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Dell Computers Incorporated is a global technological corporation that develops, manufactures, sells, and supports personal computers and computer and electronic-based devices. Dell was indeed the first company in the IT sector to ordain that no computer should be built without first being sold in advance. This also ensures that Dell holds no extra surpluses. The stock in the company does not stick at a place for a long time. Dell best understands consumer needs and efficiently provides the most effective computing solutions to meet those needs by selling computer system directly to the customer. This direct business model eliminates retailers, who added unnecessary time and cost, and also allowed the company to build every system to order, offering customers powerful, richly configured systems at competitive prices. Dell introduced the latest relevant technology much more quickly than companies with slow-moving, indirect distribution channels, turning over inventory an average of every four days.
Part 2- Computers are extremely competitive and technology changes rapidly. While Dell's model keeps up with the newest trends, a substantial portion...
This is also an extremely unstable market. Dell also has a model that supports a certain type of consumer, if that mix changes or if that demographic niche changes, Dell is not necessarily poised to change rapidly and reinvent itself. Dell is highly dependent upon its own particular paradigm and infrastructure, if something were to impair that (virus, disaster, etc.) the company model would be in trouble.
Part 3- The SOX act, enacted in 2002, set new standards for U.S. public company reporting in the wake of a number of scandals. It requires Dell to report any off-balance sheet transactions to corporate officers and be transparent as to any potential conflicts of interests. SOX also required that Michael Dell himself certify the tax and fiscal disclosure forms and become personally liable for any errors.
Part 4- Dell is a direct to consumer manufacturer that has certain merchandising aspects (e.g. website, etc.). Their business is technically assembly of a number of components into a computer based on the specifics from…
Because of this, in less than two decades, Dell became the number-one retailer of personal computers. Michael Dell still remains wary of having extra parts building up in a warehouse that should handle items built and ready to ship ("A Revolution of One," 2001). That inventory obsession continues to reduce Dell's inventory while increasing the profit on cost of goods sold. Dell's concept of direct marketing is a critical key
[...] transaction customers, which represent 30% of U.S. sales, are small and medium size enterprises (about 20%) and home office customers and consumers" (Kraemer, Dedrick and Yamashiro, 2000) Built-to-Order Production The built-to-order production strategy was implemented to the great success of Dell Computer Corporation as it aided it differentiate itself from competing PC manufacturers. It ensured customers of the highest levels of interest in satisfying their needs and it as such
In addition to the America's, your company also did well in the European market. The company was able to fortify its No. 2 annual share position. In calendar 2003, your company held a 10.5% market share compared to 9.6% market share in 2002 ("Dell Annual Report 2004"). In deed the company's globel presence is increasing at a remarkable rate. In 2004 your company's Gross margin as a percentage of net revenue increase
Thus far, Dell has largely ignored the consumer market since the company views the margins in this market to be insufficient. Yet, if Dell can develop an effective route to market for consumers and/or streamlines its ordering process, Dell can expand its customer base substantially. It is already finding that consumers are coming to it after buying their first computer elsewhere, so the market is clearly ready for Dell
Dell Case Study and Business Strategy Comment by Sabina: Dell is one of the leading industries for computer production and sales globally. The brand is highly recognizable and the company is mainly known for its personalization of computers for customers. In 2004-2005 Dell became one the leaders in the industry for PC sales, by overtaking Hewitt Packard. However since 2007 sales have dropped and Dell is struggling to keep its market share.
In particular, Wyse gave Dell a better foothold in the sprawling segment of cloud computing. This area has helped companies save money through the delivery of affordable services and software over internet-based infrastructures (Ignatiuk, 2008). Dell will also benefit from the prior experience of Silver Lake expertise that has revived several tech companies such as Skype. This wrenching would typically change Silver Lake to be tricky for a public corporation