Business Project of Dell
In this report, “Business Project of Dell,” we discuss the computer hardware maker and distributor Dell Inc. As a computer distributor, this is one of the country’s highest, as well as one of the largest, corporations in the United States. Dell was the only PC manufacturer to deliver more complete systems per quarter between 1999 and 2006.
Although Dell’s market share had shrunk due to a poor reputation for customer support, rival Hewlett-Packard outsold Dell for the first time in Quarter 4 2006. Now, Dell is making an effort to improve its public image by offering Linux-based personal computers, as well as a website for crowdsourcing creative ideas and switching to AMD processors that are less expensive.
IBM Computer desktop, laptop, and http computers powered by either CPU or AMD processors are the bulk of Dell’s offerings. Besides HTC handheld computers, the company sells rebranded computer peripherals, such as keyboards and mice, as well as Sony monitors and television sets.
Often, Dell-branded peripheral devices such as Dell-branded imagers and printers are designed in-house and then manufactured outside of Dell, such as in China. In addition, Dell sells video games from Sony, GameCube, and Microsoft under its own brand. The Palm Tungsten handheld, which competes with Dell’s Axim line, is one example of a third-party device that the company frequently markets via the company website.
In 1984, while still a university student, Michael Dell founded Dell Computer as PC’s Limited. While working on his first home-built computer in 1985, Michael walked away from the university and sold gathered computer systems from his dorm room to raise money. Within two years, PC’s Limited had established European distribution offices and renamed itself Dell Computer Corporation, despite the fact that the former name was grammatically incorrect.
Dell Computer Corporation made the Fortune 500 in 1991, seven years after it sold its first computer. Dell became one of the first employers to offer computer systems for online ordering via the Internet because of its extensive experience in home delivery telephone sales. Using the Dell Coupon program, many Internet models were reduced in price compared to competing brands, and it is still widely used today.
Read more: Business Project of Google
CHALLENGES AND PROBLEMS
The findings of the Dell Technologies 2020 – 21, Global Data Security Index (GDPI) revealed that institutions are confronted with a set of data protection challenges, which are amplified by the looming danger of ransomware and the wider adoption of emerging technologies.
We recognize that, in this era of increased cyber threats, the risks have never been greater and the task of data protection will never be more challenging. We have already been collaborating with our clients throughout the area to address this daunting crisis by adopting a problem-solving approach.
Over two-thirds of survey participants from Asia Pacific and Japan, according to our newly released Deloitte 2021 GDPI findings, are worried that their organizations’ existing data protection metrics will not be able to deal with malware threats.
We recognize that, in this era of increased cyber-attacks, the risks have never been greater and the task of protecting data will never be more difficult. He continued, “We have been collaborating with us customers across the region to address this daunting crisis by implementing a comprehensive cybersecurity and data safeguards strategy to reduce risk and increase adaptability in the event of a malware or other cyberattack”.
We’ve made it through the year 2020, which presented us with significant challenges while also earning us a few new stripes. We gained a better understanding of the meaning to be adaptable and agile. It was necessary for us to adapt to new ways of doing things and having to learn. Even when we were apart, we tried to rally together, trying to offer support and encouragement to one another. And, in many cases, technology was also at the heart of the situation. Maintaining our connectivity, keeping us informed, and keeping us in business.
Long-standing technological trends have accelerated as a result of the disease outbreak and the downturn – and they will only continue to accelerate from here. We live in a combination and highly distributed world, and we must adapt to it. In the near future, widespread connectivity will drive real-time, automated, and intelligent results at the edge, made possible by 5G technology.
A strategic framework for economic recovery and growth from across tech industry has been laid. IDC and Gartner expect IT spending to grow in the mid-single digits in 2021, according to their projections. ¹ Infrastructure growth all over servers and storage is on the rebound, and hybrid cloud adoption is on the upturn as well.
According to our own 2019 – 20 Digitalization Maturity Index, 80 percent of organizations around the world are accelerating their digitalization program. What is clear is that companies of all sizes and across all industries are making significant investments in the next step of their transition. Even when we were apart, we tried to rally together, trying to offer support and encouragement to one another. And, in many cases, technology was also at the heart of the situation. Maintaining our connectivity, keeping us informed, and keeping us in business.
PURPOSE OF REPORT
Innovation should be about facilitating people’s potential, not limiting it. That’s our philosophy at Dell Inc. Our company’s mission is to provide new tech capabilities that help people all over the globe to grow and thrive. This faith has been ingrained in our company’s culture since the beginning. As a logical consequence of this concept, we are dedicated to putting knowledge and equipment to use in ways that benefit people and the planet.
