Dell Computer Case Study
Nova Southeastern University
Michael Dell at the age of 19 founded Dell in 1984, a company best known for selling affordable personal computers and laptops. As a pre-med freshman at the University of Texas at Austin, Michael starts a new computer business under the name of PC's Limited. His vision carried over to Dell with the idea of customer experience as a differentiator with risk-free returns and next-day, at-home product assistance. Dell a very successful company though out the years made Michael Dell the wealthiest man in Texas. By 2011, the company has its best solutions portfolio ever and celebrates the largest single-year revenue increase in company history. Dell’s success is based on its origins having rapid response to customer’s desires; they are a “mail order company”, meaning that customers can customize their products to their likes and need and be delivered efficiently and rapidly. Dell’s success is much accredited to their logistics and response time; they have targeted the Business-to-Business market, where they fabricate computers in high volume for corporate companies in very short periods of time. They emphasized in customer service and in house installments of these computer systems for the B2B(business to business) customer segment. Dell also takes retail or customers necessities with their easy steps of manufacturing personal computers with the customer’s desires and needs (custom made product). The key to Dell’s success is its direct model. Simple to describe but hard to reproduce, this model is about low cost, direct customer relationship and virtual integration. The direct model is customer friendly and provide very low cost to customers. The strategies that Michael Dell has in his business have contributed to the company’s success. Dell continues to grow and innovate with keeping the customer in mind and delivering superior customer value.
Dell Position in Todays Market
Dell was a...
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