A Study ON THE Growth OF DELL PDF

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TERM PAPERon “A STUDY ON THE GROWTH OF DELL”Submitted in partial fulfilment of the requirements for the award of the degree ofBACHELOR OF BUSINESS ADMINISTRATION (BBA)ByNIAZ UL FAYATH NABBA (2020-2023)Under the Guidance ofDR. S SIVAKAMASUNDARIAmity Global Business School Chennai – 600086.CERTIFICATE...

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TERM PAPER on “A STUDY ON THE GROWTH OF DELL”

Submitted in partial fulfilment of the requirements for the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION (BBA)

By

NIAZ UL FAYATH N A31006420036 BBA (2020-2023)

Under the Guidance of

DR. S SIVAKAMASUNDARI Amity Global Business School Chennai – 600086.

Page 1 of 61

CERTIFICATE This is to certify that the Dissertation entitled “A STUDY ON THE GROWTH OF DELL” submitted in partial fulfilment of the requirements by NIAZ UL FAYATH N for the award of the Degree of BACHELOR OF BUSINESS ADMINISTRATION in AMITY GLOBAL BUSINESS SCHOOL, CHENNAI, is a record of original work carried out by him under my guidance and supervision. It is his independent work and has not formed the basis for the award of any Degree/Diploma/Associate ship/Fellowship or any other similar title.

DR. S SIVAKAMASUNDARI (FACULTY GUIDE)

Dr. S. VENGADAMANI Director

Submitted for the Viva Voce examination held on

Page 2 of 61

DECLARATION

I hereby declare that the Dissertation entitled “A STUDY ON THE GROWTH OF DELL” submitted by me in partial fulfilment of the requirements for the award of the Degree of BACHELOR OF BUSINESS ADMINISTRATION in AMITY GLOBAL BUSINESS SCHOOL, CHENNAI, is a record of work done by me under the guidance and supervision of DR. S SIVAKAMASUNDARI, Amity Global Business School, Chennai – 600086, and the dissertation has not previously formed the basis for the award of any Degree/Diploma/Associateship/Fellowship or any other similar title.

Chennai – 600086 Date:

Page 3 of 61

NIAZ UL FAYATH N A31006420036

ACKNOWLEDGEMENT

I express my profound gratitude and

sincere

thanks

to

Director

Dr. S. Vengadamani, of Amity Global Business School, Chennai for providing me the opportunity to undergo Dissertation during the MBA 20172019 period.

My profound thanks Ms. DR. S SIVAKAMASUNDARI (Project Guide), Amity Global Business School, Chennai for guiding me throughout the project. I would also like to thank Prabhu Govindan and Palak Karla (partners at KPSN Consulting LLP) to give me this opportunity and guide me during the period of internship. Last but not the least, my profound thanks to my parents, friends and faculties who gave their guidance and support in a way that helped me in bringing out my project in a presentable manner.

NIAZ UL FAYATH N (AGBS,CHENNAI) BBA 2020-2023 Page 4 of 61

S.No 1 2 3 4

TITLE ABSTRACT INTRODUCTION OBJECTIVE REVIEW OF

PAGE NUMBER 8 8 8 9

5

LITERATURE RESEARCH

10

6

METHODOLOGY MARKETING MIX 10

7

OF DELL SWOT ANALYSIS OF 12

8

DELL MARKETING

15

STRATEGIES

OF

9

DELL PEST ANALYSIS OF 17

10

DELL CUSTOMER

21

ACTIVITY CYCLE ADVANTAGES AND 22 DISADVANTAGES 11

TO

DELL

OF

HAVING MANUFACTURING SITES AND WHERE THEY ARE LOCATED CAN

12

DELL’S 26

MODEL

BE

IMITATED

BY

OTHER

PC

MANUFACTURERS AND MANUFACTURERS IN

OTHER

COUNTRIES ? FACTORS THAT 28 MIGHT 13

DIFFICULT

14

IT FOR

OTHER

PC

COMPANIES

TO

ADOPT Page 5 of 61

MAKE

MODEL FOR REASON

DELL’S WHAT 29 DOES

ABSTRACT

Dell is one of the biggest PC producers of the world. Since 1984, Dell has become extremely quick on account of its exceptional "direct-form to-arrange" deal model. The vital achievement of dell was quick production network, cost effective; offering its support over telephone or over site. Direct deal model and quick production network was the serious and key achievement of Dell Company around then. At the point when any organization lost the hold on their upper hand then different organizations took benefits and some of the time supplant their place from market administration. Likewise in 2006 Dell dealt with issues in the store network as a result of reviewing Sony battery cells in their workstations which delayed down their stockpile. Then again HP exploited and took the market administration from Dell.

