Dell Computer Case Analyses

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The American University in Cairo

Management Department

Strategic Marketing - 525

Dell Computer

Presented to

Dr. Ibrahim Hegazy

Prepared by group 2

Ahmed Hindawy

Hedi Hassan

Omayma Oouf

Sherief El Dessouky

Yahia El Sadek

Yasmin Faried

SWOT analysis

Dell operates in the Information Technology (IT) industry where it designs, markets, services and supports a wide range of computer systems, notebook computers (including desktop personal computers, notebook computers and network services). The company also markets computer hardware and software as well as service and support programs.

1. Strengths

a. Strategic vision. Michael Dell’s strategic vision, of a high performance/low price personal computers marketed directly to end users, was the main strength behind the success of Dell.

b. Direct relationships with the end users. Dell has always maintained direct relationships with the end users of its product. These relationships have always been a standard practice in all distribution channels used by Dell. Dell computers is now considered as the world’s leading direct marketer of personal computer systems

c. High quality products. Dell has been always committed to developing high quality products that are custom-configured and sold at reasonable prices.

d. Customer focus. Dell has always put an unrelenting emphasis on the customer and has always aimed at high customer satisfaction. In the American Customer Satisfaction Index (ACSI) for 2001, Dell had one of the highest scores (78).

e. Innovative direct selling model. This distinctive competency was very strong to the extent that the major competitors like IBM and Compaq to “Dell-ize” their selling models in 1992.

f. “Build to order” production concept. The major shift of its production concept from the inefficient “build to stock” to the “build to order” has contributed to the financial efficiency of the company.

g. Diversified product portfolio. Dell offers...