Dell Distribution Network I. Direct sales model Dell current distribution network is direct sales model‚ this online sale refer to the fact that Dell does not use the retails channel‚ but sells its personal computers (PCs) directly to customers through its website www.dell.com. Dell does not make sales through any integrators or resellers‚ nor does it utilize any channel service profit margins. Sales are made by the collaborative efforts of the Dell’s task force and by means of advertisement. Customers
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opportunities‚ and defending against the threats to its well being. The SWOT analysis for Dell is summarized below. Strengths Direct to customer business model. Uses latest technology. Dell is the market leader in personal computers. For the last couple of years it has held its position as market leader (it took it from rivals Hewlett-Packard). Dell’s brand is one of the best known in the world. Dell has a remarkably low operating cost relative to revenue because it cuts out the retailer
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Dell’s Value Chain Dell Computer‚ with close supplier relationships‚ encourages sup-pliers to focus on their individual technological capabilities to sustain leadership in their components. Research and development costs are too high and technological changes are too rapid for any one company to sustain leadership in every component. Suppliers are also pressed to drive down lead times‚ lot sizes‚ and inventories. Dell‚ in turn‚ keeps its research customer- focused and leverages that research to
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a large market share from existing competitors in the market. By using the direct model strategy‚ Dell is using a different approach to woo the Chinese consumers. Dell ’s Just-In-Time (J-I-T) inventory keeps inventory costs to a minimum. Companies like China ’s market leader Legend (local Chinese PC)‚ Lenova ‚ recently purchased IBM Hardware Business outside China ‚ they are beginning to move to Dell ’s J-I-T model‚ selling direct to their corporate customers. A barrier to entry in China is dealing
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opened a new market. All other competitors all followed its step to innovate high-density energy-saving server‚ and want to gain some shares in this market. At this time‚ Dell entered to the market with its own low-priced‚ customized servers to compete with SGI. Along with the time passed‚ more and more companies‚ especially Dell‚ targeted SGI’s customer and provided them low-price products that SGI cannot compete with them anymore. In May 2009‚ Rackable Systems that is the former SGI merged with
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Controlling Assets Employed Case : Dell Computer Corporation Summary : Dell Company In 2005‚ Dell Computer Corporation‚ which headquartered in Austin‚ Texas‚ was the world’s largest direct-selling computer company‚ with 57.600 employess in more than 80 countries and cutomers in more than 170 countries. Dell’s climb to market leadership was the result of a persistent focus on delivering the best possible. In less than two decades‚ Dell became the number one retailer of personal computers
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[pic] Table of Content: A. Objective B. Brief Background of Dell a) Strategic Vision b) Product Offerings c) Product Levels d) Current Market Situation i. Customer Segmentation of Dell ii. ESL & The Higher Education Planning Team iii. Higher Education Market (HEM) iv. Microcenters e) Competitor Analysis f) SWOT Analysis - Dell in HEM C. Current Problem & Alternatives D. Our recommendation & Action plan E. Intended Learning Outcome A.
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context The year 1999 will be used as the base year for Dell Computer Corporation to resolve the challenges they are facing. II. Point of View The point of view of Mr. Keith Maxwell‚ Senior Vice President for Worldwide Operation of Dell Computer Corporation will be used in the study since his decision would be the basis for the first location plant of the corporation in Latin America. III. Statement of the problem Should Dell decide to put up its location plant in Rio Grande do Sul
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Dell Case Study The case study gives an outlook at Dell’s management and operation procedures which are used to operate and structure the company efficiently. The key points are: • Dell’s business plan was to sell good quality hardware at a low cost directly to the customer‚ allowing them to have a tailored Desktop that met their personal requirements; this was done by allowing customers to choose options from a list of components and specification which were then assembled to order
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Implementation at Dell Computer 1. Why has Dell moved to different kinds of organizational structures over time? Answer: Dell needs to move to different kinds of organizational structures over time in order to change and adjust the business itself to fit with a change in environment. In 1984‚ Dell did the business alone but the demand was coming a lot. To serve the huge demand‚ Dell needed to hire more employees and assign a tons of work to each person. When the business is bigger and bigger‚ Dell alone cannot
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