The purpose of writing this is to demonstrate the effectiveness of the Dell Inc. In the computer industry. Dell is the leading brand in the computer industry around the globe. Dell is registered as a private company under New York stock Exchange. It was founded by Michel Dell in 1984 at the age 19. This company is primarily deals in the computer systems, Accessories and Information technology services. Dell Inc. is famous around the globe for its effective Business plan. This writing is an attempt to get insight in this successful business approach. The industry in which Dell prevails is the highly matured industry, and there is a stiff competition between Dell and its key rivals HP and Apple. Each of these organizations is searching for the point through which it can cut off the market share of the others. Dell through its unique way of direct Selling to customers reduced prices and effective supply chain management make a difference from others. Though Dell Inc. is the Successive organization in its industry, but there are certain mistakes made by this company like the increase in the equity shares of the company, overdependence on the debt and equity and not the creation of the reserves in the form of retained earnings. These mistakes reduce the net income of the company. The other mistake is not focusing on the new trends in the market. This writing contains some of deeps thoughts of the Dell incorporations strategies and business process. SWOT Analysis:
The term SWOT Analysis is an abbreviation of strength, weakness, opportunity and threat. SWOT analysis is conducted by the organizations to understand their strengths and weakness and also the threats to them due to the new entrants in the market. Dell Inc. also uses this analysis to understand its competitors. The analysis is presented below: Strengths:
* Direct Business Model
* Well controlled and well managed relationship with suppliers and the just in time inventory management. * Customized products according to the needs and wants of the customers. * The major share in the business sector of the industry. Weakness:
* Attraction of the youth segment of market.
* Lowest revenue from the educational sector.
* Customers do not know about the appearance of the product which they purchase before receiving it. Opportunity:
* Introduce the mobile computing devices like, palmtops, tablet computers and etc. * Direct communication along with customers provides a way for learning about the new trend Threat:
* The price differential among Dell products and other consumer products is a threat for Dell. * The decrease in the growth of the industry is a threat for the Dell, Due to its large share in the market. * Stiff competition among the competitive condensers is another threat for the Dell that creates obstacles in Dell way to become a market leader.
Dell Inc. is a multinational organization formed in 1984 in Texas, an American state by Michel Dell. This organization starts its life as a computer selling organization, who directly sells computer to the customers. The increase in efficiency in the operations through understanding the customer needs and wants made this company expend towards the computer peripherals, Information technology Consultation and other I.t related services. . It is the one of the biggest Information Technology Corporation in the world having almost 110000 employees around the world (Anonymous). Dell primarily deals in the computer systems, but the direct relationship with the customers provides Dell a way to increase over the other areas of the market like handheld PC’s, Notebooks, LCD’s and etc. Headquarters of Dell Inc. is situated at One Dell Way Round Rock, Texas 78682-0001 U.S.A. Dell is registered as a public company under New York stock exchange. Dell Inc. Performs various joint ventures and also made various subsidiaries smooth its flow...
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