Dell Case Study

DELL Case Study

Chapter 2

1. Conduct an Internet search on Dell and briefly describe the environmental context of the problem surrounding the company.

“In Dell's case, investors may be holding out for tangible signs that sales growth will return. Without it, there is only so much Dell can do to boost profits from its existing business. It has relied on acquisitions to migrate into faster-growing tech markets, but will eventually need to prove it can also grow organically.”   

Source: http://stocks.investopedia.com/stock-analysis/2011/Dell-Growing-Profits-Rapidly-Sales-Barely-DELL-AAPL-GOOG-XRX-EK1123.aspx?partner=YahooSA#axzz1ecOKOoil

Dell markets the following products:

o desktop personal computers

o notebook computers

o network servers

o workstations

o handheld computers

o monitors

o printers

o high-end storage products

o a variety of computer peripherals and software

o LCD televisions

o projectors, and other products.

Dell manufactures most of the products it sells in six production facilities worldwide, located in:

o Austin, Texas;

o Nashville, Tennessee;

o Eldorado do Sul, Brazil;

o Limerick, Ireland;

o Penang, Malaysia; and

o Xiamen, China

Dell revenues worldwide are split as follows:

o 66% are generated in the US

o 22% originating in Europe, the Middle East, and Africa

o 11% coming from the Asia-Pacific region

Key Dates:

1984: Michael Dell founds Dell Computer Corporation.

1988: The company goes public with 3.5 million shares of company stock.

1991: Dell introduces its first notebook PC.

1993: Dell establishes subsidiaries in Australia and Japan.

1996: The company begins selling over the Internet.

1997: Dell introduces a line of workstations.

2001: The company gains the leading share of the global PC market.

2003: Reflecting its widening interests, the company changes its name to Dell Inc.

2004: Michael Dell announces...