Case study on: dell Submitted to: Sir Muzzamil Submitted By: Students INTRODUCTION: The Dell company is one of the world’s top providers of computer products and services to businesses and consumers. This company is the "The state’s biggest revenue generating technology firm". In 1984‚ Michael Dell is the founder of the Dell company. He has the unique idea to sell computer systems directly to the customers. This case study
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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 ‚ via the Internet. In doing so‚ avoid Dell intermediaries becomes more cost carriers. Where competitors more trying to focus on creating services around the product ‚ thereby creating value for the customer ‚ trust Dell more on the customer already has the implementation knowledge required to do
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Recommendations (1) Dell has to keep their simplicity into business models instead of creating it in complete way. (2) Dell should take serious consideration about their customer service in online marketing platform‚ not only providing many kinds of user engagement but they have to maintain it as well. (3) Dell should be more creative into their design features customization to attract more customers. Strengths 1. Good business model 2. Low inventory cost 3. High market shares 4. Customizable
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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 another FSA was its efficient supply-chain.as well. The macro-level requirements
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Evaluation of Michael Dell’s Performance: In 1984‚ at the age of 19‚ Michael Dell founded Dell Computer with a simple vision and business conceptthat personal computers could be built to order and sold directly to customers. .Michael Dell was the youngest CEO at the age of 27 to head the fortune 500 Company. In his role as CEO‚ his performance was excellent. Through his innovative way for marketing computers‚ he guided Dell from a small‚ start-up company into a global leader in PCs and IT Products
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Matching Dell 1. Perform an Industry analysis on the personal computer industry Substitutes Buyers • Compaq • IBM • HP • Hacer • GateWay • Apple • Large and midsize Business • Government • Small Business • Individual Customers • Educational • Most of them have a strong purchasing power and a easy way to change of supplier in commodity PC product Suppliers Barriers to entry in this Industry • Intel • Microsoft • Others • They have a strong Power • Intel and Microsoft
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Brand loyalty is average to low (1.2) Switching costs of the market player are average. (1.3) The threat of new competitors lowers the profitability of the market Customers bargaining power: It is very hard for the customers to join forces and fight for their interests. (2.1) According to the modern way of life the need for computer in every work place and home is high which decreases even more the power of the customers. However‚ the switching costs are low (2.2) In general the customer bargaining
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Dell CSR Company Profile Michiel van Dijk & Irene Schipper Amsterdam‚ May 2007 Dell – CSR Company Profile Colofon Dell CSR Company Profile By: Michiel van Dijk & Irene Schipper February 2007 Stichting Onderzoek Multinationale Ondernemingen (SOMO) Centre for Research on Multinational Corporations This document is licensed under the Creative Commons AttributionNonCommercial-NoDerivateWorks 2.5 License. To view a copy of this license visit: http://creativecommons.org/licenses/by-nc-sa/2
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Dell is also one of the in the market setting the tone for horizontal structure communication. It has adopted Hofstede’s low power distance dimension. In the Retention‚ Acquisition‚ and Development account‚ communication involves much horizontal communication with lean hierarchy. The organization has been able to run much like an entrepreneur startup even though it has reached gargantuan size. The lean hierarchy is one of Dell’s key success factors because it creates more efficiency in the workplace
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1. Evaluate the attractiveness of the PC industry. In short‚ at the time of the Matching Dell case study the PC industry was essentially in a boom‚ and particularly in the United States. Steady growth and expansion continued from the first waves created in the mid-1970s by firms like Apple‚ and exploded in the 1980s with IBM’s first PC offering. Companies likely envisioned a huge potential for growth due to the fact that PC had become attainable as a household commodity‚ and was almost certainly
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