Dell is considered a very successful company. According to Govindarajan and Gupta (2005) one of the successes is its customer-direct concept that has been practiced since the company's inception

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Running head: Environmental Analysis Dell

Environmental Analysis of Dell Organization

University of Phoenix

MGT/578 Strategy Formulation and Implementation

Overview

Dell is considered a very successful company. According to Govindarajan and Gupta (2005) one of the successes is its customer-direct concept that has been practiced since the company's inception. The concept involves dealing with customers directly and not through a third party, which helps maintain the quality of the relationship with its customers and the products. In addition, this concept allows Dell to eliminate unnecessary inventories, warehouse space and storage expenses. Dell succeeds by expanding its business, which can be measured by how it creates relationships with other big businesses, such as Walmart, Boeing, and Ford. Dell expands its business by providing products other than computers, for example, LCD TV's, digital cameras and financing services. Dell possesses a unique ability to manage its business well enough to continue down a path of notable growth and success in a fiercely competitive industry.

The Companies commitments to reducing costs, developing its products to meet customer demands, and providing the best value to its customers are some of the ways that continue to