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PROJECT REPORT

ON
MARKETING STRATEGIES OF DELL INC.
(Submitted in partial fulfillment for the award of the degree of bachelor of business
administration in banking and insurance)

UNDER THE GUIDANCE OF

Ms.RACHANA JAIN

(FACULTY MAIMS)

SUBMITTED BY:

SAGAR MITTAL

ROLL NO. 04961101811 BBA GEN. 3RD SEM

MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES

PSP AREA, PLOT NO. 1, SECTOR 22, ROHINI, DELHI 11

AFFILIATED TO GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY, DELHI


CERTIFICATE

This is to certify that SAGAR MITTAL, enrollment no.


00190201811, BBA student of MAHARAJA AGRASEN INSTITUTE
OF MANAGEMENT STUDIES has done project work on
MARKETING STRATEGIES OF CADBURY under the guidance of
Ms. RACHANA JAIN

Signature of Guide

Ms. RACHANA JAIN

Signature of Scholar

SAGAR MITTAL
Place : Delhi

Date :

Declaration

I,SAGAR ,MITTAL, BBA Student of MAHARAJA AGRASEN INSTITUTE OF


MANAGEMENT STUDIES, hereby declare that I have completed the project titled
MARKETING STRATEGY OF CADBURY COMPANY during the academic year
2013
The report work is original and the information/data included in the report is true
to the best of my Knowledge. Due credit is extended on the work of
Literature/Secondary Survey by endorsing it in the Bibliography as per
prescribed format.

Signature of the Student

SAGAR MITTAL

Name of Student
ACKNOWLEDGEMENT

With profound sense of gratitude and regard, I express my sincere


thanks to my guide and mentor Ms. Rachana Jain sfor her valuable
guidance and the confidence she installed in me, that helped me
in the successful completion of this project report. Without her
help, this project would have been a distant affair. Her thorough
understanding of the subject and the professional guidance is
indeed of immense help to me. I am also thankful to the faculty
member of our institute who cooperated with me and gave me
their valuable time.
CHAPTER - 1

INTRODUCTION
Dell, a company best known for selling affordable personal computers and laptops, was founded
in 1984 by Michael S. Dell whose success made him one of the wealthiest men in Texas. From
its inception, the Dell model became synonymous with efficiency, outsourcing and tight
inventories. However, over the years the company has been plagued by serious problems,
including declining sales, misreading the desires of its customers, poor customer service, suspect
product quality and improper accounting.

Dell Inc. (Dell) is a global information technology company that offers its customers a range of
solutions and services delivered directly by Dell and through other distribution channels. Dell is
a holding company that conducts its business worldwide through its subsidiaries. The Company
operates in four segments: Large Enterprise, Public, Small and Medium Business, and Consumer.
Its Large Enterprise customers include large global and national corporate businesses. Its Public
customers, which include educational institutions, government, health care, and law enforcement
agencies, operate in their own communities. Its SMB segment is focused on helping small and
medium-sized businesses by offering products, services, and solutions. Its Consumer segment is
focused on delivering technology experience of entertainment, mobility, gaming, and design. In
February 2012, it acquired AppAssure. In April 2012, it acquired Clerity Solutions. In September
2012, it acquired Quest Software Inc

Michael Dell is one of the world's most successful IT entrepreneurs. There are numerous reasons
for Michael Dell's success. Michael Dell uses direct selling to sell its computer. Dell once said
inventory should have the shelf life of lettuce. This means that Dell holds just three days'
inventory supply. Dell was indeed the first company in the IT sector to ordain that no computer
should be built without first being sold in advance. This also ensures that Dell holds no extra
surpluses. The stock in the company does not stick at a place for a long time. Dell best
understands consumer needs and efficiently provides the most effective computing solutions to
meet those needs by selling computer system directly to the customer. This direct business
models eliminate retailers, who added unnecessary time and cost, and also allowed the company
to build every system to order, offering customers powerful, richly configured systems at
competitive prices. Dell introduced the latest relevant technology much more quickly than
companies with slow-moving, indirect distribution channels, turning over inventory an average
of every four days. In less than two decades, Dell became the number-one retailer of personal
computers, outselling IBM, Hewlett-Packard, and Compaq. According to Michael A. Verespej,
Michael Dell feels that to have high levels of raw materials or finished goods in a warehouse can
be very dangerous in a business where the value of these materials is going down about 1% a
week.

"Among technology tycoons he stands just behind the world's richest man, Microsoft's Bill Gates
(valuation $US46 billion) and Oracle Founder Larry Ellison ($US18.7 billion). The difference is
that Dell ($US13 billion) is only 39, whereas Gates is 48 and Ellison is 59

PURPOSE OF THE STUDY

The purpose of the study was to know the tactics and the strategies which made dell, One of the
world's most successful IT companies and the numerous reasons for Michael dell's success. the
reasons for the worldwide acceptability of its products whether small or large business or the
individual customer. The dell persevere from the hard times surpassing its competitors in the
market globally. The factors which helped the company to grow anonymously. To accomplish
this, this procedure included the complete analysis of the information available on the internet
which provided me an inspirational learning.
RESEARCH OBJECTIVES

1. The major objective of the project is to understand the meaning of marketing strategy in
an organization for the purpose of successful marketing.
2. To find how a good marketing strategy has helped DELL in its marketing process.
3. To know how and why the marketing strategy of DELL has helped it in attaining the
market share.
4. To study its goodwill in the market and appreciation all over the world.
5. The project will help understanding the changing dynamics of marketing with increasing
competition and changing environment.

RESEARCH METHODOLOGY
RESEARCH DESIGN

Achieving accuracy in any research requires in depth study regarding the subject. As the prime

Objective of the project is to study the marketing strategies of DELL and compare it with the

existing competitors in the market. The Research methodology adopted is basically based on

secondary data via which the most recent and accurate piece of first hand information could be

collected. Finally the collected data and information was analyzed and compiled to arrive at data

the conclusion and recommendations given. Sources of secondary used to obtain information on,

DELL and its competitor history, current issues, policies, procedures etc, wherever required.

DATA COLLECTION
We employ documents as sources of secondary data. The term documents covers a wide range

of different kinds of source. Our secondary data contains information from books, articles, and

internet. Information from the books and articles are used to derive better theoretical frame work

and understand the research methods. Other information obtained from articles and internet is

used to provide a better understanding and analyze of our empirical case.

CHAPTER - 2
COMPANY
PROFILE

Dell Inc. (NASDAQ: DELL) is an American multinational computer technology corporation


based in 1 Dell Way, Round Rock, Texas, United States, that develops, sells and supports
computers and related products and services. Bearing the name of its founder, Michael Dell, the
company is one of the largest technological corporations in the world, employing more than
103,300 people worldwide. Dell is listed at number 44 in the Fortune 500 list. It is the third
largest PC vendor in the world after HP and Lenovo.
Dell has grown by both increasing its customer base and through acquisitions since its inception;
notable mergers and acquisitions including Alien ware (2006) and Perot Systems (2009). As of
2009, the company sold personal computers, servers, data storage devices, network
switches, software, and computer peripherals. Dell also sells HDTVs, cameras, printers, MP3
players and other electronics built by other manufacturers. The company is well known for its
innovations in supply chain management and electronic commerce.

Fortune Magazine listed Dell as the sixth largest company in Texas by total revenue. It is the
second largest non-oil company in Texas behind AT&T and the largest company in
the Greater Austin area.

The company is a public type company. It was founded in Austin, Texas, U.S. on May 1, 1984. It
is presently headquartered at 1 Dell Way, Round Rock, Texas, and United States. The area
served is worldwide, company was founded by Michael Dell who is currently holds the
designation of the chairman and the CEO of the company. The current revenue is US$ 63.07
billion (2012), Operating income earned is US$ 4.43 billion (2012), the Net income is US$ 3.49
billion (2012), the company is holding the Total assets of US$ 44.53 billion (2012), with the
Total equity of US$ 8.91 billion (2012), having current Employees- 110,000 (2012).

Products - Traded as - Industry - Subsidiaries -


Notebooks NASDAQ: DELL Computer software Alien ware
Net books SEHK: 4331 Computer hardware Dell services
Scanners It consulting Quest software
NASDAQ-100
Component

Peripherals S&P 500 Component It services Secure works

Printers KAC networks


Storages Make technologies
Servers Sonic wall
- Michael S. Dell
Chairman of the Board
Chief Executive Officer

- Brad R. Anderson
Senior Vice President
Enterprise Product Group

- Jeffrey W. Clarke
Vice Chairman
Operations and Technology

- Stephen J. Felice
President
Small and Medium Business

- Brian T. Gladden
Senior Vice President
Chief Financial Officer

- Erin Nelson
Senior Vice President
Chief Marketing Officer

- Lawrence P. Tu
Senior Vice President
General Counsel

- Peter Altabef
President
Dell Services

- Paul D. Bell
President
Public
- Andrew Esparza
Senior Vice President
Human Resources

- Ronald g. Garriques
President
Communication Solutions

- David L. Johnson
Senior Vice President
Corporate Strategy

- Stephen F. Schuckenbrock
President
Large Enterprise

Growth in 1990s and early 2000

Since DELLS launch in the mid '90s, Dell's e-commerce business has been a poster child for the
benefits of online sales. The company's strategy of selling over the Internet -- with no retail
outlets and no middleman -- has been as discussed, admired and imitated as any e-commerce
model. Dell's online sales channel has proven so successful, Does the consumer need to go to
the store to buy a PC anymore?"

Regardless of the company's past success, Dell is affected by two current trends in e-commerce.
And only one of these trends works in the PC giant's favor.

A key part of Dell's success is that the site offers consumers "choice and control." Buyers can
click through Dell and assemble computer system piece by piece, choosing components like hard
drive size and processor speed based on their budgets and needs.

Their ability to allow people to custom design has traditionally been something that they're ahead
of the game with, and a lot of people are slowly starting to catch up now "But they continue to be
viewed as the leader.
From 1997 to 2004, Dell enjoyed steady growth and it gained market share from competitors
even during industry slumps. Dell attained and maintained the #1 rating in PC reliability and
customer service/technical support, according to Consumer Reports, year after year, during the
mid-to-late 90s through 2001 right before Windows XP was released.

