Dell Swot - SWOT Analysis Strengths Dell Strong brand...

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SWOT Analysis: Strengths: Dell  Strong brand name (very well known around the world) Strong market positions in many regions (32.1% US PC market share in Q3 2006  Market leader in Chinese server market with 22.2% in Q3 2006)   Growing presence in India and China Wide product portfolio (PC’s, servers, networking, projectors, TV’s etc)   Strong e-commerce capabilities – web site, etc  Business Model  JIT (Just in Time) production methods enables decreasing costs o Use a software analyser to forecast future demand for components. Delivered  within 2 hours when ordered Has highly efficient manufacturing and supply chain  Customer specification, Dell builds to personal needs  Their indirect business channel avoids 30 to 45 days stock on the shelves Removes layer of bureaucracy  No stock policy allows them to bring out new products quickly No stock policy also allows them to react quickly to changes in the market and to  technological advances No wholesale and retail policy eliminates time wasting  No wholesale and retail policy also decreases costs as products do not stay on shelves  (note that the products in their market depreciate very quickly) Low Cost structure to allow competitive pricing passed along as savings to customers Dell still holds significant built in cost advantage over rivals  Total Quality Management  IQM makes it easy to track and trace products through supply chain o Tracking and Trace ability  process – “serialisation”  Very good inventory management (from 7 days in 2001 to 5 days in 2006)
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