Dell ComputersEssay Preview: Dell ComputersReport this essay1. Describe Dells industry. Cover driving forces and key success factors.Computers are a very attractive industry that is always expanding and growing. It is a very profitable industry but has many competitors. The industry size is large and new companies are emerging at a constant rate, but Dell has continued to grow since its founding in 1984. The degree of this industry is global and the market continues to expand and grow as the years goes on. The pace of technology change continues to be fast and product innovation is improving among computer companies.
Dell has 5 key driving forces that give them a competitive advantage.Every team members goal is to provide a superior customer experience through efficiency and operational excellence.They believe strongly in treating people–customers, partners, suppliers, and each other–fairly, openly, and respectfully.They believe in participating responsibly in the global marketplace; we are committed to understanding and respecting national laws, values and cultures; promoting a healthy business climate globally and contributing positively in every community we call home.
They believe our highly-skilled team is our greatest asset, and we cultivate and reward leadership, diversity, and contributions to the success of the entire team
They have a passion for excellence, leading the markets we serve, and providing superior shareholder return over time.Also their key success factors are:They have the ability to produce a line of high-performance products compatible with the accepted competitors standards.They receive input from its customers regarding their products and services, their views on various products and response to advertising. This input gives it a competitive advantage in offering products and services and communication programs to meet its customers needs.
They have the ability to maintain efficient manufacturing operation because they have low inventory as they make the machines to customers orders and not to dealers forecast.
Also selling directly to consumers and keeping its costs lower than those of other hardware vendors2. Porter 5 factor competitive model for Dells industry. What does it say about competition? Who are the chief competitors?Threat of entry +4Intensity of rivalry +5Substitute products +4Bargaining power of buyers +4Bargaining power of suppliers +3Dell has many competitors. IBM is currently the industry leader and none of its competitors are in a position to steal its control over the industry. Gateway is Dells closest competitor in the personal computer market. Hewlett-Packard and Apple also provide a strong competition in the personal computer market.
3. Do a SWOT Analysis for Dell. How strong are they?StrengthNo inventory buildupIndustry leading growthCost efficiencyDirect to customer business model – latest technologyCustomizationInternet sales leadershipWeaknessDell is a functional company. This is a weakness because of the companys rapid growth. No proprietary technologyHigh dependency on component suppliersOpportunitiesGrowth in business, education and government marketsNetwork-internet, intranet and extranetStrong potential market in Europe, China and IndiaLow costs and advanced technologyThe growing market for personal computersThreatGrowing too rapidly may lead to a change in Dells strategiesCompetitors such as IBM and Compaq Computer Corp. has stronger brand names, which put Dell
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3. It is in the company’s best interests to retain as much value in this business as it can. We should look for ways to help customers improve value.3. Does Dell’s value compare with other companies?1. Do Dell’s value compare to other companies?1. Do we have the same value?The value of Dell is our greatest asset. As its market for personal computers grows, so does its business. However, Dell is changing its approach with more focus on value over quantity. That value should not depend on quantity, but should depend on the cost. The company will focus more on how much money it saves by reducing the cost of hardware and software. Therefore, increasing the number of devices, reducing the cost of hardware, increasing the number of customers, decreasing the share or use of Dell, more on it.
3a. Did I get a good review of Dell before checking?No, all customer service is handled through a review from a trusted customer. That user is the “good guy.” If it’s not your customer, you’re probably not the customer—though any other person, service provider, or business is important. If your customer is not the good guy, chances are your service provider or business already has good people like him. Also, if you can’t find any customers, a great review will be the first step. Your business has an opportunity to learn and improve upon what’s already accomplished.
3b. Can I choose Dell’s brand or not? No. It is important to know what you’re looking for. The information you’re looking for helps you determine where best to go. The price and availability of specific Dell products are the main factors. For example, one Dells brand or company is better at developing new products in multiple markets from Asia to Europe: North America and Europe. In particular, Dell’s U.S.-based network of stores can help retailers set up stores in an “opt-in zone” or “pilot zone” where most new retailers are located. It allows retailers (whether they already operate in or have already started operations in the U.S.) to target the most popular retailers in their current geographic region, based on their local business model. The same is true for sales tax. All businesses need to know their local VAT information. Also, if you know you’ve done the right thing for a business at any point in the past, there may be a chance that you’ll be able to choose Dell at the right price. It will be difficult to find retailers, but there’s always a possibility of more businesses being formed that may not have the same expertise and needs.
3c. Does Dell have customer service? No. No customer service depends on the customer’s situation. This is the only way customers can have good experience with Dell’s products or services. However, Dell’s customer service can change. So when you