Dell Inc Harvard Case Solution & Analysis

Dell Inc Case Solution

Introductory description of the venture:

Dell Inc. is an American multinational information technology corporation situated in Round Rock, Texas, in United States, which offers and supports PCs and related products and services. The initiator of Dell Inc. is Michael Dell. It is one of the world's biggest enterprises utilizing more than 103,300 employees around the world. In the beginning of 2009, the organization sold personal computers, servers, information or data storage devices, switches,software's and PC peripheral devices. The organization is well-known for its development and innovation in information technology. (Dell, 2016)

Its business corporate class brands have long life cycle, reliability and serviceability which includes, OptiPlex, Vostro, n series, Linux, latitude, power edge servers.

On the other hand, its home office consumer class products focus on the value, performance and expand ability, such brands include; Inspire on (notebook computers), studio, XPS, Adamo etc.

Industry analysis;

The competitors of Dell are; Hewlett-Packard, IBM, and Sun Micro systems (Hoovers). HP and IBM pose the greatest threat in competition. As far as barriers to entry are concerned, Dell’s direct to customers’sales approach has increased its sales on a yearly basis, and they will soon be among it stop rivals.

As a result of this methodology, Dell has entered a highly competitive business sector undoubtedly. The greatest entry barrier that Dell will face when entering the IT business is to get the customers to trust the company over the more conventional veteran PC organizations.

It is observed that the competitor, Sun Micro system’s yearly sales are lower than Dell's. The company offers an online service where clients can arrange servers, and PCs. Sun Micro system does not use Microsoft operating system, which is the competitive advantage of Sun Micro system and it does not see Dell as the competitor rather HP and IBM are its major competitors.

That being said,Dell is performing in the right direction and its sales are increasing significantly over the time period as well as the competition exists between the organizations and that is what makes Dell a unique contender.

Determination of their unique value proposition;

Dell’s unique selling point is its cost leadership strategy and the success of the corporation depends on the unique customization, which is the development of customer centric products, and timely delivery and cost proposition of the products. Along with this, Dell has excellent, committed and highly skilled workforce, which helps the company in its growth and open attitude of employees that help each other and response to the customers’ queries quickly.(Dell, Glass Door, 2016)

An evaluation of the company’s marketing plan, operational plan, and financial plan;

Marketing Plan:

Dell’s focus is on product diversification as it focuses on maintaining a competitive advantage in the declining PC market. Dell needs to rebuild its core business needs and grow new structures that can help it to influence the highly competitive industry. Dell believes that marketing is about delivering the products and services that would fulfill the change in needs and demands of customers along with the pricing strategy of development of low price products that serve profitable customer centric computer systems.(Bhasin, 2016)

Operational plan:

The company’s operations are entirely under controlled by Dell's guidelines. For example, the managers are required to diminish mistakes and to get more successful approach for better sales analysis as well as the managers are required to compete consistently regarding performance against different competitors to improve implementation analysis........................

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