External Environment Analysis of Dell.
Fir the customers of Dell, it is a quality brand at a good price. Its competitive environment is intense with major brands like HP, Sun and IBM fighting neck to neck globally with Dell with very less price and quality differences. Other factors where Dell has enabled to manage the lead are:.
Dell SWOT Essay example
Every single order is built according to the individual requirements of the customers as customization is always been an asset for Dell. The inventory turnover of Dell is on average of six days which helps in keeping low inventory costs.
Summing up the External Environment of Dell, it can be said that with the operating system implemented by Dell, which includes its direct selling and build to customer order, Dell has managed to increase its sales each year and is among the top competitors of computer market. Its different approaches have allowed Dell to enter into this highly competitive market in a unique way.
The market was already much fragmented when Dell entered in and had reached the maturity limit.
At that time, Dell entered with its unique direct selling model which gave it a competitive edge through its low selling price. Dell has always looked to the market trends as an aid for the development of new products as the overall market for IT and related products is influenced by trends. Now customers are more aware and educated about their purchases ad so they want increased customization, portability and durability, creating a constant need for Dell to meet their demands. The competitors are also much efficient in responding to changing trends of market and to any strategy opted to get part of their market share.
Thus Dell also needs to take care of this issue of intense market competition. This strategy, although tried to be replicated by many others, has enabled Dell to sustain the intense and changing threats from market and be able to increase the scope of its operations from US to almost everywhere globally Byrnes, Affiliate with other players in market to achieve better advantages and compete using combination of huge range of products. Its simple website e-business presence might not be enough. Rethink its Virtual Network by moving from the short term outsourcing in value chain activities to lessen prices to a more appropriate long run effective idea to be better able to meet competitors.
Apple Inc.’s Weaknesses (Internal Strategic Factors)
Moving from Hardware to Software would be another good option which can allow Dell to start developing proprietary software. Another improvement to be made can be of increasing the market share in educational market by exploring ways to generate attention from education markets particularly college students by either using product differentiation through more aggressive sales marketing.
Cuizon, Dell is working in an extremely intense market for personal computers, particularly laptops now. The industry is driven by ever changing consumer needs and demands and thus for companies like Dell, it requires constant effort to keep up with the adaptation so as to satisfy the changing needs of customers.
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Dell, with the help of its strengths, keeping close eye on weaknesses and investing properly in opportunities while coping with threats from macro-environment can enable itself to position and sustain itself as a significant player in the intensely competitive market. If you are the original writer of this essay and no longer wish to have the essay published on the UK Essays website then please:.
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Dell Strategic Analysis
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