DELL INCORPORATE
Group Members
Bushra Naz 03
Akbar Ali Ansari 14
M. Anis 15
Habib Ullah 26
Shakir Rashid 27
Azhar Bilal 31
The Islamia University of Bahawalpur
Shakir Rashid
Roll No. 27
Dell Incorporation
Founded Austin, TX, USA
(November 4, 1984 as
"PC's Limited")
Founders Michael S. Dell
Headquarters Round Rock,
TX, USA
Area served Global
Key people Michael S. Dell
(Chairman & CEO)
Industry Technology
Products Desktops
Servers
Notebooks
Netbooks
Peripherals
Printers
Televisions
Revenue ▲ US$ 61.101 Billion (2009)
Operating income ▲ US$ 3.190 billion (2009)
Net income ▲ US$ 2.478 billion (2009)
Total assets ▼ US$ 26.500 billion (2009)
Total equity ▲ US$ 4.271 billion (2009)
Employees 76,500 (2009)
Subsidiaries Alienware
ASAP Software
EqualLogic
Website [Link]
1984-- Founded in 1984 with a capital of 1000 dollars.
1985-- Produced first computer “Turbo” of its own design.
1987-- Started the first international operations.
1988-- Changed its name to Dell computer corporation.
1989-- Dell released its first notebook computer.
1990-- Dell shifts business over seas to try to gain market share.
1993-- $500 million sales; with an extensive line of products.
1996-- Dell goes online; $1 million per day in online sales; $5.3B in annual sales.
1997-- Dell online sales at $3 million per day; 50% growth rate for 3rd
consecutive year, $7.8B in total annual sales.
Cont’
1999-- Dell overtook Compaq to become the largest seller of PC’s in US.
2002-- Introduced Dell brand printers.
2003-- Changed its named to Dell, Inc.
2004-- Michael Dell stepped down as CEO & Kevin Rollins was asked to take his seat.
2005-- Dell records one of its poorest years in company history.
2006-- Dell Acquired Alienware.
2007-- Kevin Rollins resigned. Michael Dell became the CEO once again.
2009-- $61.101B sales & employees over 76,500.
Dell Achievements
Q1'05 y/y
WW Vendor Ranking 1995 Q1'05 Rank Growth
Dell 7 1 13.6%
HP (Merged) 1 2 10.6% Dell Takes No.1
IBM 3 3 2.2%
Position in 2004
Fujitsu Siemens n/a 4 14.0%
Acer 6 5 39.1%
Toshiba 8 6 22.6%
NEC 2 7 23.9%
Apple 4 8 42.5%
Legend / Lenovo 46 9 19.9%
Gateway 9 10 -20.0%
Went Up Went Down
No Change New Entry
Source: IDC PC Tracker, 1995 - 2005 (Full Year)
* In 1995 Pre-Merger, Compaq ranked #1, HP #7
Interesting Facts
The 10 largest US companies run on Dell.
The top 5 US commercial banks run on Dell.
14 of the top Supercomputers run on dell.
Ships about 1,40,000 systems per day- that’s more
than one every second.
Dell is the only computer company offering free
computer recycling to consumer worldwide.
Introduction with case
Buying a computer has never been an easy task.
Since you’ll be putting a huge investment into it
and you want to make sure that you are getting
the best one at a reasonable price.
Dell and HP (Hewlett Packard) are known to be
the two top companies that leads the personal
computer industry.
Vision Statement
“It’s the way we do business……….!
It’s the way we interact with the community…..!
It’s the way we interpret the world around us---
our customers, needs, the future of technology
and the global business climate……whatever
changes the future may bring……. Our vision
………..Dell-vision --- will be our guiding force”.
Mission Statement
Dell’s mission is to be the most successful computer company in
the world at delivering the best customer experience in markets we
serve. In doing so, dell will meet customer expectations of:-
High quality
Leading technology
Competitive pricing
Individual & company accountability
Flexible customization capability
Best in class, service and support
Superior corporate citizenship
Financial stability
Bushra Naz
Roll No. 03
DELL Products
Laptops
Desktop PCs
Servers
Monitors
Printers
Electronics & Accessories
Laptops
Vostro
Latitude E Series
Dell Precision Workstations
Notebooks
Inspiron
XPS
Alienware
Fast Track
Desktop PCs
Vostro
OptiPlex
Dell Precision Workstations
Inspiron, Studio & XPS
All-In-Ones
Fast Track
Power Edge
Servers
Tower Servers
Rack Servers
Blade Servers
Monitors
30” - 24” Widescreens
23” - 22” Widescreens
20” Widescreens
19” - 17” Widescreens
20” - 19” Flat Panels
17” and below Flat Panels
Printers
Color Laser
Black & White Laser
All-In-One Inkjet
Electronics & Accessories
Laptop Accessories
Desktop Accessories
Televisions
Cameras
Software
Projectors
Scanners
Azhar Bilal
Roll No. 31
Strengths
Dell has a reliable support and service.
24X 7 Customer support.
Efficient Inventory management.
Well-Known for online selling of Computers.
Dell always keen to embed latest technology in its
products.
Provide quality PCs, Laptops and computer peripherals
at low price.
Offer wide range of PC, Server, Laptops, Monitors and
LCDs, Data storage devices, network switches and
software.
The company website at least receives 25 million visits.
Weaknesses
Dell is dependent on its suppliers.
Lack of technological expertise in upper management.
Lapses in quality control.
Ineffective entrance into profitable markets.