In 1996, Dell began selling computers through its website, and in 2002, it expanded its product
line to include televisions, handhelds, digital audio players, and printers. Dell's first acquisition
occurred in 1999 with the purchase of Converge Net Technologies.

Dell surpassed Compaq to become the largest PC manufacturer in 1999. in 2002, when Compaq
merged with Hewlett Packard (the 4th place PC maker), the combined Hewlett Packard took the
top spot but struggled and Dell soon regained its lead. Dell grew the fastest in the early 2000s.

In 2003, the company was rebranded as simply "Dell Inc." to recognize the company's expansion
beyond computers.

In 2004, Michael Dell resigned as CEO while retaining the title of Chairman, handing the CEO
title to Kevin Rollins who had been President and COO since 2001. Under Rollins, Dell began to
loosen its ties to Microsoft and Intel, the two companies which were responsible for Dell's
dominance in the PC business. During that time, Dell acquired Alien ware, which introduced
several new items to Dell products, including AMD microprocessors. To prevent cross-market
products, Dell continues to run Alien ware as a separate entity, but still a wholly owned
subsidiary.

Missed expectations

However in 2005, while earnings and sales continued to rise, sales growth slowed considerably,
and the company stock lost 25% of its value that year. By June 2006, the stock was trading
around $25 which was 40% down from July 2005.

The slowing sales growth has been attributed to the maturing PC market, which constituted 66%
of Dell's sales, and analysts suggested that Dell needed to make inroads into non-PC businesses
segments such as storage, services and servers. Dell's price advantage was tied to its ultra-lean
manufacturing for desktop PCs, however this became less important as savings became harder to
find inside the company's supply chain, and as competitors such as Hewlett-Packard and Acer
made their PC manufacturing operations more efficient. Throughout the entire PC industry,
declines in prices along with commensurate increases in performance meant that Dell had fewer
opportunities to up sell to their customers (a lucrative strategy of encouraging buyers to upgrade
the processor or memory), and as a result the company was selling a greater proportion of
inexpensive PCs than before which eroded profit margins. The laptop segment had become the
fastest growing of the PC market, but Dell did not have a big cost-advantage over its rivals for
low-cost notebooks since it had to produce them in China like other PC manufacturers.
There has also been a decline in consumers purchasing PCs through the Web or on the phone, as
increasing numbers were visiting consumer electronics retail stores. As well, many analysts were
looking to innovating companies as the next source of growth in the technology sector. Dell's
low spending on R&D relative to its revenue (compared to IBM, Hewlett Packard, and Apple
Inc, ) which worked well in the commoditized PC market prevented it from making inroads into
more lucrative segments such as MP3 players. Increasing spending on R&D would have cut into
the operating margins that the company had emphasized on.

Dell's reputation for poor customer service, since 2002, which was exacerbated as it moved call
centers offshore and as its growth outstripped its technical support infrastructure, came under
increasing scrutiny on the Web. Although the original Dell model was known for high customer
satisfaction when PCs were selling for thousands, by the 2000s the company could not justify the
same support when the same lineup was now selling for hundreds. By 2006, Dell had spent $100
million in just a few months to improve on this.

There was also criticism that Dell used faulty components for its PCs. A battery recall in August
2006, as a result of a Dell laptop catching fire caused much negative attention for the company,
although later Sony was found to be responsible for the faulty batteries.

2006 marked the first year that Dell's growth was slower than the PC industry as a whole. By the
fourth quarter of 2006, Dell lost its title of the largest PC manufacturer to rival Hewlett Packard
which was invigorated thanks to a restructuring initiated by their CEO Mark Hurd.

After four out of five quarterly earnings reports were below expectations, Rollins resigned in
2007 and founder Michael Dell assumed the role of CEO again. Dell announced a change
campaign called "Dell 2.0," reducing headcount and diversifying the company's product
offerings.

Recent plans and acquisitions

In 2006, Dell acquired Alien ware, a manufacturer of high-end PCs popular with gamers.

The company acquired Equal Logic on January 28, 2008, to gain a foothold in the iSCSI storage
market. Because Dell already had an efficient manufacturing process, integrating Equal Logic's
products into the company drove manufacturing prices down.

In 2009, Dell acquired Perot Systems, a technology services and outsourcing company, mainly
active in the health-sector, founded by former presidential hopeful H. Ross Perot. Based
in Plano, Texas, in a reported $3.9 billion deal, and amalgamated into Dell Services. The
acquired business provided Dell with applications development, systems integration, and
strategic consulting services through its operations in the U.S. and 10 other countries. In
addition, the acquisition of Perot brought a variety of business process outsourcing services,
including claims processing and call center operations.

On February 10, 2010, the company acquired KACE Networks a leader in Systems Management
Appliances. The terms of the deal were not disclosed.

On August 16, 2010, Dell announced plans to acquire the data storage company 3PAR. On
September 2, Hewlett-Packard offered $33 a share for 3PAR, which Dell declined to match.

On November 2, 2010, Dell acquired Software-as-a-Service (SaaS) integration leader Boomi.


Terms of the deal were not disclosed.

In February 2011 the acquisition of Compel lent by Dell was completed after the initial
announcement of Dell's intention to buy the company was announced on 13 December 2010.

On Friday February 24, 2012 Dell acquired Backup and Disaster Recovery software
solution AppAssure Software of Reston, VA. AppAssure delivered 194 percent revenue growth
in 2011 and over 3500% growth in the prior 3 years. AppAssure supports physical servers and
VMware, Hyper-V and XenServer. The deal represents the first acquisition since Dell formed its
software division under former CA CEO John Swainson. Dell added that it will keep AppAssure
230 employees and invest in the company.

Dell is headquartered in Round Rock, Texas

In March 2012, USA Today said that Dell agreed to buy Sonic Wall, and the acquisition was
completed 9 May 2012. A company with 130 patents, Sonic Wall develops security products, and
is a network and data security provider.
On 2 April 2012, Dell announced that it wants to acquire Wyse, global market-leader for thin
client systems.

On 3 April 2012, Dell announced that it has acquired Clerity Solutions. Clerity, a company
offering services for application (re)hosting, was formed in 1994 and has it headquarters in
Chicago. At the time of the take-over approximately 70 people were working for the company.

On 2 July 2012, Dell announced that it was buying Quest Software.

Profit Source: B2B

While Dell's consumer sales are highly visible, thanks in part to a high profile TV campaign, its
business sales are a much bigger revenue source. "About 15 percent of their total revenue is
consumer business and the rest is B2B,"their major focus in the IT marketplace is selling servers,
storage products, network switches and services to corporate customers. A lot of the e-commerce
engine revolves around that." "B2C keeps them in newspapers a lot, B2B keeps them in the
black."

Making a giant bigger

As for how Dell expands from here -- having built a thriving e-commerce operation, but faced
with a slow market -- no analyst would hazard a definitive guess. But a recent Dell
announcement provides a clue Certainly, though, it appears that Dell's core focus will remain its
direct e-commerce model. Perhaps the best estimate of where Dell goes from here is more of the
same, just bigger and better. As Aberdeen's Allen observes, "With e-commerce, there's no end.
You're never done, it's constantly evolving, and it has to reflect the dynamics of the market. If
anyone thinks they can catch up to Dell, there is no catching up -- it's just trying to stay ahead of
the customer.

Dell facilities
Dell's headquarters is located in Round Rock, Texas. As of 2010 the company employs about
16,000 people in the facility, which has 2,100,000 square feet (200,000 m2) of space. As of 1999
almost half of the general fund of the City of Round Rock originates from sales taxes generated
from the Dell headquarters.

Dell previously had its headquarters in the Arboretum complex in northern Austin, Texas in 1989
Dell occupied 127,000 square feet (11,800 m2) in the Arboretum complex. In 1990 Dell had
1,200 employees in its headquarters. In 1993 Dell submitted a document to Round Rock
officials, titled "Dell Computer Corporate Headquarters, Round Rock, Texas, May 1993
Schematic Design." Despite the filing, during that year the company said that it was not going to
move its headquarters. In 1994 Dell announced that it was moving most of its employees out of
the Arboretum, but that it was going to continue to occupy the top floor of the Arboretum and
that the company's official headquarters address would continue to be the Arboretum. The top
floor continued to hold Dell's board room, demonstration center, and visitor meeting room. Less
than one month prior to August 29, 1994, Dell moved 1,100 customer support and telephone
sales employees to Round Rock. Dell's lease in the Arboretum had been scheduled to expire in
1994.

The company sponsors Dell Diamond, the home stadium of the Round Rock Express, the
AAA minor league baseball affiliate of the Texas Rangers major league baseball team.

By 1996 Dell was moving its headquarters to Round Rock. As of January 1996 3,500 people still
worked at the current Dell headquarters. One building of the Round Rock headquarters, Round
Rock 3, had space for 6,400 employees and was scheduled to be completed in November
1996. In 1998 Dell announced that it was going to add two buildings to its Round Rock complex,
adding 1,600,000 square feet (150,000 m2) of office space to the complex.

In 2000 Dell announced that it would lease 80,000 square feet (7,400 m2) of space in the Las
Cimas office complex in unincorporated Travis County, Texas, between Austin and West Lake
Hills, to house the company's executive offices and corporate headquarters.100 senior executives
were scheduled to work in the building by the end of 2000. In January 2001 the company leased
the space in Las Cimas 2, located along Loop 360. Las Cimas 2 housed Dell's executives, the
investment operations, and some corporate functions. Dell also had an option for 138,000 square
feet (12,800 m2) of space in Las Cimas 3. After a slowdown in business required reducing
employees and production capacity, Dell decided to sublease its offices in two buildings in the
Las Cimas office complex. In 2002 Dell announced that it planned to sublease its space to
another tenant; the company planned to move its headquarters back to Round Rock once a tenant
was secured. By 2003 Dell moved its headquarters back to Round Rock. It leased all of Las
Cimas I and II, with a total of 312,000 square feet (29,000 m2), for about a seven year period
after 2003. By that year roughly 100,000 square feet (9,300 m2) of that space was absorbed by
new subtenants.

In 2008 Dell switched the power sources of the Round Rock headquarters to more
environmentally friendly ones, with 60% of the total power coming from TXU Energy wind
farms and 40% coming from the Austin Community Landfill gas-to-energy plant operated
by Waste Management inc.

