Dell Computer Corporation: Case Analysis

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Dell Computer Corporation Case Study I. Central Issue Dell Computer Corporation has experienced tremendous growth since it was incorporated in 1984. The product largely responsible for the success of Dell Computer Corporation is Dell's Direct Model, which is cost-efficient and customer-friendly in terms of its production and distribution. In the ever-changing market environment of today competitors are presenting challenges with products that are new and unique. However, there is one area that Dell can focus on for continued success and that is in its development of laptop computers, which will serve to ensure the ongoing success of Dell Computer Corporation. The problem that was experienced by Dell is that the company's vision and strategy for laptop computers was characterized by what is termed as a "shrunken desktop mentality, leading to severe quality problems" and in 1993, it is reported that there was a major recall of Dell's laptop product with the company experienced a major loss. In addition, Dell has entered its product into retail channels without success because Dell could not produce the mass customization in the retail market that had made the company successful in the direct marketing of its products. Reports show that Dell had to make a decision concerning its focus on laptops, desktop computers and the market for servers. II. Situation Analysis A large portion of laptop sales were to large corporate customers was for the customer's sales and process

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