Dell Computers (A): Field Service for Corporate Clients
What are the key challenges DELL should be concerned with as it enters the large scale server market? The key challenges Dell should be concerned with as it enters the large scale server market are as follows: •
Dell might not succeed in large server market since its current customer base is different and it might not appeal to customers with large server requirement. •
Its current business model is successful because of low-cost production and low prices along with outstanding customer service. It might not be able to replicate low cost and prices in large server market. •
If at all Dell tries to keep the prices low, it will further lower its profit. •
Dell entering the already established market might not affect competitors and so it will not be able to survive the competition. •
Customer requirements for product and service will be different for large servers when compared to PC’s and Dell will need operational changes in order to meet it. •
In-house field service time is really important for this market and it will incur additional costs to Dell.
Should DELL outsource the four hour service level support or should DELL provide the service with in-house resources? Why or Why not? Outsourcing the service level support might affect the Dell’s promise of excellent and on-time customer service to the clients. But given current scenario and a heavy investment requirement for in-house resources it is best for Dell to outsource the service at least initially and then slowly develop a plan to increase in-house resources or make the outsourcing more effective. It should outsource the four hour service level support for the following reasons: •
It will be able to keep up the service standards of Dell and meet large server market customers’ requirements by outsourcing it. •
When entering a new market, it will be a big risk for Dell to start in-house resources, incur all the cost when the future of large...
Please join StudyMode to read the full document