Dell facilities in the United States are located in Austin, Texas; Nashua, New
Hampshire; Nashville, Tennessee; Oklahoma City, Oklahoma; Peoria, Illinois; Hillsboro, Oregon
(Portland area);Winston-Salem, North Carolina; Eden Prairie, Minnesota (Dell Compel lent); and
Miami, Florida. Facilities located abroad include Penang, Malaysia; Xiamen, China; Bracknell,
UK; Manila, Philippines Chennai, India; Hortolandia and Porto Alegre, Brazil; Bratislava,
Slovakia; d, Poland Panama City in Panama, Dublin and Limerick, Ireland.

The US and India are the only countries which have all of Dell's business functions and provide
support globally: Research and Development, manufacturing, finance, analysis, customer care.

Products

Scope and brands


Dell's tagline 'Yours is here', as seen at their Mall of Asia branch in Pasay City, Philippines

The corporation markets specific brand names to different market segments.

Its Business/Corporate class represents brands where the company advertising emphasizes
long life-cycles, reliability, and serviceability. Such brands include:

OptiPlex (office desktop computer systems)


Vostro (office/small business desktop and notebook systems)
n Series (desktop and notebook computers shipped with Linux or Free DOS installed)
Latitude (business-focused notebooks)
Precision (workstation systems and high-performance notebooks),
Power Edge (business servers)
Power Vault (direct-attach and network-attached storage)
Power Connect (network switches)
Dell Compel lent (storage area networks)
Equal Logic (enterprise class iSCSI sANs)
Dell's Home Office/Consumer class emphasizes value, performance, and expandability.
These brands include:
Inspiron (budget desktop and notebook computers)
Studio (mainstream desktop and laptop computers)
XPS (high-end desktop and notebook computers)
Studio XPS (high-end design-focus of XPS systems and extreme multimedia capability)
Alien ware (high-performance gaming systems)
Adamo (high-end luxury laptop)
Dell EMR (electronic medical records)

Dell's Peripherals class includes USB key drives, LCD televisions, and printers; Dell
monitors include LCD TVs, plasma TVs and projectors for HDTV and monitors. Dell Ultra
Sharp is further a high-end brand of monitors.

Dell service and support brands include the Dell Solution Station (extended domestic support
services, previously "Dell on Call"), Dell Support Center (extended support services
abroad), Dell Business Support (a commercial service-contract that provides an industry-certified
technician with a lower call-volume than in normal queues), Dell Ever dream Desktop
Management ("Software as a Service" remote-desktop management), and Your Tech Team (a
support-queue available to home users who purchased their systems either through Dell's website
or through Dell phone-centers).

Discontinued products and brands include Axim (PDA; discontinued April 9,


2007), Dimension (home and small office desktop computers; discontinued July 2007), Dell
Digital Jukebox (MP3 player; discontinued August 2006), Dell Power App (application-based
servers), and Dell Omniplex (desktop and tower computers previously supported to run server
and desktop operating systems).

Manufacturing

From its early beginnings, Dell operated as a pioneer in the "configure to order" approach to
manufacturingdelivering individual PCs configured to customer specifications. In contrast,
most PC manufacturers in those times delivered large orders to intermediaries on a quarterly
basis.

To minimize the delay between purchase and delivery, Dell has a general policy of
manufacturing its products close to its customers. This also allows for implementing a just-in-
time (JIT) manufacturing approach, which minimizes inventory costs. Low inventory is another
signature of the Dell business modela critical consideration in an industry where components
depreciate very rapidly.

Dell's manufacturing process covers assembly, software installation, functional testing (including
"burn-in"), and quality control. Throughout most of the company's history, Dell manufactured
desktop machines in-house and contracted out manufacturing of base notebooks for
configuration in-house. However, the company's approach has changed, as cited in the 2006
Annual Report which states "we are continuing to expand our use of original design
manufacturing partnerships and manufacturing outsourcing relationships." The Wall Street
Journal reported in September, 2008 that "Dell has approached contract computer manufacturers
with offers to sell" their plants. By the late 2000s, Dell's "configure to order" approach of
manufacturingdelivering individual PCs configured to customer specifications from its US
facilities was no longer competitive with high-volume Asian contract manufacturers.

Assembly of desktop computers for the North American market formerly took place at Dell
plants in Austin, Texas (original location) and Lebanon, Tennessee (opened in 1999), which have
been closed in 2008 and early 2009, respectively. The plant in Winston-Salem, North
Carolina received $280 million USD in incentives from the state and opened in 2005, but ceased
operations in November 2010, and Dell's contract with the state requires them to repay the
incentives for failing to meet the conditions. Most of the work that used to take place in Dell's
U.S. plants was transferred to contract manufacturers in Asia and Mexico, or some of Dell's own
factories overseas. The Miami, Florida facility of its Alien ware subsidiary remains in operation,
while Dell servers (its most profitable products) continue to be produced in Austin, Texas.
Dell assembled computers for the EMEA market at the Limerick facility in the Republic of
Ireland, and once employed about 4,500 people in that country. Dell began manufacturing
in Limerick in 1991 and went on to become Ireland's largest exporter of goods and its second-
largest company and foreign investor. On January 8, 2009, Dell announced that it would move all
Dell manufacturing in Limerick to Dell's new plant in the Polish city of d by January
2010. European Union officials said they would investigate a 52.7million aid package the
Polish government used to attract Dell away from Ireland. European Manufacturing Facility 1
(EMF1, opened in 1990) and EMF3 form part of the Raheen Industrial Estate near Limerick.
EMF2 (previously a Wang facility, later occupied by Flextronics, situated in Castle troy) closed
in 2002, and Dell Inc. has consolidated production into EMF3 (EMF1 now contains only
offices). Subsidies from the Polish government did keep Dell for a long time. After ending
assembly in the Limerick plant the Cherry wood Technology Campus in Dublin was the largest
Dell office in the republic with over 1200 people in sales (mainly UK & Ireland), support
(enterprise support for EMEA) and research and development for cloud computing, but no more
manufacturing except Dell's Alien ware subsidiary which manufactures PCs in an Athlone,
Ireland plant. If this facility will remain in Ireland is not sure. Construction of EMF4 in d,
Poland has started: Dell started production there in autumn 2007.

Dell opened plants in Penang, Malaysia in 1995 and in Xiamen, China in 1999. These facilities
serve the Asian market and assemble 95% of Dell notebooks. Dell Inc. has invested an estimated
$60 million in a new manufacturing unit in Chennai, India, to support the sales of its products in
the Indian subcontinent. Indian-made products will bear the "Made in India" mark. In 2007 the
Chennai facility had the target of producing 400,000 desktop PCs, and plans envisaged it starting
to produce notebook PCs and other products in the second half of 2007.

Dell moved desktop and Power Edge server manufacturing for the South American market from
the Eldorado do Sul plant opened in 1999, to a new plant in Hortolandia, Brazil in 2007.

Technical support

Dell routes technical support queries according to component-type and to the level of support
purchased

Basic support provides business-hours telephone support and next business-day on-site support/
Return-to-Base, or Collect and Return Services (based on contracts purchased at point of sale)

Dell Pro Support provides 24x7x365 telephone and online support, a selection of 4 or 6-hour
onsite support after telephone-based troubleshooting, and a Mission Critical option with two-
hour onsite support, for customers who choose the highest level of support for their most critical
hardware assets.

Dell's Consumer division offers 24x7 phone based and online troubleshooting in certain markets
such as the United States and Canada. In 2008 Dell redesigned services-and-support for
businesses with "Dell Pro Support", offering customers more options to adapt services to fit their
needs. Rather than take a one-size-fits-all approach, Dell allows various options for its
customers.

In addition, the company provides protection services, advisory services, multivendor hardware
support, "how-to" support for software applications, collaborative support with many third-party
vendors, and online parts and labor dispatching for customers who diagnose and troubleshoot
their hardware. Dell also provides Dell Pro Support customers access to a crisis-center to handle
major outages, or problems caused by natural disasters. Dell also provide on-line support by
using the computer's service-tag that provides full list of the hardware elements installed
originally, purchase date and provides the latest upgrades for the original hardware drivers.
Organization

The board consists of nine directors. Michael Dell, the founder of the company, serves as
chairman of the board and chief executive officer. Other board members include

JAMES W.BREYER (FINANCE)

WILLIAM H. GRAY, III (GOVERNANCE & NOMINATING)

JUDY C. LEWENT (FINANCE, CHAIR) AUDIT

KLAUS S. LUFT (AUDIT)


THOMAS W. LUCE, III (AUDIT, GOVR. & NOMINATNG)

ALEX J. MANDL (AUDIT, CHAIR)

SHANTANU NARAYEN (LEADRSHP DEVLP &COMPNSTN COMITE)

SAMUEL A. NUNN (PRESIDING DIRECTOR, FINANCE)

DONALD J. CARTY (NON INDEPENDENT DIRECTOR)


MICHAEL S. DELL (NON INDEPENDENT DIRECTOR)

Shareholders elect the nine board members at meetings, and those board members who do not
get a majority of votes must submit a resignation to the board, which will subsequently choose
whether or not to accept the resignation. The board of directors usually sets up five committees
having oversight over specific matters. These committees include the Audit Committee, which
handles accounting issues, including auditing and reporting; the Compensation Committee,
which approves compensation for the CEO and other employees of the company; the Finance
Committee, which handles financial matters such as proposed mergers and acquisitions; the
Governance and Nominating Committee, which handles various corporate matters (including
nomination of the board); and the Antitrust Compliance Committee, which attempts to prevent
company practices from violating antitrust laws.

Day to day operations of the company are run by the Global Executive Management Committee
which sets strategic direction. Dell has regional senior vice-presidents for countries other than
the United States, including David Marmonti for EMEA and Stephen J. Felice for Asia/Japan. As
of 2007, other officers included Martin Garvin (senior vice president for worldwide
procurement) and Susan E. Sheskey (vice president and Chief Information Officer).

Dell partner program

In late 2007, Dell Inc. announced that it planned to expand its program to value-added
resellers (VARs), giving it the official name of "Dell Partner Direct" and a new Website.

Criticisms of marketing of laptop security


In 2008, Dell received press coverage over its claim of having the world's most secure laptops,
specifically, its Latitude D630 and Latitude D830. At Lenovo's request, the (U.S.) National
Advertising Division (NAD) evaluated the claim, and reported that Dell did not have enough
evidence to support it.