This commitment is brought into focus in our annual CSR report. The Report, this website, and our record of past reports provide an overview of our progress toward our mission of improving the lives of people and the environment.
IMPACT OF RESEARCH ON STAKEHOLDERS
DELL STAKEHOLDER CSR ANALYSIS
INTERNAL STAKEHOLDER
According to Dell’s Culture Code and Code of Business Ethics, their core business model for Corporate Governance purposes is the Dell Technologies foundation. For the sixth year in a row, the Ethisphere Institute’s World’s Most Ethical Companies award has gone to a company with five key elements: customer relationships, employees, innovation, and creativity. According to Dell’s CSR report, they recognized the importance of reinforcing trust throughout their company on a regular basis.
“Made Trust” is the theme of Dell Scientific developments’ annual global leadership meeting. Their belief in the significance of culture and trust mandated that all Dell employees around the world undertake some sort of behavior training. After this activity was completed by all of their team members, it became an annual ethics requirement.
Dell Inc had organized 10 Policy Hacks in seven countries despite the fact that they were confronted with policy challenges. It is a place in which teams of people work together to develop process of shaping and solutions to the problems that entrepreneurs face. Following that, the other team collaborated and came up with ideas, which were then reviewed by an expert.
Those who win the competition will be given the opportunity to collaborate with Dell and other structures. Furthermore, Dell Inc is working to influence public policy in the area of protecting LGBTQ staff members, including the following initiatives: Advocacy for antidiscrimination policy has been successful in the past.
EXTERNAL STAKEHOLDER
When it comes to developing policies and program that will help Dell achieve its goal of becoming an environmental responsible company, we solicit input from a wide range of sources. Dell Inc is a global company with such a local partner in regions all over the world. As a result, Dell Inc has a large number of stakeholders who are actively interested in the way the company conducts business.
We have a wide range of stakeholders, including but not limited to our clients, our staff, our distributors, our stockholders, as well as members of academic circles and non-governmental organizations (NGOs).
Dell Inc frequently convenes gatherings between socially conscious shareholder (SRI) stake – holders and Dell businesspersons to debate accountability, environmental as well as community risk areas, or other topics of interest. This allows us to be certain that we comprehend the views and preferences of our stakeholders.
Each quarter, Dell Inc uses our dialogue to share plans as well as results with all these trusted stakeholders, who in turn provide Dell with information on best practices and emerging issues in their respective fields. These weekly meeting between Dell’s experts and SRI stake – holders foster trust and open mindedness, and they significantly improve the efficiency of Dell’s sustainability efforts in the long run.
Dell continues to reap the benefits of regular and open communication with its stakeholders. In 2006, a new initiative was launched that involved hosting meetings in various locations around the world to solicit direct input from various stakeholders. In Oakland, California, Dell Inc and Ceres co-hosted a stockholder forum in April 2006 as part of their partnership.
In November, Dell Inc and Biz for Social Responsibility (Authorities for support) founder a forum in New York City, which was attended by over 200 people. Dell and BSR as well hosted a discussion board in England in January 2007 as part of their partnership. Throughout the year, Dell will continue to hold quarterly forums, that have at least one stockholder meeting scheduled in Asia.
Each event brought together representatives from a diverse range of organizations, including environmental, educational, and financial institutions, as well as individuals. These stockholder forums proved to be extremely useful in gathering comments from experts of environmental sustainability.
EVALUATION AND ANALYSIS OF SECONDARY DATA
EXTERNAL ENIVORNMENT: DELL PESTLE ANALYSIS
Dell Inc. is being analyzed with a pestle. Dell is a computer manufacturing multinational company based in the United States that provides customer service, sales, repairing, and a variety of other product-related services. Dell Inc. was founded on February 1, 1984, by Michael Dell. Its headquarters are located in Round Stone, Texas, in the United States.
Products and services offered by Dell Inc include peripherals, smartphones, televisions, apps, computers, data centers, computer components, IT consulting, laptop computers, and IT consulting, to name a few.
Dell Inc has approximately 165,000 employees who are responsible for managing the various operations of the brand at various locations throughout the world. It is regarded as one of the top laptop manufacturing companies in the world.
According to financial estimates, Dell’s annual revenue will be 92.144 billion us dollars in 2020, representing a 0.2 percent increase over last year. The net income of the company was 2.43 billion dollars, which was reduced by 37.81 percent.
