Dell Case Memo To: Michael Dell Due to competitors including IBM‚ Compaq‚ and HP attempting to mimic the business model of selling directly to end users‚ Dell must exploit its core competencies to maintain its leadership position in the direct sales channel. In order to understand why cultivation of core competencies is crucial to the future success of Dell in this period of increasing competition‚ we will examine which competencies have led Dell to be successful in the past‚ what the competitive
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Dell Promotion Objectives Dell’s sales promotion strategies are depended on the different type of consumers such as loyal customers‚ competitor’s customers‚ Brand switchers‚ and prize buyers. A repeated purchase which is the sales promotion objective is very important for any company to reach their goal. Dell offers its customers an option to purchase on internet and to contact Dell employees if they have any problems or questions. . Internet is the most efficient
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Dell Mercousur Given how Dell translates its foreign currency financial statements into Dollars‚ how would a falling Brazilian Real affect Dell Mercosur’s financial statement? A country’s falling currency can affect a businesses operation in many ways. Partly its currency helps determine a company strategy and can impact decision making. For instance‚ as a result of the falling real‚ the Chief Financial Officer of Dell Mercosur has to base his strategies depending on the strength or weakness
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Marketing Opportunities Bruno Tini Fernanda Saldanha Yosiro Delgado DELL Description of the business • The company was founded in 1984 by Michael Dell. Dell is a leading provider of desktop personal computers‚ software . The company designs‚ develops‚ manufactures‚ markets‚ sells and supports information technology systems such as laptops‚ desktops‚ mobiles‚ workstations‚ storage devices and printers. Dell provides consulting services such as capacity planning‚ data center optimization
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just some ideas: Dell keep the competitive advantage by bringing assembly and distribution closer to its customers. Dell’s manufacturing‚ logistics and shipping strategies make it possible to customize computers for individual consumers at low cost and for low price. Days of inventory. Dell days of inventory is 7.11 in 2000 and 5.73 in 2001. These incredible numbers allows it to pass on component price declines faster than anyone else in the industry. Lean inventories help Dell benefit from falling
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Matching Dell Between 1994 and 1998‚ the revenue of Dell Computer Corporation rose from $3.5 billion to $18.2 billion‚ and profits increased from $149 million to $1.5 billion. The company’s stock price rose by 5‚600%. During the same period‚ Dell grew twice as fast as its major rivals in the personal computer market and tripled its market share. In the first half of 1998‚ Dell reported operating earnings that were greater than the personal computer earnings of Compaq‚ Gateway‚ Hewlett Packard
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“Soul of Dell” was created Kevin Rollins was serving as the Senior Vice President of strategy and noticed Dell had a culture that needed to be changed. This culture was‚ “created a culture of stock price‚ a culture of financial performance‚ and a culture of ’what ’s in it for me? ’ throughout our employee base" (Zellen‚ 2004). Between Rollins and Michael Dell the “Soul of Dell” was created. This is now the corporate philosophy for Dell and has been since 2000. The purpose of The Soul of Dell is to
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market‚ the organization can identify which customers that can match with their products and services. In Dell‚ the segmentation is a backbone for them. There are two segmentation criteria in Dell; segmenting consumer market and segmenting business market. In the segmenting consumer markets‚ there are geographic‚ demographic‚ socio-economic‚ behaviour and psychographic segmentation. In Dell‚ the purpose to segment the consumer markets is focus to the personal users or for home users. The geographic
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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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Situation Statement Dell Computer Corporation was founded in 1984 by Michael Dell. From the early 1990s until the mid-2000s‚ Dell was ranked as a PC market leader relying on their distinctive marketing pattern “Direct Model” which undertook direct communication with customers and provided customized products. Recently‚ the PC industry is facing inconceivable worldwide competition‚ and Dell is gradually losing their competitive advantages by using its direct model in critical business segments
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