Dell Computer Corporation Case 2.2

interoffice memorandum

to: cliff hendren, Instructor

from: Teresa Laurin

subject: Dell

date: 5/1/2011

I have reviewed Dell Incorporated most recent SEC Form 10-K filed on 3/15/2011 for period 1/28/2011 below is my findings.

Competitors

Dell faces aggressive product and price competition from both branded and generic competitors. Some of Dell’s major competitors include Apple, Hewlett-Packard (HP), Sun Microsystems, Gateway, Lenovo, Sony Acer-Toshiba and Asus.

Suppliers

Many of the suppliers are located outside of the U.S. and significant portions of the products they sell are now assembled by contract manufactures, primarily in various parts of Asia. Hardware components such as housing, memory chips, motherboards, disk drives, monitors, modems, and connectors are purchased in a highly competitive global markets served by many companies. Microprocessors and software operating systems are supplied by a few limited companies. Intel is the main supplier for microprocessors and Microsoft is the main supplier for operating systems.

Business Strategy

Dell’s basic business strategy is Cost Leadership with the objective to become the lowest-cost producer in the industry.

Dell’s efficient supply chain management allows them to enter into flexible and mutually beneficial purchase arrangements with their suppliers to minimize inventory risk.

Products and Services

Enterprise Solutions and Services -Includes servers, networking and storage products. Services include a broad range of configurable IT and business services, including infrastructure technology, consulting and applications, and product-related support services.

Software and Peripherals - Includes Dell-branded printers and displays and a multitude of competitively prices third-party peripheral products such as printers, televisions, notebook accessories, mice, keyboards, networking and wireless products, digital cameras, third-party software products, including operating systems,...