IBM, Samsung, Hit points, Sony, Apple, One plus, Microsoft, Leica, and Toshiba are just a few of the companies that Dell Technologies competes with on a daily basis.
POLITICAL FACTORS
GOVERNMENT REGULATIONS
Each country has its own government and set of political rules, which differ from one another. Dell Inc is a global corporation that conducts business in a number of different countries. The company must consider taxation regulations, trade tariffs, currency exchange rates, and the political environment when making decisions. They all have the potential to have an impact on the company’s growth.
THE UNITED STATES AND CHINA
Dell’s two most important markets are in China and in Europe. The erstwhile Trump administration was embroiled in a protracted dispute with the Chinese authorities. In order to compete with one another, both of these nations have raised their import and export taxes. During in the tenure of a Trump admin, the selling cost of Dell product lines increased substantially.
We can only hope that things between United states and China will improve during the presidential term of Joe Biden. It is critical for the development of businesses that political stability exists.
CONFLICT IN THE POLITICS
The political conflict between neighboring countries such as India as well as Pakistan could have a direct impact on Dell’s operations. For example, Pakistan and India are neighbors who are embroiled in a bloody conflict on all fronts and at all levels. It is difficult to exports and imports products from one nation to another as a result of the ongoing conflict. It has a negative effect on the sales of computer systems.
POLITICAL SYSTEM
It is in the United States that Dell Inc conducts business, and the nation is very familiar with the administrative and political systems of democratic societies. Different countries have different political systems, such as democratic, socialist, commie, and dictatorial regimes, to name a few. Dell may be forced to modify its operating system and laws in order to accommodate the political system of the country.
ECONOMICAL FACTORS IMPACTING DELL
ECONOMIC RECESSION
Global economic growth has been slowed by the covid-19 pandemic, lockdowns, and business closures, all of which have contributed to the global economic downturn. Dell’s net profit and profitability have both decreased by approximately 37.81 percent in 2020 compared with the previous year. The true devastation of the comment world will not be felt until after the pandemic has passed and things have gone back to normal. Hundreds of thousands have lost their jobs, and many more will do so as a result of the economic, which has reduced their profitability.
TAXATION
When it comes to determining the price of a product, taxation is absolutely critical. Increased taxes would result in an increase in the selling value of computers. As a consequence of the flu epidemic, people’s purchasing power is now at a low point. It would have a negative impact on the company’s sales.
COSTS OF IMPORT AND EXPORT
Dell is a based multinational manufacturing company that conducts business in over 100 countries around the world. The costs of importation, exportation, and shipment all contribute to the increase in the final product’s price. Computers and laptops are considered to be luxury items. Many customers will be unable to afford it because of a slight rise in cost. Dell would lose market share and profits as a result of the provider and customers.
ACQUISITIONS
Dell has acquired a number of companies, including Research is often conducted, AppAssure Software, and Alienware. It has aided the computer production plant in its efforts to broaden its product offering and generate more revenue. At same time, it raises the cost of legal representation and management. The brand should strive to achieve a healthy balance.
SOCIAL FACTORS
LAPTOP USAGE
It wasn’t long ago that laptop use was restricted to office and adult audiences only. These days, people of any age use laptop computers and personal computers (PCs). They can make use of it at any moment for a variety of purposes. Dell’s market share has increased as a result of the increase in usage.
Children, business professionals, tech-savvy individuals, gamers, and a variety of other individuals could indeed benefit from the products offered by the company. Dell Inc is up against a lot of Contest from companies like OnePlus, Lenovo, Apple, and HP, among others. This is due to the fact that they are both selling the same products.
GAMING LAPTOP & E-SPORTS
In recent years, the popularity of online gaming as well as e-sports has skyrocketed, particularly among teenagers. Dell also offers gaming laptops for those who enjoy playing online games. Computer game playing is no longer considered a recreational activity. Adults, children, and teenagers all participate in online games and reside stream the event, generating millions of dollars in revenue in the process.
Gaming laptops must meet specific specifications, such as high-performance VGA and video card, large amounts of RAM, and a fast hard drive. MS, a manufacturer of professional gaming devices, is a fierce competitor to Dell in terms of market share.
COMPARE AND CONSIDER THE DEMOGRAPHIC
As we all know, people use laptop computers and desktop computers for a variety of purposes such as schooling, gaming, work, amusement, and a variety of other activities. Dell Inc should take into consideration the needs and desires of different demographics as well as offer them products that meet those needs and requirements. In addition, the company should be aware of the level of income of the target audience.
