Esrat

Sayid
Tania
Siduggaman
Shamim
Samina
Shafin

1984
Working
Capital
$1000,

Current
Situation
2008
2009

Revenue
becomes
61.13
billion in

Michael which net

Dell
income was
3.13
Pioneer of
Direct
selling

Revenue 61
billion

2010
Revenue is
around $61.07
billion in the
year 2010

Strategic Culture
Mission:

Is To be The Most
Successful Company in
the World At Delivering
The Best Customer
Experience in the
market

Objectives
Better Customer Loyalty
Close Relationship with
Customers,
Higher Sales &
Marketing Performance,
Strong Brand
Consistency
Cost effective Customer

Top Management

Michael Dell,
(Founder)

Dr. Alexander
Dell,
(Board
Member)
Susan Dell,
(Founder, Board
Chair)

External Environment
General environment
Political Factors
Economic factors
Social Cultural Factor
Technological factors

Porter Five Forces

Bargaining Power of Buyer,
Bargaining Power of Suppliers,
Threat Of new entrants
Rivalry among existing firms
Threat of substitutes

External Strategic Factors

External
Strategic
Factors
Opportunitie
s
1.Can create
EDS System
2.Emerging
Tablet
market
3.Excessive
Demand of
technology
Products
4.Modern
Living
standard
5.Dell Inc

Weight Rating Weighte Comme

d Score

10
12
10
10
8

5
4
5
4
4

50
48
50
40
32

nt

Very
important
for customer
service
Tablet is
getting more
interest than
others
product
Emerging
Every one
wants Pc
Laptop are
getting more
preference

External Strategic Factors(contd)

External Weight Rating Weighte Comme
d Score

Strategic
Factors
Threat:
1.Other
cheap prices
product such
as HP,
DOEL,ASUS,
ACER etc
2.Negative
impression
of customers
regarding
the low price
of the
product
3.Company
is better in
one product

17

85

16

80

17

85

nt

New
entries
becomes
very
competitiv
e

All
customer
dont like
cheap
product
One
product
cant be

Internal Environment
Corporate Culture:
Hiring more energetic people,
Doing more outsourcing

Internal Strategic Factors

Internal
Strategic
Factors

Strength:
1.Strong brand
reputation
worldwide for
quality product,
2.Allows its
customers to
customize their
Products,
3.Goodwill
through out the
world for CSR
activities and
doing friendly
business.
4.spent $13
billion for
successful
mergers
5.Directly sell
the product to

Weight

Rating

Weighted
Score

Comments

10

10

50

28

24

16

50

28

Need to
sustain the
position

Need more
affection to
the customer

Need to
carefully deal
with the
environment
Merger is
important

Need more
people to
handle large

Internal Strategic Factors (contd)

Internal
Strategic
Factors

Weakness:
1.Customer
service
deserted
due to
outsourcing
its call
center
2.Less invest
onR & D.
3.Revenue
only comes
from
computers
not from
Hardware.
4.Absence of

Weight

Rating

Weighted
Score

10

50

32

10

15

30

75

Comments
Need to
utilize
customer
service
properly
Need to
invest more
money on
R&D
More
Investment
in
Developing
Hardware

Strategic Factors: Select two

important Opportunities / Threats
from EFAS and two important
Strengths / Weaknesses

Strengths
(i)Dell has a very strong brand reputation
worldwide for quality product.
(ii)Dell allows its customers to customize
their laptops, such survive were not originally
found within any other computer relaters.
Weakness
(i) Company did not emphasize on to invest
R & D.

SFAS Matrix

Weight
(out of 100)

Rating
(1 - 5)

Weighted Score Duration

S
H
O
R
T

30

25

150

80

25

100

Opportunities
(i) Due to development of IT sectors human
are more engaged in computer.

35

175

(ii) With increasing of living standard man

wants to buy more updated product like Dell.

25

100

25

125

15

60

Total

L
O
N
G

Need to work to maintain a

sustainable position
Need to this utilize customer service
properly to affection the customer

Necessary to invest more money on

R&D and provide other service

20

(ii)Other competitors like HP, Asus, Acer, is

a great threaded foe Dell

Comments

100

(ii) Without retailer it is impossible to access

remote area

Threats
(i) Due to low price of dell computer
customers has negative impression about
Dell.

I
N
T
E
R
M
E
D
I
A
T
E

By utilizing customer service properly.

100

For their every purpose, every one

want to buy Pc
All customers dont like cheap
product.
.
New entries becomes very
competitive

14