Dell not able to attract the students of schools and colleges, this
segment earn only 5% of total revenues.
Closure of Dell’s biggest call center in April, 2003 terminating 1100
employees.
Elimination of bonuses in 2006 to increase the company financial
performance.
On January 8, 2009 Dell announced the closing of its
manufacturing plant in Limerick, Ireland with the loss of 1,900 jobs
and the shift of production to its plant in Poland.
Opportunities
Diversification strategy by introducing many new
products to its range.
Making and selling low-cost, unbranded low-price
computers to PC retailers in the World.
ASIA (India, Pakistan and Bangladesh) are the
untapped markets.
Market penetration in education and Government
markets.
Cost reduction in latest technology.
Partnership or acquiring of suppliers.
Dell has opportunity to sell computer directly to
retailers.
Threats
Competitive rivalry that exists in the PC market
globally.
Exposed to fluctuations in the World currency
markets (i.e., changes in exchange rates)
Major competitors in the market.
Rapid change in technology obsoletes the
product in small span of time.
Aggressive marketing by competitors.
Habib Ullah
Roll No. 26
Competitors Analysis
Computer Hardware Industry
The Products The Players
Notebooks
Desktops
PDAs
MP3 Players
Routers
Servers
Storage Devices
Competitors Analysis
Top Segment Laptops Computer Systems and
Systems Technology
Top Brand Dell Precision HP Pavilion Lenovo
Workstations Laptop
CEO Michael S. Dell Mark V. Hurd Samuel J.
Palmisano
Business Segments 6 5 6
Revenue 61.101 B 114.552 B 95.757 B
Net Income 2.478 B 9.415 B 13.425 B
Total Assets 26.500 B 52.539 B 109.023 B
Total Equity 4.271 B 38.942 B 22.637 B
Employees 76,500 3,25,000 3,99,409
HP Products
Laptops
Desktop PCs
Monitors
Printers
Scanners
Softwares
Electronic & Accessories
Laptops
HP Mini
HP Pavilion
HP TouchSmart
HP ENVY
HP Ultra-Portable
HP Everyday Computing
Desktop PCs
HP Pavilion
HP Pavilion Slimline
HP Pavilion Elite
HP Pavilion All-In-One Series
HP TouchSmart
Monitors
HP w1858 18.5" Diagonal HD Ready Widescreen LCD Monitor
HP 2009m 20" Diagonal HD Ready Widescreen LCD Monitor
HP 2159m 21.5" Diagonal Full HD Widescreen LCD Monitor
HP w2338h 23" Diagonal Full HD Widescreen LCD Monitor
HP 2509m 25" Diagonal Full HD Widescreen LCD Monitor
HP 2709m 27" Diagonal Full HD Widescreen LCD Monitor
Printers
HP OfficeJet
HP Photosmart
HP LaserJet
HP DeskJet
HP DesignJet
Scanners
Document Scanners
Photo Scanners
Software
Operating System
Photo
Video
Security
Productivity
Other software
Electronics & Accessories
Calculators
Cameras & Video
Handhelds
Computer Accessories
HP Printer Accessories
Handheld Accessories
Scanner Accessories
Muhammad Anis
Roll No. 15
Top Computer Companies
Companies Revenue Net Income Total Assets
$ 114.552 B $ 9.415 B $ 52.539 B
$ 95.757 B $ 13.425 B $ 109.023 B
$ 61.101 B $ 2.478 B $ 26.500 B
$ 42.91 B $ 8.24 B $ 47.50 B
$ 17.9 B $ 384 M $ 17.3 B
Competitive Profile Matrix
HP DELL IBM
Success Factors Weight Rating Score Rating Score Rating Score
Quality 0.13 4 0.52 3 0.39 3 0.39
Financial Position 0.15 4 0.60 3 0.45 4 0.60
Market Share 0.16 3 0.48 3 0.48 3 0.48
Technology/innov 0.12 3 0.36 4 0.48 3 0.36
ation
Global Market 0.10 3 0.30 4 0.40 3 0.30
Price 0.10 2 0.20 3 0.30 4 0.40
Competitiveness
R&D 0.14 4 0.56 3 0.42 3 0.42
Customer Loyalty 0.10 3 0.30 3 0.30 2 0.20
Total 1.00 3.32 3.22 3.15
Competitive Advantage by Dell
Provide user-friendly instructions and bundled software
Just in time manufacturing
Use high quality components, build reliable Computers
Direct to consumer business model
Get paid via Credit Card
Provide 24/7 Phone Support Service
Provide warranty and repair service
Advertise heavily in suitable publications and direct mail
Dell's value chain allows Dell and its suppliers to
exchange information and interact with each other
Akbar Ali Ansari
Roll No. 14
Strategies and Goals
Continue to Innovate
Expand Distribution
Maintain Digital Music Lead
Network
Keep Costs Low and
Appeal to Mass Market
Quality High
Leverage Designs of Invest in New Product
Hardware and Software Areas and R&D
Continue to improve international Business
Dell’s Global Presence
The Americas EMEA Asia Pacific China
Austin Limerick
Texas Ireland
Xiamen
Nashville
Tennessee China
Sales Offices in 43 countries
Eldorado do Sul Sales presence in 170 countries Penang
Brazil 6 Manufacturing Sites Malaysia
Recommendations
Continue making “must have” products
Leverage the power of the Laptop
Stay ahead of the competition
Partner with companies that complement the Dell brand
Expand retail footprint
Keep costs low and quality high
Increase market share in the education, business and
government sectors