Retail

Dell first opened their retail stores in India.

HOW DELL CONQUERED INDIA

The U.S. computer maker got serious in India only a few years ago -- and then proceeded to
thrash HP and everyone else. Now India is Dell's fastest-growing market, with 55% growth.

Mahesh Bhalla, general manager of consumer and small business for Dell India.

In the U.S., Dell originally became a market leader through its online and direct made-to-order
sales model. When the computer maker decided to enter India, however, it needed a change of
strategy.

In the B.D. era -- Before Dell -- India's computer market was ruled by Hewlett-Packard (HPQ)
and Chinese computer maker Lenovo (LNVGY). HP had arrived in 1989, when its only
competition was IBM -- a business that was later acquired by Lenovo. It quickly established
itself as the market leader by focusing on price and after-sales service, and its 2001 merger with
Compaq added to its product range. Both HP and Lenovo had factories in India, and their
products were available off the shelf through a vast retail network. More importantly, because
dealers had huge inventory (the companies supplied machines whether there was demand or not),
they offered customers hefty discounts. Sales rose.

To buy a Dell in those days, Indian customers had to wait up to a month for delivery while the
computers were manufactured in Dell's factory in Penang, Malaysia. Little wonder, then, that
Dell sold just 79,244 laptops and desktops in India in 2007, its first year of full-fledged Indian
operations. In that same year, HP sold 1 million to Indian consumers.

Yet today, Dell has surpassed all the others, selling over 1.1 million desktops, laptops and
notebook computers in India in 2010, compared to HP's 1 million and Lenovo's 600,000.
According to the International Data Corporation, in the third quarter of 2010, Dell (DELL) led in
India with a 15.3% overall market share, ahead of HP with 14.7%.

While Dell's India revenue of more than $1 billion is less than 2% of the company's global sales,
India is emerging as the fastest-growing market for the company. In the third quarter of 2010,
India reported year-on-year growth of 55% -- the highest for any Dell market.

HOW DELL DID IT

The first step was to set up a factory in India. "Manufacturing locally cut delivery time by almost
50% and improved profitability," says M.R. Sundaresan, general manager of operations for Dell
India. It also reduced waiting time to less than eight days.

Dell also changed the way it sold computers. While buying online remained an option, the
company set up exclusive outlets across the country, la Apple (AAPL) -- the first time it has
experimented with the retail model -- and hired a battery of sales affiliates. Dell ensured that
these affiliates, or channel partners, were given incentives to sell. The company also made
virtually no investment in warehousing and delivering products right to customers' doors upon
demand. Once customers could touch and feel the product, it was easier for Dell to convince
them to buy. And buy they did.

This wasn't technically Dell's first foray into the country. Dell had quietly entered India back in
2000, focusing on large enterprise and government business. By 2007, Dell's business was worth
$250 million in this segment. It also cashed in on the outsourcing wave, and had set up four
customer care and tech support centers in India for its global customers. But, of course, Dell
wanted a slice of the increasingly lucrative personal computers space.

"There was no charter or blueprint and we could not copy our competition. We were asked to go
and figure how to build the India business," recalls Dell India's former country general manager,
Rajan Anandan, who was sent to India from Dell in the U.S. in 2006. (Anandan left Dell in 2008
and joined Google India as vice president of sales and operations earlier this year.) He set an
aggressive revenue target of $1 billion within three years a milepost he believed would catapult
Dell to the No. 1 spot in the market. "Such targets were not heard of within the company and
never in the industry," he says. "Dell China took five or six years to become a billion dollar
business." Dell India ultimately achieved the $1 billion revenue target in 2009-10, a year behind
schedule due to the economic downturn.
The India growth story was powered by a "billion dollar core team," which came together in the
first six months after Anandan relocation. The team consisted of people from rivals HP and IBM
(IBM), and even Hindustan Unilever, Whirlpool of India, and Airtel India. Sundaresan, for
instance, left Whirlpool to set up Dell's first India factory, in Sriperumbudur near the southern
city of Chennai, which he got up and running in just eight months. The industry average for a
plant that size is at least 12 to 18 months.

On the distribution front, Dell divided the Indian market between 35 master sales affiliates. It
sidestepped the established national, regional, and retail distribution model to instead follow a
model typically used for insurance agents. Thousands of registered individual sales affiliates
would reach out to retail customers in person and give them a first-hand product experience at
their doorstep. Had Dell followed the strategy adopted by its competitors, it would have been
forced to change its built-to-order model. The result would have been squeezed margins,
extended credit lines, and rigid incentive structures.

Simultaneously, Dell opened 38 exclusive stores across India, and joined hands with retailers
such as the Tata group's Croma and Future Group's e Zone for a shop-in-a-shop counter for its
products. These outlets are franchised to the sales affiliates, who are also responsible for
supporting field affiliates. "In a way, these affiliates became an extension of Dell offices in their
region,

Dell backed this hybrid retail model by extending onsite service (technicians coming to
individuals' homes) in 650 cities to retail and small business customers as well. Previously this
service was offered only to enterprise and government accounts. The new distribution model
worked for Dell, giving it access to even rural areas, where customers would not be able to easily
order online, and where setting up retail outlets was not viable.

The India team realized that both the consumer and small business segments are driven by strong
distribution networks, especially in emerging markets. They looked at Lenovo's distribution
model in China, for example, and found that it used its strong channel relationships to penetrate
beyond smaller provincial cities into rural markets. There were also complaints in India of
Lenovo's margins being under pressure due to the overcrowding of distributors, delayed
incentives, and dumping of products in the existing partnerships between national and regional
distributors and local retailers. It was good news for Dell.

Advertising followed, with the company opting for real-life entrepreneurs instead of celebrities
to endorse its products. A "Take Your Own Path" campaign in 2008 featured corporate role
models such as Raman Roy, considered the father of India's back-office processing industry, and
P. Rajendran, co-founder and chief operating officer for the Indian technology company NIIT.
"They didn't have the glamour quotient but were inspirations to many," says Amit Midha,
president of consumer and small and medium business for Dell Asia-Pacific/Japan.
Competitors gird for battle

However, the competition is not ready to let market share slip that easily. Globally, HP and Acer
have gained market share to push Dell down to No. 3, while Lenovo continues to dominate
China. It's Dell India that is moving against the tide.

Analysts expect the fight to intensify in the coming quarters as the competition reorganizes and
fights for a comeback. "HP cracked the Indian retail market long back, and Lenovo has a very
strong channel strategy," notes Bryan Ma, associate vice president of Asia Pacific for the
research firm IDC. "They are facing a temporary setback (Dell's rise) and will return with a
vengeance."

HP has made changes in its distribution and retail network. From a one-size-fits-all strategy, it is
now paying more attention to what's selling and what's not. "We are increasing our product
portfolio according to market demand," says Vinay Chandra Awasthi, director of personal
systems groups for HP India Sales. Lenovo, for its part, will neither change its three-layered
channel modelwhich includes a national distributor, a regional distributor and a retailernor
will it opt for end-to-end services. But it is working toward better relationships and improved
trust among partners. "We will increase engagement with 400 select partners for better customer
focus, and in the next 12 months to 18 months add 1,000 low-cost exclusive stores in smaller
towns and suburbs to expand our reach," says Amar Babu, managing director of Lenovo India.

Both HP and Lenovo have factories in India: HP's plant in the far northern state of Uttarakhand
has a capacity of 5.7 million units (personal computers as well as servers); Lenovo's factory in
southern Puducherry (formerly Pondicherry) can produce 3 million units. Both companies
shuttered a plant each during the economic slowdown, having overestimated the potential of the
Indian market.

Globally, Dell has also closed factories as part of its plan to save $4 billion in operating costs.
"The thrust is to get a more profitable revenue market share," says Sameer Garde, vice president
of OEM solutions at Dell in the U.S. He was part of the team that chalked out the India plan and
was managing director of India operations before moving to a global role in the Dell
headquarters. The next step is to try to lower costs in India as well. Sundaresan regrets the lack
of a supplier ecosystem in India, which could make pricing competitive. Dell globally sources
around 1,300 components worth $26 billion from China, including components that arrive at the
facility in India. Sundaresan says that if India had manufacturers who could make even 10% of
components that Dell alone buys, "it will have a huge multiplier effect on the sector and the
entire economy."

Dell is betting on opportunities due to increased data access and demand for solutions around
mobility, virtualization, and cloud computing. It has been renewing its products and services
portfolio since 2007 and has diversified into areas such as smart phones, tablets, and printers.
The Vostro range of notebook computers was specifically designed for the Indian small business
segment. The strategy worked to Dell's advantage, and now competitors are following suit. In the
last two years, Dell has invested almost $600 million to add new skill sets, service capabilities,
and intellectual property through 14 acquisitions. Dell execs say there's more to come. "We are
open to partnerships and acquisitions, whatever it takes to bring the cost down, at each level of
our offering," says Garde.

For Dell, India has emerged as a local and global service delivery hub. It is the only market
outside the U.S. with all business functionscustomer care, financial services, manufacturing,
R&D, and analytical servicesoperational at the local level and giving global support. "We
evaluated market trends and growth potential, enabling us to invest ahead of the curve in India,
resulting in our phenomenal growth," says Midha. It is a growth story that resonates around the
world.

United States
In the early 1990s, Dell sold its products through Best Buy, Costco and Sam's Club stores in the
United States. Dell stopped this practice in 1994, citing low profit-margins on the business,
exclusivingly distributing through a direct-sales model for the next decade. In 2003, Dell briefly
sold products in Searss stores in the U.S. In 2007, Dell started shipping its products to major
retailers in the U.S. once again, starting with Sam's Club and Wal-Mart. Staples, the largest
office-supply retailer in the U.S., and Best Buy, the largest electronics retailer in the U.S.,
became Dell retail partners later that same year.

Kiosks
Starting in 2002, Dell opened kiosk locations in shopping malls across the United States in order
to give personal service to customers who preferred this method of shopping to using the Internet
or the telephone-system. Despite the added expense, prices at the kiosks match or beat prices
available through other retail channels. Starting in 2005, Dell expanded kiosk locations to
include shopping malls across Australia, Canada, Singapore and Hong Kong.

