The document is a presentation on Dell's case study, highlighting its founding by Michael Dell in 1984 and its rise as a leader in the PC industry through innovative strategies such as build-to-order and direct sales. It evaluates Dell's strategic management, strengths and weaknesses, and competitive positioning against rivals like HP and IBM, alongside financial performance over the past five years. The analysis indicates that Dell's evolving strategy and customer focus may contribute to its continued success in a competitive market.

1. Presentation on
the case study of
Dell - Driving for industry
leadership
GROUP - 19

2. Group 19
Serial Name ID
01 Utsho Saha 365
02 Pongkoj Sarker 375
03 Md. Belayet Hosen 384
04 Md. Rakib Hassan 392

3. Dell – Case Overview
Dell is one of the finest PC makers in the world. Those
are some the significant events according to the given
case that this company has experienced.
• founded in 1984 by Michael Dell,
• Become major player in the server, storage, and
networking markets,
• Innovative business model and commitment to
customer satisfaction with 24/7 customer support,
• Build-to-order and sell-direct model,
• Idea of "mass customization.“,

4. Question 1- What is your evaluation of Michael Dell as
CEO? How well has he performed the tasks of strategic
management?
Michael Dell's success as a CEO:
• Dell built Computer into a global leader in
the PC
• Made inroads in other product categories,
• Seen the trends in the IT industry,
• Dell has performed the tasks of strategic
management very well,

5. Question 2 - What are the elements of Dell’s
strategy? How well do the pieces fit together? Is the
strategy evolving?
Dell's strategy is evolving as the IT industry changes. For
example, Dell is expanding into new product categories, such as
servers and storage devices, and investing in new technologies,
such as cloud computing.
• Dell's build-to-order model is a key competitive advantage.
• Dell's direct sales model allows the company to build closer
relationships with customers.
• Dell's focus on efficiency is essential for the company's success.
• Dell is evolving its strategy to meet the changing needs of the IT
industry.

6. Question 3 - Does Dell’s expansion into other IT
products and services make good strategic sense? why or
why not?
Dell’s strategic expansion into other IT products and
services can make good sense for several reasons:
Diversification: Expanding into new product and
service areas allows Dell to diversify its offerings,
reducing reliance on a single market segment and
potentially tapping into new revenue streams.
Market Demand: Entering new markets may be
driven by customer demand and industry trends. Dell
can leverage its brand recognition and existing
customer base to capture a share of these growing
markets.

7. Question 3
Competitive Edge: By offering a broader range of products and services, Dell can
enhance its competitive position and differentiate itself from competitors.
Customer Relationships: Providing a comprehensive suite of IT solutions can
strengthen customer relationships, as clients may prefer dealing with a single vendor
for multiple needs.
Upselling Opportunities: Expanding its portfolio allows Dell to cross-sell and upsell to
existing customers, increasing the lifetime value of each client.

8. Question 4 - What does a SWOT analysis reveal about
the attractiveness of Dell’s computer’s situation ?
Weaknesses
1. Commodity (computer
hardware) products
2. Poor customer services
3. Low investments in R&D
4. Too few retail locations
Strengths
1. Brand name
2. Product customization
3. Environmental record
4. Competency in mergers
and acquisitions
5. Direct selling business
model

9. Question 4
Opportunities
1. Expand services and enterprise
solutions businesses
2. Obtain more patents through
acquisitions
3. Strengthen their presence in
emerging markets
4. Tablet market growth
Threats
1. Growing demand for smartphones
and tablets
2. Profit margin decline on hardware
products
3. Slowing growth rate of the laptops
market
4. Intense competition
By considering these factors, the SWOT analysis helps assess the attractiveness of Dell’s
computer situation and allows the company to formulate strategic decisions.

10. Question 5 - What does a competitive strength assessment reveal
about Dell, as compared to IBM, Hewlett-
Packard, and Gateway? Among these competitors, who enjoys the
strongest competitive
position? Who is in the weakest overall competitive position?
Dell's Competitive Strength
• Strong brand reputation
• Cost advantage through direct
model
• Innovation leader (online
ordering, custom-built PCs)
• Quick response to demand
changes
(HP) Hewlett-Packard's Position
• Significant presence in IT
industry
• Struggling PC business
• Facing competition from Dell
and rivals
• Need for strategic adjustments

11. Question 5
IBM's Competitive Position
• Major player in IT industry
• Struggling PC business
• Slow adaptation to market changes
• Strong brand name, but challenges
ahead
Gateway's Competitive Edge
• Smaller player with strong
customer service
• Cost advantage from direct
model
• Loyal customer base
• Niche positioning in the market

12. Question 6 - Has Dell’s strategy resulted in a substantial
competitive advantage over its rivals? What is the
basis for whatever competitive advantage it has?
Direct Model & Cost Efficiency:
Dell's direct-to-customer model
eliminates intermediaries, reducing
costs and avoiding retail markups.
Just-in-time inventory system
minimizes inventory holding costs,
enhancing cost efficiency.
Innovation & Customer Focus:
Early adoption of online ordering,
custom-built PCs, and on-site
support showcases Dell's
innovation.
Strong emphasis on customer
service contributes to attracting
and retaining loyal customers.

13. Question 7 - What is your assessment of the company’s
financial performance the past five years?
Strengths and Successes:
1. Revenue Growth
2. Efficient Direct Model
3. Profitability
4. Market Share Gain
Challenges and Weaknesses:
1. Dependence on PC Market
2. Intensifying Competition
3. Commodity Nature of PCs
4. Global Economic Events
In past five years Dell's financial performance was marked by a mix of
successes and challenges. Here's a more detailed assessment of key financial
aspects during this period:

14. Question 8 - Is Dell’s strategy potent enough to beat out
Hewlett-Packard? What are Dell’s chances for
becoming the dominant leader in the global PC market?
Yes Dell's strategy is potent enough
to beat out Hewlett-Packard:
Direct sales model
Build-to-order manufacturing
Strong focus on customer service
However, Dell faces some challenges from its competitors. HP is still the world's second-
largest PC maker, and it is investing heavily in its own direct sales model. Lenovo is also a
major competitor, and it is gaining market share in emerging economies. In addition, the
global PC market is maturing, and growth is slowing. This means that Dell will need to
continue to innovate and differentiate itself from its competitors in order to maintain its
leadership position.
Dell’s chances for becoming the
dominant leader in the global PC
market.
 Innovation and Differentiation
 Expanding Product Portfolio
Global Reach and Branding
Adaptation to Market Trends

15. THANK YOU