Dell, Inc.
Sinopsis:
Michael Dell started his corporation selling souped-up used computers from the back of his car in the early 80’s. Today he owns a multi-billion dollar empire that is arguably the most recognized name in consumer personal computers in the world. Dell, Inc.’s catalog-sales model was, until recently, wildly successful. Yet, since the recent immense advance in mobile electronics, interest in desktop PC’s has been dwindling and the once iron-clad business model faces the heat. People want to be able to see, touch and play around with the products they are going to shell out the big bucks for. Dell looks for ways to remain ahead of the game.
Strengths:
• Extraordinarily strong name brand
• Loyal customer base
• Strong sales
Weaknesses:
• Outdated business model
• Lack of a “hot” market product (read: ipod)
• No brick-n-mortar sales points (as of case print)
Opportunities:
• Emerging mobile electronics market
• Continued expansion in the world market
Threats:
• Competition with established retail outlet experience
• Cost of change
• Slow economy
Recommendations:
As Dell computers faces transformation, they must adopt an intelligent transition strategy while maintaining its core competencies in clear view. Moving into retail is a costly and risky alteration to the old ways. Dell should also have ample resources to move into R&D and strive to make a product that will attract the spotlight. They must stay competitive and show t ...