On January 30, 2008, Dell shut down all 140 kiosks in the U.S. due to expansion into retail
stores.

By June 3, 2010, Dell had also shut down all of its mall kiosks in Australia.

STORES
In 2006, Dell Inc. opened one full store, 3,000-square-foot (280 m2) in area, at North Park
Center in Dallas, Texas. It operates the retail outlet seven days a week to display about 36
models, including PCs and televisions. As at the kiosks, customers can only see demonstration-
computers and place orders through agents. Dell then delivers purchased items just as if the
customer had placed the order by phone or over the Internet.

In addition to showcasing products, the stores also support on-site warranties and non-warranty
service ("Dell Solution Station"). Services offered include repairing computer video-cards and
removing spyware from hard drives.

On February 14, 2008, Dell closed the Service Center in its Dallas North Park store and laid off
all the technical staff there.

Elsewhere
As of the end of February 2008, Dell products shipped to one of the largest office-supply
retailers in Canada, Staples Business Depot. In April 2008, Future Shop and Best Buy began
carrying a subset of Dell products, such as certain desktops, laptops, printers, and monitors.

Since some shoppers in certain markets show reluctance to purchase technological products
through the phone or the Internet, Dell has looked into opening retail operations in some
countries in Central Europe and Russia. In April 2007, Dell opened a retail store in Budapest. In
October of the same year, Dell opened a retail store in Moscow.

In the UK, HMV's flagship Trocadero store has sold Dell XPS PCs since December 2007. From
January 2008 the UK stores of DSGi have sold Dell products (in particular,
through Currys and PC World stores). As of 2008, the large supermarket-chain Tesco has sold
Dell laptops and desktops in outlets throughout the UK.

In May 2008, Dell reached an agreement with office supply chain, Office works (part of Coles
Group), to stock a few modified models in the Inspiron desktop and notebook range. These
models have slightly different model numbers, but almost replicate the ones available from the
Dell Store. Dell continued its retail push in the Australian market with its partnership with Harris
Technology (another part of Coles Group) in November of the same year. In addition, Dell
expanded its retail distributions in Australia through an agreement with discount electrical
retailer, The Good Guys, known for "Slashing Prices". Dell agreed to distribute a variety of
makes of both desktops and notebooks, including Studio and XPS systems in late 2008. Dell
and Dick Smith Electronics (owned by Woolworths Limited) reached an agreement to expand
within Dick Smith's 400 stores throughout Australia and New Zealand in May 2009 (1 year since
Office works owned by Coles Group reached a deal). The retailer has agreed to distribute a
variety of Inspiron and Studio notebooks, with minimal Studio desktops from the Dell range. As
of 2009, Dell continues to run and operate its various kiosks in 18 shopping centers throughout
Australia. On March 31, 2010 Dell announced to Australian Kiosk employees that they were
shutting down the Australian/New Zealand Dell kiosk program.
In Germany, Dell is selling selected smart phones and notebooks via Media Market and Saturn,
as well as some shopping websites.

Partnership with EMC

The Dell/EMC brand applies solely to products that result from Dell's partnership with EMC
Corporation. In some cases Dell and EMC jointly design such products; other cases involve
EMC products for which Dell will provide support generally midrange storage systems, such
as fiber channel and iSCSI storage area networks. The relationship also promotes and sells OEM
versions of backup, recovery, replication and archiving software.

On December 9, 2008, Dell and EMC announced the multi-year extension, through 2013, of their
strategic partnership that began in 2001. In addition, Dell plans to expand its product line-up by
adding the EMC Celerra NX4 storage system to the portfolio of Dell/EMC family of networked
storage systems, as well as partnering on a new line of de-duplication products as part of its Tier
Disk family of data-storage devices.

On October 17, 2011, Dell announced officially discontinued reselling all EMC storage products,
this put end to 10 years of Partnership.

Environmental record
Dell committed to reduce greenhouse gas emissions from its global activities by 40% by 2015,
with 2008 fiscal year as the baseline year. It is listed in Green peaces Guide to Greener
Electronics that scores leading electronics manufacturers according to their policies on
sustainability, climate and energy and how green their products are. In November 2011, Dell
ranked 2nd out of 15 listed electronics makers (increasing its score to 5.1 from 4.9, which it
gained in the previous ranking from October 2010).

Dell was the first company to publicly state a timeline for the elimination of toxic polyvinyl
chloride (PVC) and brominated flame retardants (BFRs), which it planned to phase out by the
end of 2009. It revised this commitment and now aims to remove these toxics by the end of 2011
but only in its computing products. In March 2010, Greenpeace activists protested at Dell offices
in Bangalore, Amsterdam and Copenhagen calling for Dells founder and CEO Michael Dell to
drop the toxics and claiming that Dells aspiration to be the greenest technology company on
the planet was hypocritical. Dell has launched its first products completely free of PVC and
BFRs with the G-Series monitors (G2210 and G2410) in 2009.
In its 2012 report on progress relating to conflict minerals, the Enough Project rated Dell the
eighth highest of 24 consumer electronics companies.

Green initiatives

Dell became the first company in the information technology industry to establish a product-
recycling goal (in 2004) and completed the implementation of its global consumer recycling-
"Recycling Works" award for efforts to promote producer responsibility. On July 19, 2007, Dell
announced that it had exceeded targets in working to achieve a multi-year goal of recovering 275
million pounds of computer equipment by 2009. The company reported the recovery of 78
million pounds (nearly 40,000 tons) of IT equipment from customers in 2006, a 93-percent
increase over 2005; and 12.4% of the equipment Dell sold seven years earlier.

On June 5, 2007 Dell set a goal of becoming the greenest technology company on Earth for the
long term. The company launched a zero-carbon initiative that includes:

Reducing Dell's carbon intensity by 15 percent by 2012 requiring primary suppliers to report
carbon emissions data during quarterly business reviews Partnering with customers to build the
"greenest PC on the planet" expanding the company's carbon-offsetting program, "Plant a Tree
for me".

The company introduced the term "The Re-Generation" during a round table in London
commemorating 2007 World Environment Day. "The Re-Generation" refers to people of all ages
throughout the world who want to "make a difference" in improving the world's environment.
Dell also talked about plans to take the lead in setting an environmental standard for the
"technology industry" and maintaining that leadership in the future.

Dell reports its environmental performance in an annual Corporate Social Responsibility (CSR)
Report that follows the Global Reporting Initiative (GRI) protocol. Dell's 2008 CSR report
ranked as "Application Level B" as "checked by GRI"

The company aims to reduce its external environmental impact through energy-efficient
evolution of products, and also reduce its direct operational impact through energy-efficiency
programmes. Internal energy-efficiency programmes reportedly save the company more than
$3 million annually in energy-cost savings. The largest component of the company's internal
energy-efficiency savings comes through PC power management the company expects to save
$1.8 million in energy costs through using specialized energy-management software on a
network of 50,000 PCs.

Criticism
In the 1990s, Dell switched from using primarily ATX motherboards and PSU to using boards
and power supplies with mechanically identical but differently wired connectors. This meant
customer wishing to upgrade their hardware would have to replace parts with scarce Dell-
compatible parts instead of commonly available parts. However, company practice in this respect
changed in 2003.

In 2005, complaints about Dell more than doubled to 1,533, after earnings grew 52% that year.

In 2006, Dell acknowledged that it had problems with customer service. Issues included call
transfers of more than 45% of calls and long wait times. Dell's blog detailed the response: "We're
spending more than a $100 million and a lot of blood sweat and tears of talented people to
fix this." Later in the year, the company increased its spending on customer service to
$150 million. Despite significant investment in this space, Dell continues to face public scrutiny
with even the company's own website littered with complaints regarding the issue escalation
process.

On August 17, 2007, Dell Inc. announced that after an internal investigation into its accounting
practices it would restate and reduce earnings from 2003 through to the first quarter of 2007 by a
total amount of between $50 million and $150 million, or 2 cents to 7 cents per share. The
investigation, begun in November 2006, resulted from concerns raised by the U.S. Securities and
Exchange Commission over some documents and information that Dell Inc. had submitted. It
was alleged that Dell had not disclosed large exclusivity payments received from Intel for
agreeing not to buy processors from a rival manufacturer. In 2010 Dell finally paid $100 million
to settle the SEC's charges of fraud. Michael Dell and other executives also paid penalties and
suffered other sanctions, without admitting or denying the charges.

In July 2009, Dell apologized after the firm offered its Latitude E4300 notebook at NT$18,558
(US$580), 70% lower than usual price of NT$60,900 (US$1900) in its Taiwan website. The firm
withdrew orders and offered a voucher of up to NT$20,000 (US$625) a customer in
compensation. The consumer rights authorities in Taiwan fined Dell NT$1 million (US$31250)
for customer rights infringements. Many consumers sued the firm for the unfair compensation. A
court in southern Taiwan ordered the firm to deliver 18 laptops and 76 flat-panel monitors to 31
consumers for NT$490,000 (US$15,120), less than a third of the normal price. The court said the
event could hardly be regarded as mistakes, as the prestigious firm said the company mispriced
its products twice in Taiwanese website within 3 weeks.
DELL ON FORTUNE 500 (2012) (AMERICA)

Rank Company Revenues Profits

($ millions) ($ millions)

34 MetLife 70,641.0 6,981.0

35 Home Depot 70,395.0 3,883.0

36 Medco Health Solutions 70,063.3 1,455.7

37 Microsoft 69,943.0 23,150.0

38 Target 69,865.0 2,929.0

39 Boeing 68,735.0 4,018.0

40 Pfizer 67,932.0 10,009.0

41 PepsiCo 66,504.0 6,443.0

42 Johnson & Johnson 65,030.0 9,672.0

43 State Farm Insurance Cos. 64,305.1 845.0

44 Dell 62,071.0 3,492.0

45 WellPoint 60,710.7 2,646.7

46 Caterpillar 60,138.0 4,928.0

47 Dow Chemical 59,985.0 2,742.0


48 United Technologies 58,190.0 4,979.0

49 Comcast 55,842.0 4,160.0

50 Kraft Foods 54,365.0 3,527.0

CHAPTER 3

FINDINGS AND
ANALYSIS
Product Life Cycle stages in the company Below is the product life cycles that any product
goes through from the time it is introduced till and till the time the company stops producing it as
it is no longer profitable.

