Dell Case Essay

1148 words - 5 pages

Dell Case 1. Dell?s Online Success inevitably resulted in a complete alteration of their business strategy, which focused on making every decision ?customer-driven,? while increasing efficiency across the company. With the formation of the Dell Direct Model, which focused on made-to-order products, a low cost distribution system, rapid lead times, and the maintenance of customer relationships, this new concept needed strong sales and marketing opportunities, as a customer could get a made-to-order computer shipped to their home in about 36 hours, which was a model time within the computer industry at the time. With the Internet craze of the 1990?s, the Internet presented the ease of a new information channel, which was the perfect mode of extension for the new Dell Direct Model into customer?s homes. On behalf of Dell?s original position within the PC market, as Dell did not have a distribution channel, but always directly dealt with the customers themselves, Dell?s marketing force believed that Dell?s venture of expanding retail sales, support help, an order tracking system, and other services directly into the homes and businesses of its customer base, would be extremely profitable through Dell Online. They were right, as sales revenues from the website generated about $3 million a day a year and a half preceding it?s launch (mostly coming from business customers), which were accompanied by high levels of customer satisfaction concerning their purchases online. With these high levels of customer satisfaction came goals to further reduce costs, which were saved by reducing the telephone calls between customers and sales reps and also by making possible higher sales quotas for sales reps as a result of the leads that were achieved as a direct result of online usage. Further success came as a result of the satisfaction accompanying customer-tailored services, such as ?Dell Premier Pages,? which directly allowed large institutional customers to do such things as buy, price and construct systems, as well as track order status. Dell?s online success can be seen as an overall company makeover tailored more towards understanding their customers as well as setting them up for other market opportunities such as going global, without the need for large capital investment in a sales force.2. The advantages that Dell derived from its Online success includes wider expansion to the limits of their distribution channel, as Dell has always dealt directly with customers, without relying on any other extensive distribution channels. As the number of households with the internet increased, so did the possibility of obtaining new customers, who never would have went through the trouble of finding Dell Sales reps and ordering a computer from them. This advantage is significant, as Dell did not have to interrupt or anger fellow supply chain players, but simply expanded their range of possible customers that could now more easily deal with Dell. Dell also became more...

Find Another Essay On Dell Case

Case Study of Dell

4056 words - 16 pages the following showing how the concepts related to OPP could be applied. [Use Dell and other case studies or companies to illustrate your answer]: Organising for High Performance Supply Chains Creating an environment for Innovation Motivation and Reward Career management and developmentMotivation and reward2.0 IntroductionMotivating employees to excel in any business is a topic of great practical concern to employers

An eBusiness Case Study about Dell

1513 words - 6 pages Abstract:The concept of this case study is to analyze and describe the basic operations and patterns of ebusiness in Dell. By means of directly analyzing the website, the ebusiness model and the ebusiness architectures of Dell Company, relevant information was selected, collected and analyzed in this report. Firstly, this paper states the High Level Business Description about Dell's business model in first section. Then, this report analyses the

Dell Case Study -- "A Success Story"

582 words - 2 pages Started with a mere $1,000 in 1984, Dell, Incorporated was the brainchild of an ambitious, business and computer savvy 19-year-old named Michael Dell. The story that follows is the embodiment of the American dream; twenty years later, the company controls the personal computer market share in the United States, no small feat given the endless competition. What helped Dell stand out from the crowd twenty years ago still holds true today: its

Strategic marketing Management of Dell - Analysing Harvard Business School case "Dell - The New Horizon"

4465 words - 18 pages This MBA level essay talks about the future of Dell and how it can sustain the success and growth it have been enjoying for the past few years, taking in consideration the current economical difficulties that the US economy is facing. The "Dell - The New Horizon" case from Harvard Business School inspired and provided important data for this analysis. Titled "strategic marketing Management of Dell" the essay answers questions such as:1)Based on

Dell Corporation - Case Study

1329 words - 5 pages Simply stated, the financial accountant is the number cruncher while the managerial accountant is the analyzer. However, it is not that simple. Most experts are fairly consistent with their definitions of what the financial accounting entails, however, defining managerial accounting appears to be opinion dependent. As the population of the occupation grows so does the defined responsibilities involved.The general consensus of financial accounting

