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"Dell Case Study"

By Todd Beals

4/22/03

TABLE OF CONTENTS:

Executive Summary..................................................................................3

Introduction............................................................................................4

Problem Identification...............................................................................4

Company Analysis....................................................................................5

Critical Success Factors..............................................................................7

Distribution Channel Analysis......................................................................8

Sales Infrastructure Analysis........................................................................9

Industry Analysis.....................................................................................9

Competitor Analysis.................................................................................9

Customer Analysis..................................................................................10

SWOT Analysis.....................................................................................11

Current Strategy (4P's, Target Market, Positioning)...........................................11

Strategic Options....................................................................................13

Recommendations & Implementation............................................................15

Appendix.........................................................................................18-20

EXECUTIVE SUMMARY

As one of the world's leading direct computer systems companies and a premier supplier of technology for the Internet infrastructure, Dell's competitive advantage is its direct customer focus. Constant interaction with its customers online and via the telephone gives Dell the ability to understand unique computing needs that drive individual and enterprise productivity. Even though growth rates for the computer industry are expected to be less than previous years, Dell can still successfully operate, enjoying healthy sustainable profits. A main problem is a sagging US economy which Dell has no control over and a saturated PC market with lower profit margins from industry price wars. Dell should focus on being a "market taker", instead of trying to be a market maker and capitalize on its ability to enter new markets and quickly