For a company in the hi-tech hardware industry like Dell, technology keeps changing very
regularly which means that products and components have very short life cycles. Therefore
proper management of the product life cycle and constantly keep introducing new products is
one of the keys to remain competitive in this industry.

Introduction

This is a time when the product has been introduced and volumes are low. however since the
product technology is new at this point, the components maybe on long lead times that affect the
delivery schedules of the system. At this time, the most important thing for Dell would be top
correctly estimate the new components needed so that these new systems are not on too long a
lead time.
Growth

This is time where the volume growth takes place very fast. So the challenge for Dell would be
to work closely with its suppliers to ensure that no they are in a position to supply these parts and
ensure that the supply chain isnt affected due to parts shortage. ex studio.

Maturity

This is the time when there are huge volumes but the profits are lower as competitors have
also come up with similar products. Also demand is more predictable than in the previous two
stages. Here Dell should work to lower the per unit costs of the components as there is price
competition and also ensure that it has proper supply as well. ex - latituded.

Decline

This is the stage where the products sales would be dipping and Dell would soon need to stop
producing this product. The decision that Dell would need to take at this stage would be to
ensure that prices of components are at their lowest as this is old technology. Dell would also
need to plan for this stage in advance so that other parts of the sales/supply chain are not affected
when Dell stops production of that product. Ex - Inspiron

COMPETETION

DELLS MAJOR COMPETTITORS INCLUDE


hewletPackard (HP), Acer, Toshiba, Gateway, Sony, Asus, Lenovo, IBM, MSI, Samsung, Apple
and Sun Microsystems. Dell and its subsidiary, Alien ware, compete in the enthusiast market
against AVA Direct, Falcon Northwest, Voodoo PC (a subsidiary of HP), Custom Potato, and
other manufacturers. In the second quarter of 2006, Dell had between 18% and 19% share of the
worldwide personal computer market, compared to HP with roughly 15%.

In late 2006, Dell lost its lead in the PC-business to Hewlett-Packard.


Both Gartner and IDC estimated that in the third quarter of 2006, HP shipped more units
worldwide than Dell did. Dell's 3.6% growth paled in comparison to HP's 15% growth during the
same period. The problem got worse in the fourth quarter, when Gartner estimated that Dell PC
shipments declined 8.9% (versus HP's 23.9% growth). As a result, at the end of 2006 Dell's
overall PC market-share stood at 13.9% (versus HP's 17.4%).

IDC reported that Dell lost more server market share than any of the top four competitors in that
arena. IDC's Q4 2006 estimates show Dell's share of the server market at 8.1%, down from 9.5%
in the previous year. This represents a 8.8% loss year-over-year, primarily to
competitors EMC and IBM

In 2011, The Brand Trust Report, India study revealed that Dell is ranked as the 27th most
trusted brand as compared to Samsung which stood at 5th and HP which ranked 23

MARKET SHARE

2006-2011

Global PC Market Share by Units, Percent. 2006-2011.

Rank 2006 2007 2008 2009 2010 2011

1 Dell 15.9 HP 18.2 HP 18.4 HP 19.3 HP 17.9 HP 17.2

2 HP 15.9 Dell 14.3 Dell 14.3 Acer 13.0 Dell 12.9 Lenovo 13.0
3 Lenovo 7.0 Acer 8.9 Acer 11.1 Dell 12.2 Acer 12.0 Dell 12.1

4 Acer 5.8 Lenovo 7.4 Lenovo 7.2 Lenovo 8.1 Lenovo 9.7 Acer 11.2

5 Toshiba 3.8 Toshiba 4.0 Toshiba 4.5 Toshiba 5.1 Toshiba 5.4 Asus 5.9

Others 51.6 47.1 44.5 42.3 42.1 40.6

PC sales drop, Dell market share falls

Worldwide PC shipments dropped in the second quarter, and Dell Inc.'s market share fell with it,
down 11.5 percent.

Hewlett-Packard CO. continues to be the world's top PC supplier with 14.9 percent of the
market, followed by Chinese personal computer maker Lenovo Group Ltd. with a 14.7 percent
share. Acer Inc. took the No. 3 spot with 11 percent of the market, and in fourth place, Round
Rock-based Dell, with 10.7 percent share of the market.

Dell shipped 9.35 million units during the last quarter, down from 10.6 million machines a year
earlier, The New York Times reports.

California law firm Robbins Umeda LLP has launched an investigation into possible breaches of
fiduciary duty of Quest Software Inc. directors in connection with its $2.4 billion acquisition by
Dell.

DISTRIBUTION CHANNELS
In 1983, 18-year-old Michael Dell left college to work full-time for the company he founded as a
freshman, providing hard-drive upgrades to corporate customers. In a years time, Dells venture
had $6 million in annual sales. In 1985, Dell changed his strategy to begin offering built-to-order
computers. That year, the company generated $70 million in sales. Five years later, revenues had
climbed to $500 million, and by the end of 2000, Dells revenues had topped an astounding $25
billion. The meteoric rise of Dell Computers was largely due to innovations in supply chain and
manufacturing, but also due to the implementation of a novel distribution strategy. By carefully
analyzing and making strategic changes in the personal computer value chain, and by seizing on
emerging market trends, Dell Inc. grew to dominate the PC market in less time than it takes
many companies to launch their first product.

No more middlemen: Dell started out as a direct seller, first using a mail-order system, and then
taking advantage of the internet to develop an online sales platform. Well before use of the
internet went main stream, Dell had begun integrating online order status updates and technical
support into their customer-facing operations. By 1997, Dells internet sales had reached an
average of $4 million per day. While most other PCs were sold preconfigured and pre-assembled
in retail stores, Dell offered superior customer choice in system configuration at a deeply
discounted price, due to the cost-savings associated with cutting out the retail middleman. This
move away from the traditional distribution model for PC sales played a large role in Dells
formidable early growth. Additionally, an important side-benefit of the internet-based direct sales
model was that it generated a wealth of market data the company used to efficiently forecast
demand trends and carry out effective segmentation strategies. This data drove the
companys product-development efforts and allowed Dell to profit from information on the value
drivers in each of its key customer segments.

Virtual integration: On the manufacturing side, the company pursued an aggressive strategy of
virtual integration. Dell required a highly reliable supply of top-quality PC components, but
management did not want to integrate backward to become its own parts manufacturer. Instead,
the company sought to develop long-term relationships with select, name-brand PC component
manufacturers. Dell also required its key suppliers to establish inventory hubs near its own
assembly plants. This allowed the company to communicate with supplier inventory hubs in real
time for the delivery of a precise number of required components on short notice. This just-in-
time, low-inventory strategy reduced the time it took for Dell to bring new PC models to market
and resulted in significant cost advantages over the traditional stored-inventory method. This was
particularly powerful in a market where old inventory quickly fell into obsolescence. Dell openly
shared its production schedules, sales forecasts and plans for new products with its suppliers.
This strategic closeness with supplier partner allowed Dell to reap the benefits of vertical
integration, without requiring the company to invest billions setting up its own manufacturing
operations in-house.

Innovation on the assembly floor: In 1997, Dell reorganized its assembly processes. Rather than
having long assembly lines with each worker repeatedly performing a single task, Dell instituted
manufacturing cells. These cells grouped workers together around a workstation where they
assembled entire PCs according to customer specifications. Cell manufacturing doubled the
companys manufacturing productivity per square foot of assembly space, and reduced assembly
times by 75%.

Dell combined operational and process innovation with a revolutionary distribution model to
generate tremendous cost-savings and unprecedented customer value in the PC market.

The following are some key lessons from the story of Dells incredible rise:

1. Disintermediation (cutting out the middleman): Deleting a player in the distribution chain is a
risky move, but can result in a substantial reduction in operating costs and dramatically improved
margins. Some companies that have surged ahead after they eliminated an element in the
traditional industry distribution chain include:

Expedia (the online travel site that can beat the rates of almost any travel agency, while giving
customers more choice and more detailed information on their vacation destination)

Mod Cloth (a trendy virtual boutique with no bricks-and-mortar retail outlets to drive up costs)

PropertyGuys.com (offers a DIY kit for homeowners who want to sell their houses themselves)

ITunes (an online music purchasing platform that wont have you sifting through a jumble of
jewel cases at your local HMV)

Amazon.com (an online sales platform that allows small-scale buyers and sellers to access a
broad audience without the need for an expensive storefront or a custom website)

Netflix (the no-late-fees online video rental company that will ship your chosen video rentals
right to your door)

2. Enhancing customer value: Foregoing the retail route allowed Dell to simultaneously improve
margins while offering consumers a better price on their PCs. This move also gave customers a
chance to configure PCs according to their specific computing needs. The dramatic improvement
in customer value that resulted from Dells unique distribution strategy propelled the company to
a leading market position.

3. Process and operations innovation: Michael Dell recognized that the way things had always
been done wasnt the best or most efficient way to run things at his company. There are
countless examples where someone took a new look at a company process and realized that there
was a much better way to get things done. It is always worth re-examining process-based work to
see if a change could improve efficiency. This is equally true whether youre a company of five
or 500.

4. Let data do the driving: Harnessing the easily accessible sales and customer feedback data that
resulted from online sales allowed Dell to stay ahead of the demand curve in the rapidly evolving
PC market. Similarly, sales and feedback data was helpful in discovering new ways to enhance
customer value in each of Dells key customer segments. Whether your company is large or
small, it is essential to keep tabs on metrics that could reveal emerging trends, changing attitudes,
and other important oppurtinities for your company.

