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Dell final
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- 2. INTRODUCTION • Dell computerwas founded by Michael Dell. Dell traces origins to 1984 when Michael dell created PCs limited. • The principle of the company was to provide computers at the lowest price possible
- 3. • This wasachieved by removing the retailer in between and using the low-cost direct marketing method. In the first full year of business Dell was able to achieve sales of $6 million which jumped to $40 million in the very next year.
- 4. Products • Desktops • Servers •Notebooks • Netbooks • Printers • Televisions • Scanners • Pen Drives
- 5. • Dell Internationalstarted in India by opening a customer contact center at Bangalore in 2001. • In 2003,the second contact center was opened at Hyderabad. • After the U.S., Dell India is the second biggest center with 13,000 employees. • About 90% of dell computers are manufactured in China
- 6. Dell has grownby both increasing its customer base and through acquisitions 2006 – Alien ware 2009 - Perot Systems 2010 - KACE Networks 2010 - SaaS 2012 - Sonic Wall 2012 –Wyse 2016- EMC Corporation
- 7. The Company conductsoperations worldwide through wholly owned subsidiaries. Sales outside the United States accounted for approximately 35% of the Company's revenues during the fiscal year ended February 1, 2002 (fiscal 2002).
- 8. Direct Selling • Thecompany outsourced all components but performed assembly. • It eliminated retailers and shipped directly from its factories to end customers. • It took customized orders for hardware and software • It designed an integrated supply chain linking Dell’s suppliers very closely to its assembly factories and order-intake system
- 9. • MICROSOFT -for Windows • INTEL - for micro processors • NVIDIA - for Graphic chips • SONY - for monitors Suppliers
- 10. Mass customization (endresult: Delivers exactly what the customer wants) • Partnerships with suppliers • Just-in-time components inventories • Direct sales • Market segmentation • Customer service • Extensive data and information sharing with both supply partners and customers
- 11. Supply Chain • Delleliminated the need for central warehousing as well as the need for a physical store presence. Instead Dell attracts customers to its site and then builds bonds with them there rather than investing in a physical relationship. • Dell’s manufacturing sites are in Brazil, China, Malaysia, Ireland, and the U.S. • Advantages of these locations are that some of them are low cost
- 13. Strength • Direct ModelApproach, it provides Dell a way to interact to customers directly • Customization of products • Reliability, Service and Support • Latest Technology SWOT Analysis
- 14. Weakness • Market sharegrowth is slow due to competition; Fake products/ imitations affect sales • Overdependence on Suppliers. • Lack of Dell Stores, can be an issue for some customers
- 15. Opportunities • With increasein e-commerce the online retail stores of Dell provide them better framework to tap new business • The Direct approach Model of Dell would help them there existing to sell the other IT products, so new product development opportunity is for Dell Tablet and Smart phone Market
- 16. Threats • With theincrease in innovation in the market the computer systems are becoming outdated, so Dell should constantly come out with new products • People need the quality products at low price which was Dell strength due to it’s customize solution, but now its competitors are coming up with products in same price range
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