SWOT Analysis of Dell Computers Strengths‚ Weaknesses‚ Opportunities and Threats Analysis Dell Computers relies on its Direct Method to sell its products. This model is not perfect.. Addressing its flaws is key to maintaining Dell ’s competitive edge. Dell Computer Corporation started in 1984 by Michael Dell with this very simple premise as its basic foundation: that personal computers could be built and sold directly to customers and by doing this‚ Dell could address their specific needs
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customers. By focusing on reducing the occasions that can slow down the time it takes from ordering that the customer gets the computer to themselves ‚ they have revolutionized the way how the PC market sales are made . The major competitors such as HP and IBM‚ are trying to predetermine based on market studies what customers want ‚ and then produces computers for stock‚ while Dell lets customers decide what components they want in their computer. Customers ordering via the telephone or ‚ increasingly
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Chapter 17 USING THE TOOLS: A CASE STUDY OF THE COMPUTER INDUSTRY* A lthough we have emphasized the theoretical aspects of the field of industrial organization up to this point‚ we hope you have gained an appreciation of the close relationship between the topics we have been studying and real-world markets. Knowledge of industrial organization is essential for policymakers in the areas of antitrust and regulatory policy. The remainder of this book emphasizes public policy in these areas.
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Summary of Dell Computers Value Chain Analysis Primary Activities Inbound Logistics Here goods are received from a company’s suppliers. They are stored until they are needed on the production/assembly line. Goods are moved around the organization. Dell relies mostly on its highly reliable supplier‚ where Dell streamlines its operation and relies on its computer monitor supplier to ship directly to the customer. As long as its supplier retains its leadership position‚ Dell would collaborate with it
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Findings Dell started out as a direct seller‚ first using a mail-order system‚ and then taking advantage of the internet to develop an online sales platform. Well before use of the internet went mainstream Dell had begun integrating online order status updates and technical support into their customer-facing operations. By 1997‚ Dell’s internet sales had reached an average of $4 million per day. While most other PCs were sold preconfigured and pre-assembled in retail stores‚ Dell offered superior
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BUSINESS RISK EVALUATION FOR DELL COMPUTER CORPORATION OPERATIONAL ANALYSIS: For the fiscal year ending February 2008‚ Dell’s net revenue totaled $61.1 billion‚ and its net income was $2.9 billion. The company’s total assets valued $27.561 billion‚ with cash and equivalents making up the largest portion‚ which totaled $7.764 billion. The company’s cash flow in operating activities was $3.949 billion‚ and had approximately 88‚200 total employees‚ including around 82‚700 regular employees and 5‚500
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in the personal computer (“PC”) industry when its competitor Microsoft enhanced its existing products to attract customers. Despite that‚ Apple was still able to increase its sales and revenue by collaborating with third-parties‚ as well as launching new products such as the iPod in the market which brought Apple back into the spotlight. Discussion about this issue is elaborated in the main discussion section. The first section briefly describes the current situation in the case study‚ and applies
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key strategic issues facing Hewlett Packard as it seeks to generate and sustain competitive advantage. The objective of any organisation is to "Create and sustain long term competitive advantage" get quote Corporate strategy is central to achieving this through making assumptions of an organisation’s external environment‚ its resources‚ and formulating a plan of how they should operate. The organisation upon which I have conducted my research: Hewlett Packard (HP)‚ have recently been reported
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Dell Inc. Discussion Preparation Q1. SWOT analysis of Dell Inc. Strengths Weaknesses • Innovative product design • Not enough retail stores o Insist on new product o Less visibility for Dell design products • Product customization • Low differentiation o Customize products for o Little differentiated from its customer needs competitors besides low
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in the computer business? Dell’s most important FSA is its direct sales model. The traditional model startsed with manufacturers building computers‚ they distributed them to dealers who sellold them. Dell started with selling PCs directly to end users. In China they also used the ‘dual system’ model (using both direct sales and distributors). An important feature necessary for the direct sales model to be successful is an efficient supply chain. Dell had this efficient supply chain‚ you can call this
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