MARKETING STRATEGY

Dells marketing strategy research papers point out that Dell Computer Corporation is defined by
its direct model approach to selling, which is in turn dominated by the companys intent to
generate as many sales as possible on the Internet. Dell's marketing strategy sees the Internet as
the purest and most efficient form of the direct model for sales, service, and support, as well as
the most efficient means of customer communication both presently and in the future. Currently
the company receives more than 2.6 million visits each week to its more than80 country-specific
sites. This resulted in more than $40 million in revenue per week being generated by the online
marketing of Dell. The company touts its site as allowing existing and potential customers to
access information regarding its products, configure computers to the customers liking, and then
make the purchase. Dell sees this process as the most efficient method of selling because it
allows the consumer to guide the process. While the consumer is choosing and configuring their
Dell computer, as well as after the purchase at the Internet site, the customer has access to
volumes of support and technical information. Instead of sales people answering questions, the
customer is left to find their own answer. This presupposes a base line of technical knowledge in
the customer, which guides the information-gathering process. Without this base line of
knowledge, the customer will have difficulty making sense of computer hardware jargon that
defines the capabilities of PC units. In addition, such a technically unsophisticated customer may
have difficulty in even formulating the questions that should be asked in order to evaluate if
a particular Dell computer will meet their needs. Individuals who are making their first
computer purchase are unlikely to have access to the Internet or the navigational expertise to find
Dells site. The marketing model of Dell Computers, however, does not differentiate between
types of customers, and instead treats each potential customer as if they have equal technical
knowledge. Dells Direct Method provides two distinct advantages:

1. reducing marketing and sales cost by eliminating markups of distributors and retailers
2.Building to order reduced inventory costs and risks of retaining inventories. Dells Direct
Model is the main reason why it has achieved its stellar status in business today. This strategic
model enables Dell to interact with customers directly providing them with fast, reasonably-
priced and friendly means of production and distribution.
PROMOTION / ADVERTISING

Dell advertisements have appeared in several types of media including television, the Internet,
magazines, catalogs and newspapers. Some of Dell Inc's marketing strategies include lowering
prices at all times of the year, offering free bonus products (such as Dell printers), and offering
free shipping in order to encourage more sales and to stave off competitors. In 2006, Dell cut its
prices in an effort to maintain its 19.2% market share. However, this also cut profit-margins by
more than half, from 8.7 to 4.3 percent. To maintain its low prices, Dell continues to accept most
purchases of its products via the Internet and through the telephone network, and to move its
customer-care division to India and El Salvador.

A popular United States television and print ad campaign in the early 2000s featured the
actor Ben Curtis playing the part of "Steven", a lightly mischievous blond-haired youth who
came to the assistance of bereft computer purchasers. Each television advertisement usually
ended with Steven's catch-phrase: "Dude, you're getting' a Dell!"

A subsequent advertising campaign featured interns at Dell headquarters (with Curtis' character
appearing in a small cameo at the end of one of the first commercials in this particular
campaign).

A Dell advertising campaign for the XPS line of gaming computers featured in print in the
September 2006 issue of Wired. It used as a tagline the common term in Internet
and gamer slang: "FTW", meaning "For the Win". However, Dell Inc. soon dropped the
campaign.

Some of Dell Inc's marketing strategies include lowering prices at all times of the year,
offering free bonus products (such as Dell printers), and offering free shipping in order to
encourage more sales and to stave off competitors.

The biggest area of expansion for Dell is the consumer market. In order to develop more sales in
this market Dell needs to focus more advertising on the needs and wants of the consumer. Dell
promotes its direct model, which is a key factor Dell needs to create a better position for itself in
the consumer market. With all of the PCs in the market being more or less equal, Dell needs to
focus on what differentiates its products from the competition, namely service and support. The
advertising campaign need to focus on the motions of the PC users as oppose to merely their
logical side. With a strong emotional ad campaign focusing on the anxieties and fears of the
consumers when it comes to making the decision for a computer purchase Dell can reassure the
consumers that we are there for them. The direct model and more importantly the virtual
integration should be the focus of the campaign as oppose to a "teen-age" part-time employee at
your local mall. Why would anyone want to go into a super store where the salesperson pitches
everything under the sun to you before you finish telling them what it is you need With the build-
to-order direct way Dell operates "you tell us what you want, we don't tell you what you want."In
2007, Dell switched advertising agencies in the US from BBDO to Mother. In July2007, Dell
released new advertising created by Mother to support the Inspiron and XPS lines. The ads
featured music from the Flaming Lips and Devo who re-formed especially to record the song in
the ad "Work it out". Dell recently began using the slogan "Yours is here" to show that it
customizes computers to fit customers' requirements.

Various dell ads are


SWOT ANALYSIS

Strengths

Dell's Direct Model approaches of enables the company to offer direct relationships with
customers such as corporate and institutional customers. Their strategic method also provides
other forms of products and services such as internet and telephone purchasing, customized
computer systems; phone and online technical support and next-day, on-site product service. This
extensive range of products and services is definitely one of
Dellsstrengths.Dell Computer's award-winning customer service, industry-leading growth and
consistently strong financial performance differentiate the company from competitors for the
following reasons: Price for Performance Dell boasts a very efficient
distribution process allowing it to offer customers powerful systems at competitive prices.
Customization - Each Dell system is built to order to meet each customers specifications.
Reliability, Service and Support Dells direct customer allows it to provide top-notch customer
service before and after the sale. Latest Technology Dell is able to introduce the latest
companies using the indirect distribution channels. Dell turns over inventory for an average of
every six days, keeping inventory costs low. The company's application of the Internet to other
parts of the business --including procurement, customer support and relationship management --
is growing at a rate of 30 percent. The company's Web site received at least 25 million visits at
more than 50country-specific sites.

Weaknesses
Dells biggest weakness is attracting the college student segment of the market. Dells sales
revenue from educational institutions such as colleges only accounts for a measly5% of the total.
Dells focus on the corporate and government institutional customers somehow affected its
ability to form relationships with educational institutions. Since many students purchase their
PCs through their schools, Dell is obviously not popular among the college market yet.

For home users, Dells direct method and customization approach posed problems. For one,
customers cannot go to retailers because Dell does not use distribution channels. Customers just
cant buy Dell as simply as other brands because each product is custom- built according to their
specifications and this might take days to finish.

Opportunities

Personal computers are becoming a necessity now more than ever. Customers are getting more
and more educated about computers. Second-time buyers would most likely avail of Dells
custom-built computers because as their knowledge grows, so do their need to experiment or use
some additional computer features. Demand for laptops is also growing. As a matter of fact,
demand for laptop has overtaken the demand for desktops. This is another opportunity for Dell to
grow in other segments. The internet also provides Dell with greater opportunities since all they
have to do now is to visit Dells website to place their order or to get information. Since Dell
does not have retail stores, the online stores would surely make up for its absence. It is also more
convenient for customers to shop online than to actually drive and do purchase at a physical
store.

Threats

In a volatile market such as personal computers, threats abound. Computers change in a constant
sometime daily basis. New software, new hardware and computer accessories are introduced at a
lightning speed. It is essential for Dell therefore to be always on the lookout for new things or
introduce new computer systems. The threat to become outmoded is a pulsating reality in a
computer business. Not only that, companies must produce products that are high in quality but
low in price. This Is one challenge that Dell contends with. One of the biggest external threats to
Dell is that price difference among brands is getting smaller. Dells direct model attract
customers because it saves cost. Since other companies are able to offer computers at low costs,
this could threaten Dells price-conscious growing customer base. With almost identical prices,
price difference is no longer an issue for a customer. They might choose other brands instead of
waiting for Dells customized computer.
The growth rate of the computer industry is also slowing down. Today, Dell has the biggest share
of the market. If the demand slows down, the competition will become
stiffer in the process. Dell has to work doubly hard to differentiate itself from its substitutes to be
able to continue holding a significant market share. Technological advancement is a double-edge
sword. It is an opportunity but at the same time a threat. Low-cost leadership strategy is no
longer an issue to computer companies therefore it is important for computer companies to stand
out from the rest. Technology dictates that the most up-to-date and fastest products are always
the most popular. Dell has to always keep up with technological advancements to be able to
compete.

PEST ANALYSIS

A PEST analysis is an analysis of the external macro-environment that affects all firms. P.E.S.T.
is an acronym for the political, Economic, Social, and technological factors of the external
macro-environment. Such factors usually are beyond the firms control and sometimes present
themselves as threats. For this reason, some say that PEST is an appropriate term for these
factors . However, changes in the external environment also create new opportunities and the
letters sometimes are rearranged to construct the more optimistic term of STEP analysis.

Many macro-environmental factors are country-specific and a PEST analysis will need to be
performed for all countries of interest. In the following, the analysis of the political, economic,
social and technological factors leads to a description of the macro environment of DELL
COMPUTERS Like in all markets, DELL computers is also subject to laws that regulate
virtually all aspects of their business, including such areas as health safety, pollution, and
advertising and labeling requirements. Problems can arise in countries where political stability is
not guaranteed, no matter whether companies operate production facilities or if they do business
with that country through exports. Many countries still have restrictive policies which are
maintained to protect domestic manufacturers and production. Such policies often hinder foreign
companies from entering into these markets. The only possibility to do business in those
countries is to establish partnerships with local companies, where they are additionally forced to
accept minority shares and to provide money and technological know-how. However, DELL
computers see great potential in those countries which lose their restrictions.
Economic Environment

Economic environment refers to the aggregate of the nature of the economic system of the
country, the structural anatomy of the economy to economic policies of the government, the
organization of the capital market, the nature of factor endowment, business cycles, the socio
economic infrastructure etc. The economic environment includes factors and trends related to
income levels and the production of goods and services.

Political Environment

The political environment of a country is influenced by the political organizations such as


philosophy of political parties, ideology of government or party in power, nature and extent of
bureaucracy influence of primary groups etc. Political factors include government regulations
and legal issues determining the conditions under which companies have to operate. In this field,
DELL computers have to face certain restraints.

DELL computer expects a growth of approximately ten percent over the next five years. This
growth is influenced by the economic situation in a specific country, having an impact on the
purchasing power of potential customers. Additionally, changing inflation rates and currency
fluctuation also determine the profitability of a company. Another economic factor that can
adversely affect the computer industry is the exchange rate of home currency all branded
products are imported, and their prices vary with changes in change rate Also with an increase in
income, consumers are likely to purchase higher quality products rather than to simply purchase
more. Thus there is a growing market for higher quality and priced computers.