Case study: Dell

785 words - 3 pages Product development at dell1.What is Dell's business model? How is it different from its competitors?(1) The Dell model, which relies on direct mail order sales to customers, Dell serviced its customers with combinations of home-based telephone and field-based representatives. Well-trained technical representatives provided the first post-shipment level of support through 24-hour support system, which help customers diagnose and solve problems

Case Study Marketing Management: Dell-New Horizons (HBS 502-022) - DUTCH

6012 words - 24 pages klantvraag naar is.3. Doorgaan met sturen op cashflow. Hierbij focus op lage kosten, rendabele marges en positionering in groeimarkten. Zoals uit Exhibit 2 van de case blijkt heeft Dell het management om te sturen op een gezonde kaspositie.

Case Study: Dell computer (1994)

1620 words - 6 pages In 1994, Dell Computer was a struggling second-tier PC maker. Like other PC makers, Dell ordered its components in advance and carried a large amount of component inventory. If its forecasts were wrong, Dell had major write-downs.Then Dell began to implement a new business model. Its operations had always featured a build-to-order process with direct sales to customers, but Dell took a series of ingenious steps to eliminate its inventories. The

E-commerce, case for Amazon and Dell

1291 words - 5 pages selling PCs over the Internet in 1996. In its most recent quarter, Dell reported 30 percent of its revenues came from Web-based sales. The company has set a goal to increase that total to 50 percent by the end of next yearDell's built-to-order model also cut down on the number of PCs in inventory and the cost in the meanwhile. For other PC firm, it will consistent six-day inventory level. Moving to the Web, company is able to provide order status

The essay is entitled 'Dell's Supply Chain'. It's a descriptive business case about the uniqueness and strength in Dell Computer Corporation Supply Chain.

1409 words - 6 pages ://, (05 Apr 2003).Information Technology Association of Canada (ITAC 2001-2003), 'Dell Computer Corporation - Best Practice Case Study',, (05 Apr 2003).Canadian Transportation and Logistics (CTL), (Nov/Dec 1999), 'Built for Web-based Sales, Build-to-Order PCs, and Direct Distribution Make Dell's Supply Chain the Cornerstone of its

Dell Case Study as presented by The Harvard Business Review

847 words - 3 pages Dell was the first mover with its business-to-customer model and internet sales and services since Dell reinvented the value chain for PC industry. Although China would become the second largest PC market after US, Dell's decision of positioning in this market was very crucial. Direct selling of business-to-customer model through the Internet! Does this create competitive advantage in China like it did in USA and Europe? If not what should Dell

Similar Essays

Dell Case Essay

1148 words - 5 pages Dell Case 1. Dell?s Online Success inevitably resulted in a complete alteration of their business strategy, which focused on making every decision ?customer-driven,? while increasing efficiency across the company. With the formation of the Dell Direct Model, which focused on made-to-order products, a low cost distribution system, rapid lead times, and the maintenance of customer relationships, this new concept needed strong sales and marketing

Dell Case Essay

1186 words - 5 pages Case comprehension Dell Computer Corporation was founded in 1984 by Michel Dell, as a result of a growing demand for his pre-formatted hard-disks and upgraded IBM-compatibles. Within a year, Dell introduces its first own-design computer system and in 1989, the company introduces its first laptop. The first laptop introduced did not live up to the Dell standards, and was therefore taken off the market again. Dell had to solve the problem of

Case Study: Dell, Inc.

911 words - 4 pages Untitled Case: Dell, Inc. Casey Wilson INSS 720 Company Summary: Michael Dell founded Dell computer at the age of twenty-one in his dorm room at the University of Texas, Austin. Dell's strategy is to build a computer so that the consumer can order it easily. It's build to order strategy has made Dell

Dell Case Study

1063 words - 4 pages these leading to more bureaucracy and costs• if expansion is quick and significant as in the case of Dell, control systems may be inadequate• changes in product ranges, may mean Dell lose control of stock, which may become obsolete as a result• employees become more remote from management and the objectives of the business becoming more difficult to disseminate• increases in size may lead to larger spans of control and longer