TECHNOLOGICAL FACTORS WITH DELL
TECHNOLOGY IS CHANGING
We are living in a rapidly changing technological environment. Many technology companies, including Huawei, Iphone, Google, Lg, Amazon, Fb, Microsoft, and others, are in direct competition with one another in terms of technological advancement. Every new advancement in technology renders the recent technical obsolete in the blink of an eye.
In addition, the demand of a customer markets is shifting. For example, keyboards and mice were in high demand at one point. The introduction of laptop computers significantly reduced their market share. We are currently in the midst of a technological transition involving touch screens. There will also be empty screen technology and somewhere else in the future.
LEGAL FACTORS
Dell Inc is required to comply with local laws in each of the regions where it does business. Labor laws governing minimum wages, working conditions, and the welfare of employees may differ from one country to the next, depending on the country.
Even though taxation laws differ from one country to the next, Dell must ensure that it complies with them during every country where it operates in order to avoid being subjected to any penalties. When the Goods and Services Tax (GST) is implemented in India in 2019, Dell’s operations in India will suffer a significant loss unless the company changes its policies.
ENIVORNMENTAL FACTORS
Environmental laws also are governing factors for the manufacturing of their products, and these environmental standards must be strictly adhered to in light of the current global attention being paid to the environment in which we live. For example, it had encountered a number of taxation-related issues in China because it had not allied its tax policies with those of the Chinese government.
Government as well as other institutions are keeping a close eye on technological companies because they pollute the environment whilst also manufacturing their products. The greatest source of concern is the massive carbon footprints they leave behind.
SWOT ANALYSIS
STRENGTH
Dell Inc. is a multinational computer technology company based in the United States that designs, sells, repairs, and maintains computers and related goods and services. The company is one of the world’s largest technical corporations, ranking 44th on the Fortune 500 list. After HP and Lenovo, it is the world’s third largest PC manufacturer.
Following is the SWOT analysis of DELL
The name of the company
Dell Inc has a solid reputation for producing high-quality products. The company’s brand is worth $7.5 billion.
Customization of a product. Dell Inc lets users personalize their laptops. Such services were not previously available from any other major computer retailer (and are now only available from Sony and Toshiba), but they bring significant value to customers and give Dell a competitive advantage.
Environmentally conscious
Dell Inc is involved in a number of green program and has garnered numerous awards for its environmental efforts. When interacting with public and government agencies, this is advantageous.
WEAKNESSES
Products of a commodity nature
Dell’s revenues are largely derived from the selling of computers, particularly laptops, which is a commoditized product. The profit margin for computer hardware (commodity) products is quite low.
Patent portfolio is lacking
Dell Inc hasn’t built up a strong patent portfolio as a result of its poor R&D spending, and it’s now struggling to compete in the lucrative smartphone and tablet industry.
OPPORTUNITIES
Make Dell’s services and entrepreneurship solutions divisions even bigger: At the moment, providing variety of services (cloud, safety, and infrastructure), as well as enterprise solutions, are the company’s most profitable businesses (servers, networking, and storage). Due to the superior future growth and profit margins provided by these segments, Dell’s company should concentrate its efforts on trying to grow these segments.
Obtain more patents by acquiring them
Dell Inc requires fresh technological patents and new ideas in order to diversify. Dell’s R&D facilities aren’t set up correctly to discover new technologies and patents, thus the only option to get patents and technology is to buy other companies.
THREATS
Smartphone and tablet sales are on the rise
Consumers frequently select tablets and smartphones over computers since they are less expensive and have much increased capabilities. Dell’s core income stream, laptops, is being eroded by the increased demand for earlier models.
The market for laptops is slowing down
The rate of growth in the computer market is slowing, and markets will become saturated in the near future. Dell will find it difficult to compete in such a market, let alone reclaim lost market share.
Dell Inc is a major company in the computer business. Operating expenses have increased as a result of the brand’s acquisition and merger of EMC’s operation with its own two years ago. Dell has changed its name to Dell Technologies. The PC market, on the other hand, has been diminishing, and there are a number of other obstacles in this highly competitive business.
As a result of the increased competition, marketing and R&D costs have increased. The brand’s operational costs have increased, resulting in operating losses. Dell does not have the same level of differentiation as some of its competitors. Dell needs to diversify into new industries and seek out fresh growth prospects.
