Example

Michael Dell, founder of Dell Computer Corporation had his humble beginnings in the computer industry when he began selling personal computers directly out of his dorm room. This impressed upon him that this was the path to take in his professional life, he started his company in 1984, registered as Dell Computer Corporation. Krames, (2003) Unlike other computer companies at the time, Dell was heavily focused on the end user, the consumers who would actually be purchasing the computers. By placing the emphasis on the consumers instead of big box stores to sell his product he brought a new way of selling computers to the industry, which was an uncommon way of doing business at that time. This is a notable contribution to the computer field, as it made other computer companies rethink how they would sell their products, to try to combat Dells’ growing market share. As Krames (2003) “Dells direct model of “ mass customization” was not born of any desire to revolutionize an industry. Instead, it was foraged through a “bottom-up” strategy based on customers’ needs and preferences.” (p.59) This proved to be a successful strategy, in 1988, 4 years after opening, Dell went public bringing in an impressive $30 million at its IPO. Krames, (2003) Seeing soaring success in personal computer sales, Dell decided to try a new direction, Olympic was introduced. “Olympic was a line of desktop and workstation computers that were able to perform a wide array of tasks.” (Krames, 2003, p. 67) In releasing this new program Dell neglected the principle part of his successful strategy-what do the costumers want? Resistance from consumers was noted, the consumers did not feel that they needed what the new line offered. Olympic proved to be Dells biggest tanking product.
Andy Grove, born Andras Grof of Hungary, cofounded Intel corporation in 1968. Krames, (2003) Grove’s contributions to the computer industry is highly notable. Grove, along with his partners revolutionized how the