INTRODUCTION Dell is an American multinational computer technology company. It develops, sells, repairs and support computers and related products and services. It is owned by a family company of dell technologies. It was founded by Michael Dell in 1984 . It us one of the largest technology corporations in the world ,having more than 165000 people employed in the U.S and around the world. Dell sells PC , Servers ,Data storage , Network switches , Software , Computer peripheral, HDTVs , Cameras , Printers and electronics build by other manufacturers. Dell was listed as number 51 in the Fortune 500 list in 2014, it’s rank is on 34 th currently . It is the world 3rd largest Personal computer vendor by units sale as of January 2021, following Lenovo and HP.inc Dell’s first logo from 1987 to 1989. Dell’s former logo was changed from 1989 to 2010.Dell’s logo changed from 2010 to 2016 before the acquisition of EMC, it was used on some early products of 2018.Dell Headquarters is located in Round Rock, Texas, United States.

OBJECTIVE 

To learn about the growth of Dell



Marketing mix of Dell



To analyze the strategy adopted by Dell

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REVIEW OF LITERATURE

1. According to Mohammed Ali sabuj and sybon Islam, The Build-to-arrange store network the executives (BOSC) system has as of late pulled in the consideration of the two scientists and experts, given its fruitful execution in many organizations including Dell PC, Compaq and BMW. The period is becoming present step by step and the variety sought after of men is changing in unanimous agreement.

2. According to Priya Datta and jagdish chander view, The protected and feasible administration of biomedical waste (BMW) Laptop Briefcase 15.6 Inch Business Office Bag Laptop Bag-care exercises. Powerful BMW the executives (BMWM) Super-Heat Resistant Rubber Conveyor Belt for Cement and Foundry. This article audits the new 2016 BMWM rules, down to earth issues for its successful execution, the significant downside of ordinary procedures, and the most recent eco-accommodating techniques for BMW removal.

3. According to Edward Hess view, During the 1990s, with more inescapable utilization of the Internet, deals through Dell Computer Corporation's online business expanded, and it turned into a prevailing business sector pioneer. By 2010, Dell Computer Corporation had changed its name to Dell Inc.(Dell). Dell utilized 96,000 individuals worldwide and was positioned 38th on the Fortune 500 rundown. However, in the mid year of 2010, Dell was confronted with diminishing piece of the pie, heap client grievances, merchant inconveniences, and a rankling SEC protest.

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4. According to Kusumaputri view, For this situation, we will talk about the Dell gadgets organization which has an extraordinary technique in possessed SCM by utilizing web innovation to work on the SCM plan that is done. This methodology isn't just reasonable for organizations and clients yet in addition assists organizations with diminishing the bullwhip impact that can happen in the SCM interaction. With the web, Dell can play out the underlying interaction of entering client demands until the merchandise show up at the client in a quicker time and less expense with less danger.

RESEARCH METHODOLOGY



This report has been made from both Primary and Secondary data



Primary data is collected from the consumers with the help of questionnaire



Secondary data was collected from article, journals and blogs online



I collected secondary data from 80 people for my Questionnaire

MARKETING MIX OF DELL Marketing mix of Dell analyses the 4Ps (Product, Price, Place, Promotion) 1. PRODUCT Dell is known for its Constant innovation and Providing quality products to its customers. The dell XPS 13 has won many awards at CES 2017. The product portfolio in the marketing mix of Dell includes consumer products and business products it’s provides laptops and 2 in 1s, desktop and all-in-one , gaming series , XPS series monitors and electronic accessories. For buisness it developed Vostro series laptops for small business use , latitude series that provide scalable and durable design . Its XPS and Alienware series price is premium and targets potential customers who look for premium quality and high end hardware configuration. Dell created an online remote troubleshooting tool named dell connect which allows the technician to access the user’s computer and solves the system problems. As sales is the major concern for customers the dell connect helped the company by attracting potential customers. Page 8 of 61