Social Environment

The social dimension or environment of a nation determines the value system of the society
which, in turn affects the functioning of the business. The social environment includes all factors
and trends related to groups of people, including their number, characteristics, behavior, and
growth projections. Because consumer markets have specific needs and problems, changes in the
social environment can affect markets differently. Trends in the social environment might
increase the size of some markets, decrease the size of others, or even help to create new
markets. The potential for internet growth is huge in Asian countries like India and China, giving
foreign computer companies, the opportunities to expand into a new market. DELL computers
have to invest in door-to-door or face-to-Face operations to gain consumers faith and consumers
trust in the company and product. The national demand for DELL computers is dependent on the
educational level prevailing in a specific country. The higher the educational standard, the higher
is the demand. Furthermore, Dell computers get more and more involved in daily life. Today,
children already get familiar with the use of computers at a very young age, representing a
generation that will hardly live and work without a computer in the future. Additionally, the
brand image of a computer and lifestyle trends get more and more decisive for the purchasing
decision. DELL computers adapts to this trend, e. g. by offering a wider range of notebooks and
by trying to create a strong brand name.

Technological Environment

The technological environment includes factors and trends related to innovations that affect the
development of new products or the marketing process. These technological trends can provide
opportunities for new product development; affect how marketing activities are performed, or
both. For example, advances in information and communication technologies provide new
products for firms to markets, and the buyers of these products often use them to change the way
they market their own products. Using these technologies products can help marketers be more
productive. In the Computer industry, technology continues to be smaller and faster than ever.
Providing access to technologies developed by institutions has proven a key government
Resource. It was observed that by the year 2000, mainland Chinas annual PC production would
Reach 7.6 million making it the third largest in the world. The internet is a great opportunity for
companies to get into their public domain as well as a fast way to tailor services to its customer
segments. A threat in the technological segment to dells business in China is that access to the
internet is costly.

DELLS GLOBAL MARKET SEGMENTATION

Individual Consumer-based segmentation approach

There are 4 customer groups Dell has segmented and targeted - the individual and home users,
the small and medium size business, the large enterprises and the public sectors such as hospital
and educational centers. According to the implications that are drawn from Angelmar et al (2004)
who has given a conception concerning the domain-specific characteristics for global
segmentations, that these characteristics refer to customer characteristics, attitudes, needs, and
behaviours that are explicitly related to the product category of concern for new product
introduction. Dell is segmenting its customer based on their different level of demands and
needs towards computer technology.

Diffusion-based segmentation approach


Finally we come to the second part of the principle behind which Dell is using to segment its
global market serving the purpose to introduce new product, which is termed the diffusion -
based segmentation approach. This approach refers to that countries can be divided into groups
according to the similarities in a typical pattern of how new products gain market penetration
(Gatignon and Van Den Bulte, 2004). These patterns include the economic variables, cultural
variables and information access which are the major determinants of the illustration of Dells
diffusion-base segmentation.

Future plans

Some of the concepts on which the company is working on that we will see developments in the
coming months.

First wanted to make clear that the phenomenon BYOD Bring Your Own Device has become an
unstoppable phenomenon, which is an opportunity but also poses a great challenge for
companies.

A survey conducted by Dell itself, shows that up to 60% of workers would be willing to
incorporate their personal computers to the corporate world. workers who want a greater choice
on their devices and thus foster an ever deeper consumerization of technology.

Hearty also stressed that this consumerization, and the fact that more and more devices are used,
is causing a major challenge for the data network millions of photos and videos are posted daily
on the Web, which necessarily result in the medium term the widespread deployment of 4G
networks.

Finally speaking of what many called the post-pc Hegarty first as Erik later Dithmer stressed that
we are not facing the end of the PC, but in an era in which multiply the devices, both in our
professional lives and in our personal life.

In this regard, both leaders praised the role already being played and theyll play the ultra
books at this time, with computers that stand out for offering high performance, more
connectivity and greater autonomy.
Although the coming weeks DELL will tell all the news that have appeared in the Dell
Technology Camp, now here are going to be discussed about some of his most interesting
releases in the professional field.

These solutions provide a dynamic interface, flexible and intuitive, elegant design and
sophisticated control capabilities and enterprise-class, ranging from entry-premium equipment to
and from desktops to net books.

strike Zone shock absorption, free-fall sensor for quick response, and the new rubber isolation
hard drive, which helps protect against drops and vibrations.

Long battery life of up to 32.7 hours with an optional 9-cell battery bay+, 2 GB memory,
integrated graphics, Intel Core and third-generation 128-GByte SSD optional, and Express
Charge to recharge to 80 % of the battery in one hour in some configurations.

it Includes the latest Intel vPro management systems 8.x iAMT Dell exclusive extensions that
support vPro remote management of BIOS and hard drive, which allows remote management of
the family of E and Latitude notebooks the family of OptiPlex desktops, including easy
management when the computer is idle.

The Latitude E6430s, has a new design, improved balance between portability and productivity
in high-end mobility, and includes a 13.3-inch chassis combined light and portable with a screen
of 14 inches.

On the other hand, models E6230, E6330, E6430 and E6530, with screens of 12.5, 13.3, 14 and
15.6 inches respectively, offer increased durability and productivity on the move thanks to its
long battery life, as well as extensive connectivity capabilities with a high performance antenna
and wireless options and wireless broadband.

The laptop rugged Latitude E6430 ATG is designed to withstand extreme temperatures, dust and
vibration, and helps increase productivity regardless of location or terrain thanks to its large 14-
inch screen and enhanced its optional handle for easy carrying.

Finally, the family of Dell OptiPlex delivers maximum productivity for business-critical tasks
and is designed to be the family of corporate desktops more secures flexible and manageable
market.

The new range includes the new OptiPlex 3010, 7010 and 9010 of the new OptiPlex desktops
and 9010 All in One.
CHAPTER 4

SUGGESTIONS
.

If I were the marketing manager of DELL, I would like to adopt following strategies;

1. Dell can open physical shops in India, china, Brazil. Since e marketing in this Place cannot
increase it volume of sales.

2. Dell can introduce high priced product with limited edition which can make dell to get a
competitive gain in prestigious market where apple are present.

3. Nowadays hp introduces a concept of no shipping cost on certain products. Similarly dell can
implement it.

4. Dell can also try to bag many government contracts in which the new comers are bagging it.

5. Dell can concentrate on desktops, printers, projectors, accessories where HP OS going for
product diversification.
6. Dell can look into promotional activities with an innovative approach.

7. The demand for dell is growing .but the supply is somewhat low, thus it can Look into demand
rather than order.

CHAPTER 5

CONCLUSION
This project was an exploratory qualitative study into how MICHAEL s. dell's success made him
one of the wealthiest men in Texas. However, over the years the company has been plagued by
serious problems, including declining sales, misreading the desires of its customers, poor
customer service, suspect product quality and improper accounting.

The findings indicate clear factors that led to the success and downfall graph of the dell's DELL
inc. the key part of the success is that the site offers consumers "choice and control." Buyers can
click through Dell and assemble computer system piece by piece, choosing components like hard
drive size and processor speed based on their budgets and needs. However there were some
missed expectations in 2005, while earnings and sales continued to rise, sales growth slowed
considerably, and the company stock lost 25% of its value that year. By June 2006, the stock was
trading around $25 which was 40% down from July 2005. There was also criticism that Dell
used faulty components for its PCs. A battery recall in August 2006, as a result of a Dell laptop
catching fire caused much negative

attention for the company, although later Sony was found to be responsible for the faulty
batteries.

Further from the study, I was able to conclude the future plans, product life cycle process, market
share, major competitors, etc.

MAJOR ACHIEVEMENTS
- Introduced fastest computer in 1986

-It has lowest price among all other

-Went to SPRING COMDEXs 86

-Expanding his business globally

-Open office in London in June 1987


-Introduced in Li-ON battery in 1993

-AMD mpu firstly used by DELL

-www.dell.com was launched in June 1994

LIMITATIONS

A NUMBER OF CONSTRAINTS ARE:

1. Time constraint the study was conducted through less Websites as, for deep study I needed
more time to submit the project on the due date.

2. Lack of reliable data as the study is from the secondary Data, secondary data can be wrong
and it resisted me from doing the proper study on the topic.

3. Access as the source of my research was only internet, some Sites were paid and required to
pay to gather the information from the website and with a no guarantee to even get the
appropriate data.
BIBLIOGRAPHY
WEBSITES

- http://www.slideshare.net/HMueller11/dell-case-study
- http://www.slideshare.net/Alistercrowe/case-notesdell-strategy
- http://www.scribd.com/doc/55837383/51/Product-life-cycle-of-Dell
-http://topics.nytimes.com/top/reference/timestopics/people/d/michael_s_dell/index.html
- http://www.scribd.com/doc/74270543/PEST-Analysis-of-DELL-Computers
-
http://www.hoovers.com/companyinformation/cs/companyprofile.Dell_Inc.3d10a81e8e6a6d30.h
tml
- http://www.businessweek.com/stories/2003-11-02/what-you-dont-know-about-dell
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res=F00A12FB3D540C708EDDAA0894DE404482&scp=5&sq=alienware&st=cse
http://nl.newsbank.com/nlsearch/we/Archives?
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rect-0=0EA213C608C5F711&p_field_direct-
0=document_id&p_perpage=10&p_sort=YMD_date:D&s_trackval=GooglePM
-http://www.eetindia.co.in/artId=8800474316&fromWhere=/ART_8800474316_1800007_NT_e
19571eb.HTM&catId=1800007&newsType=NT&pageNo=null&encode=e19571eb
- http://tech.fortune.cnn.com/2011/02/10/how-dell-conquered-india/
- http://resultsweb.in/dell-has-future-plans/
- http://content.dell.com/in/en/corp/d/corp-comm/about-dell-india-country
BOOKS

-Strickland, T. (1999). strategic Management, Concepts and Cases. McGraw Hill College
Division: New York.

-CHHABRA T.N (2000), Principles & practices of marketing management, Dhanpat Rai and co.
(p) Ltd, Delhi

-Kotler, Philip (2007), marketing management, pearson education (Singapore) pvt. Ltd

-Rajan, Saxena (2009), marketing management, Tata mcgraw-hill publishing company Ltd

-Kothari, C.R (2006), research methodology, new age international (p) limited publishers

MAGAZINES

-Harvard business review (Sep 2012), Some things about Michael dell, pg 42

-Harvard business review (June 2011), Dells missed expectations, pg 108

-Fortune India (Sep 2011), How dell conquered India, pg 70

-The economist (July 30 Aug 5, 2012), Latest acquisitions by dell, pg 32

-Business India, (Oct 14, 2012), Future plans, dell is seeking to, pg 67

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