4. Dell's External Analyses
1) Porter's Five Forces Model and Current Issues
2) Opportunity & Threat
5. SWOT Analysis
1) 4 Possible Scenarios
2) Business - level Strategy
본문내용
1. Introduction
"Relationships with customers and suppliers allow us to know what we must be able to supply in real time and then very quickly and precisely meet that demand while maintaining low inventory."
(Dave Schneider, engineering manager of Dell)
As of July 2002, Dell Computer Corporation (Dell) was the world’s largest direct selling computer company, with 34,800 employees in more than 30 countries and customers in more than 170 countries. Headquartered in Austin, Texas, Dell had gained a reputation as one of the world’s most preferred computer systems companies and a premier provider of products and services that customers worldwide needed to build their information-technology and Internet infrastructures
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⓸ Distributional weakness : Recently, Dell built partnerships with major retailers known as low-price shopping destinations. However, low-price retailers
⓹ Absence of unique technique to offer the PC market : Dell build computers, not develop them.
⓺ Dell has not been able to penetrate many new international markets.
⓻ Dell's major products have low margins which is the cause of Dell's low profitability.
2) Opportunity & Threat
Opportunity
⓵ Growth of IT industry
Cloud service market is expected to grow by $ 25 billion. Due to economic stagnation, middle and small sized firms try to achieve cost cut in IT infrastructure. In emerging market for instance, China's yearly sales continue to grow by 90%. Also Corporate interest in processing 'Big Data' keeps increasing. They seek Data-mining tool to handle excessive amount of data.
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