Dell Research Paper

1334 WordsJun 6, 20106 Pages
DELL Research Paper 1. A history on the origins of the company. a. Dell was founded by Michael S. Dell in May 1984. b. Mr. Dell began the company from his University of Texas dorm room. c. He bypassed the retail outlets and sold his computers directly to consumers. This allowed him to eliminate the retail mark-up and sell his PCs at about 40% of an IBM PC. d. In 1988 the company went public and began selling to larger customers such as government agencies. e. The company built its fortune with the Microsoft’s Windows operating systems and Intel microprocessors as its foundation. Other options for Dell computers are chips from AMD and a version of Linux f. In 2007 the company began selling…show more content…
4. The number of employees q. Dell Inc. operates with 96,000 employees worldwide. 5. The seasonality of the sales and the problems it creates r. Dell saw weaker demand from both commercial and consumer customers during the year due to the recession. s. Its financial services line of business was negatively affected by loan delinquencies and defaults. t. The recession was challenging enough, yet competitiors were continually coming after Dell’s market share u. With its extensive line of netbook computers, Acer is dueling with Dell for second place in the worldwide PC market. 6. The unique characteristics of supply v. It carries no inventory on hand and makes your personal computer only when you order it and to your specifics. 7. Where u estimate the Herfindahl-Hirschman index to be? 8. Strategies for which the company has employed. w. Dell places great emphasis on its built-to-order strategy as it allows for lower inventories, lower costs and higher profit margins x. Those elements have served them well through the PC pricing wars and IT spending recessions. y. Dells main strategy is to eliminate the middleman and sell for less Michael Dell pioneered the direct-sales model for computers and took the company from his dorm room to the top of the PC heap by keeping it focused on a simple formula: Eliminate the

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