Dell Computers

Topics: Dell, Strategic management, Personal computer Pages: 9 (2620 words) Published: August 28, 2013
Dell Computer Corporation
Embry Riddle Aeronautical University
October 6, 2012

Dell Computer Corporation
The Dell Computer Corporation was founded in 1984 by Michael Dell from his dorm room at the University of Texas at the age of 19 with $1000. The original name of the company was PC’s Unlimited. The corporation was started with a simple premise as its basic foundation: so that personal computers could be built and sold directly to customers and by doing this, Dell could address their specific needs and provide the best computing solutions that meet those needs (Cuizon, 2009).

Dell Computer Corporation relies on its Direct Method to manufacture and sell its products to the consumers. This strategic model enables Dell to directly interact with customers providing them with fast production and distribution. The Direct Method provides two distinct advantages (Cuizon, 2009): 1) Reducing marketing and sales cost by eliminating markups of distributors and retailers. 2) Building to order reduced inventory costs and risks of retaining inventories. Dell Computer Corporation believes it has the most efficient strategic management business model. Strategic management is the process by which a firm manages the formulation and implementation of its strategy (Carpenter & Sanders, 2009). Dell Computer Corp. strategy was built around a number of core elements: build-to-order manufacturing, partnerships with suppliers, just-in-time components inventories, direct sales to customers, award-winning customer service and technical support, and pioneering use of the Internet and e-commerce technology (Dell, 2012). Management believed that a strong first-mover advantage accrued to the company from its lead over rivals in making e-commerce a centerpiece in its strategy (Dell, 2012). This study will research Dell Computer Corp. business strategy with focus on vision and mission, goals and objectives, strategy, strategic analysis, and strategic leadership. Dell believes it has the most efficient business model over other organizations and this research will provide an understanding of the business model. The company’s strategy will be properly researched by considering each of Dell Computers core elements to interpret if they are truly a best in class strategic management organization. Dell Mission Statement

Dell Computer Corporation’s mission is to be the most successful computer company in the world delivering the best customer experience in markets we serve. In doing so, Dell will meet customer expectations of: * Highest quality

* Leading technology
* Competitive pricing
* Individual and company accountability
* Best-in-class service and support
* Flexible customization capability
* Superior corporate citizenship
* Financial stability

Dell's aim is to create loyal customers by providing superior experience at a great value. They are committed to direct relationships, providing best products with standard based technology outperforming the competition with value and a superior customer experience (Dell, 2012). It’s the way we do business. It's the way we interact with the community. It's the way we interpret the world around us-- our customer’s needs, the future of technology, and the global business climate. Whatever changes the future may bring our vision -- Dell Vision -- will be our guiding force (Dell, 2012). SWOT Analysis of Dell Computer Corporation

Strengths:
* One of the largest computer manufacturers
* Deal directly with customer
* Brand recognition
* Diverse products
* Design PC to customer specification

Weaknesses:
* Amount of supplies from many different suppliers
* Inventory
* Quality concerns
* Business relations

Opportunities:
* Diversification
* New products
* Low cost to consumers
* Internet market
* Strengthening global market
* Expand to educational markets

Threats:
* Competition...
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