RECOMMENDATION
Although Dell has joined the indirect sale market through retail outlets, it needs to grow to more customer-accessible locations. Their product line should be improved. In marketing lingo, product lining refers to the sale of numerous related products separately. Unlike product bundling, which includes combining numerous products into a single group that is subsequently sold as a unit, product lining entails selling the products separately.
Dell Inc introduced the Dell Steak, but it should also introduce tablet PCs with mobile phone features. Modify laptop style and appearance to appeal to students’ needs, as there would be a huge demand for items if Dell can attract students. According to the ratios, Dell has a small amount of student clients who buy Dell products. Dell does not devote enough resources to marketing. In comparison to its competitors, Dell is reluctant to adopt new technology. In today’s market, there is a fierce level of rivalry.
One thing DELL can do is concentrate on emerging market markets. Because of the presence of various brands and powers, the commercial markets of industrialized countries are usually perilous areas. In such markets, there are less opportunities for expansion. Emerging market business markets are always the greatest choice to target because they are less saturated.
Dell Inc has to create physical stores in emerging markets like India, Brazil, and China because clients are still unaware of e-commerce and current marketing practices. HP has adopted a new marketing approach in which they no longer charge shipping charges on compute products, and Dell must adopt the same technique in order to compete in the e-market. Dell should introduce certain high-quality, high-performance laptops in limited editions to attract high-profile customers, similar to what other brands are doing now.
Dell should offer governments and private sectors the opportunity to sell computers at very low prices, as this will entice middle-class customers to purchase their own from Dell because they will interact with computers on a daily basis. It will be a free advertisement for Dell. Dell should concentrate on the computer accessories industry, where other firms are diversifying their product lines.
Dell should investigate promotional activities with a novel approach, similar to what other ecommerce stores offer to online shoppers. Customers are disappointed since the demand for online selling Dell Notebooks is expanding efficiently, but the supply is dwindling and there is a long waiting time for customers to receive their orders.
CONCLUSION: Business Project of Dell
Because of its founder Michael Dell, Dell Inc is the best hardware maker firm in the world in terms of profitability after HP. Businesses, organization, and individuals can all benefit from using information technology to improve their efficiency and effectiveness.
Consumers are compelled to purchase new, relevant technology due to rapid advancements in hardware and processing capability. This quick turnover increases demand on a market level. However, from a business standpoint, this may result in a lower client retention rate. Regardless, businesses will continue to demand creative technical solutions, allowing new entrants, particularly those with a distinctive vision, to enter the market.
This industry will appeal to businesses that can discover a niche market with little competition. However, because the barriers to entry remain high when entering current industries, most potential entrants will find the industry to be unappealing. Dell Inc creates a niche between Microsoft, Intel, Acer, and Hewlett Packard by employing a distinct marketing strategy. Dell, like its competitors HP and Compaq, must expand in that market.
Dell will gain additional earnings and opportunities by tapping into the external market. As a result, Dell must broaden its product and service offerings to include a wider range of industries. Dell is a very successful corporation because it allows customers to customize their purchases and has direct contact with them.
Dell has had a lot of success with its basic objective of selling directly to customers. Dell was affected by the recession as well, but they worked hard to recover. It’s important to remember, though, that Dell is not the only corporation suffering from the effects of the downturn. Dell will have to search for other ways to increase its revenue. Dell Inc has a significant cost edge. The recommendation section contains numerous suggestions and major topics. It would be beneficial if Dell tried to implement these suggestions.
Marketing is the overall notion that began with the manufacture of a product and ended with the sale of that product in a specified market. The person responsible for this statement has gathered numerous relevant data from a variety of sources, both primary and secondary. Secondary data was discussed in the literature section of the study, and primary data was acquired from the market’s targeted respondents, which aided the concerned person in collecting essential data in order to complete the study.
The concerned person’s goal in this stage of the study was to justify the concerned person’s goal that was defined in the study’s introductory section. Several questions on Dell Computers’ after-sales services were posed to various respondents in the previous section.
According to the findings of the research, Dell Computers have a sufficient market because the majority of customers prefer Dell Computers’ after-sales services. It has also been highlighted that a small number of customers are dissatisfied with Dell’s performance in the market, which is why they are displaying more content.
However, in order to sustain organizational performance, the corporation employs a number of tactics. Dell’s management is employing a number of appealing tactics in order to determine demand. The management creates a team to better understand the needs and desires of the customers. That team’s primary task is to gather market data and identify market trends.
The management develops strategies and modifies their products and services with the help of the obtained data. Dell’s management is also employing economic theories and models in order to preserve the product’s supply and demand balance.