It has different products based on different market segments 

OptiPlex (office desktop computer systems)



Dimension (home desktop computer systems)



Vostro (office/small business desktop and notebook systems)



N Series (desktop and notebook computers shipped with Linux or FreeDOS installed)



Latitude (business-focused notebooks)



Precision

(workstation

systems

and

high-performance “Mobile Workstation”

notebooks),[169] 

PowerEdge (business servers)



PowerVault (direct-attach and network-attached storage)



Force10 (network switches)



PowerConnect (network switches)



Dell Compellent (storage area networks)



EqualLogic (enterprise class iSCSI SANs)



Dell EMR (electronic medical records) Dell’s Home Office/Consumer class emphasizes value, performance, and expandability. These brands include:



Inspiron (budget desktop and notebook computers)



XPS (high-end desktop and notebook computers)



G Series (high/medium-performance gaming laptops)



Alienware (high-performance gaming systems)



Venue (Tablets Android / Windows)



Dell’s Peripherals class includes USB keydrives, LCD televisions, and printers; Dell monitors includes LCD TVs, plasma TVs and projectors for HDTV and monitors. Dell UltraSharp is further a high-end brand of monitors.

Discontinued products and brands include Axim , Dimension , Dell digital jukebox , Dell power app and Dell optiplex

2. PRICE In Notebook category , dell has reduced the price of insipiron series laptops followed by Page 9 of 61

XPS series which is priced premium and Alienware series are high prices laptops in the notebook product portfolio. The pricing strategy of Dell has different sets of prices based in consumer segment. The pricing also varies based on hardware chosen and the operating system version selected. The feature of customization has helped dell to increase its market share as users prefer to configure their laptops as per their requirements. Dell has allowed their customers to customize their laptop hardware configuration which was differentiated

from its

competitors. It provided offers and extended warranties on their products for the customers. 3. PLACE Dell products are sold through its website , E-commerce websites such as amazon , flipkart , snap deal and also in retail stores. In dell the place also covers the shop and stores. There are various showrooms , dealers , distributors outlets across the world. In 1990’s , Dell sold it’s products online in United States in websites such as Sam’s club store , Costco and best buy. Dell opened kiosk locations in USA that allowed customers to feel the product before purchasing later it was shut-down to sell through retail outlets . It signed an agreement in 2008 with Officeworks that displayed inspiron desktops 4. PROMOTION Dell utilizes various promotional techniques to reach out to its potential customers. The promotional strategy of the dell focuses 360° branding through Tv , print media , online Ads extra . It distributes brochure to public through newspapers, e.g. Star In-Tech in Malaysia is one of the most liked issue of IT consumers and tech enthusiasts. Its product awareness was created as it reached mass public in a effective way. Other than festive discounts, it also gives regular offers to the customer base and carries out online promotions through contests. It also sends newsletters to Dell users which provides latest information of its products, innovation that increases customers interest. It also offers bonus products and waiving off shipping charges for certain products. Dell used the slogan “Yours is here” that indicates customers can customize their products. Dell also hosted conferences such as Dell World that featured new technology and services of Dell. Page 10 of 61

SWOT ANALYSIS OF DELL

1. STRENGTH Dell has a good reputation for quality goods of the company. It’s brand is worth 7.5 Billion. Dell allows its customers to customize their laptops , Actually this services where not available in any other major computer companies , but added enormous value to customers and provide a competitive

advantage for dell. Dell has participated in many green

initiatives and has received many awards for being an environmentally friendly business. This is an advantage when working with public and government agencies. Dell is spending a lot of money to acquire new ventures and successful mergers and acquisitions, bringing patents, assets, new capabilities and skills into the business. Rather than selling its products through big box retail stores, dell markets directly to the customers and businesses. It is one of the biggest and most recognized pc and laptop manufacturer in the world . First Pc maker to offer next day onsite services for the Products.Dell has low running costs compared to sales as it leaves out the retailer and supplies directly to the customer. Dell’s direct model approach helps the organization to provide direct customer partnership such as corporate and institutional customers .Dell is not a manufacturer; the manufacturers produce parts, and Dell uses fairly inexpensive labor to assemble the computers. Then the finished goods are dropped in by courier with the customer. Dell holds absolute supply chain order. Dell switches inventory over every six days on average, keeping the inventory costs low.

By increasingly applying the efficiencies of the Internet to its entire sector, Dell is strengthening and expanding the fundamental competitive advantages of the direct model.

2. Weakness Page 11 of 61

The large stream of dell’s revenue comes from sales of computer, especially laptops which is a commoditized product. Computer hardware goods are marketed with low profit margin . Dell customer service calls were declined as they are located overseas, dell has spent a lot of money in fixing this but has not recovered it’s former customer service image . Dell spends a very little amount of money on its R&D than its other competitors. It has missed the opportunity to crete a market for manufacturing phones and tablets and learning new capabilities and skills. Due to low R&D spending, dell has not acquired a strong patent portfolio and now it is facing difficulties to compete in the smartphone and tablet market. Selling products online save smoney and allows product customization, but gives the product less visibility . The customer finds it difficult to trust the goods until they receive them in their hands . A wide range of goods and parts from different manufacturers from various countries. Dell lacked strong partnership with dealers and distributors. It has no proprietary equipments for manufacturing . Dell ‘s focus on institutional corporate and government customers somehow affected his ability to form relationships with educational institutions. Customers cannot purchase dell products simply as other Products since each product is custom-built to their needs and it takes many days to complete.

3. Opportunities

Dell provides various services and enterprise solutions which are currently dell’s most profitable business . Dell’s business must focus on growing those divisions as they promise better opportunities

For growth and higher margins for profit . When dell wants to develops it requires patents and innovative innovations in emerging technology. Dell has not properly setup its R&D facilities to discover new technologies and patents so acquiring other companies is the only to get patents and new technologies. The fastest growing market for laptops, Pc , tablets and other electronic devices are the emerging economies. Dell has a good market presence but it’s company experiences is decreasing the market shares so the company should strengthen its position. Over the next few years tablet markets is gonna rise in double digits Page 12 of 61

so the company has a great opportunity to introduce new tablet products and benefit from the growth of the market. The internet also offers Dell greater opportunities, as all they have to do now is visit Dell ‘s website to place their order or get information, Because Dell has no retail outlets, online sales will definitely make up for her absence. Also, shopping online is more convenient for customers than actually driving and buying at a physical store.

4. Threats Demand for smartphones and tablets are growing. Customers prefers tablets and smartphones over notebooks with a lower price and greatly improved capabilities

Dell’s key income comes from selling hardware goods, which will raise costs in the future due to increasing prices of raw materials.

Computer industry growth is slowing down , and the markets will Become exhausted in the near future. This will be difficult for dell to survive in such a market . The company is facing heavy competition in all segments of its market .It competes with Acer, Apple, HP , IBM, Lenovo, and Toshiba, in terms of price, quality, brand, technology, reputation, distribution, and product selection.

The possibility of being outmoded in a computer company is a pulsating fact.The difference in price between the brands is getting smaller. Direct model by dell will attract customers as it saves cost It could challenge dell’s price conscious rising consumer bade because many companies can sell computers at least price. Price variation will not be a problem for customers, instead of waiting for dell’s personalized computers , they could prefer other brands. The computer industry’s growth rate is declining. Today, Dell holds the largest market share. When demand slows down, the process will make competition hard. To continue Page 13 of 61

holding a significant market share, Dell has to work twice hard to differentiate itself from its replacements.

MARKETING STRATEGIES OF DELL

1. Segmentation, targeting, positioning. Dell segments its offering supported psychographics and demographic factors. It targets tech people , professionals and executives. It makes customer engagement channel strong so as to square before ot...