Dell Prstn

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Introduction: Dell Inc.

Marketing Management Bishnu Neupane 2

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History 1983: Michael Dell dropped out of school in order to focus full-time on

his fledgling (inexperienced) business.

Dell was founded in 1984 by Michael Dell at age 18

Started with the idea to sell directly to consumers.

1985: Released the Turbo, Dells first computer.

1988 :The company changed its name to "Dell Computer

Corporation" and began expanding globallyfirst in Ireland.

1993

Dell shifts busies over seas to try to gain market share.

Ireland-Europe, Middle-East, African markets

Australia

Japan

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History 1994: Launches Latitude Notebook Setting new records on

battery life.

1996 : Started selling products on its website.

1997: Recorded 1 million in sales generated from the internet.

2000: Dell was ranked no.1 world wide in shipment of

Workstations

2003: Dell is made the official name of the company

Continually expanding overseas.

2005 : Dell records one of its poorest years in company history.

2006: Dell acquires AlienWare

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History

From 2004 to 2007, Michael Dell stepped aside

as CEO, while long-time Dell employee Kevin

Rollins took the helm.


During that time, Dell acquired Alienware,

which introduced several new items to Dell

products, including AMD microprocessors.

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History

On September 2, 2010 Hewlett-Packard

offered $33 a share, which Dell declinedto match.


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Marketing Management Bishnu Neupane

Dell Computer

Goal: Build a BetterComputerthan IBM

Driving Passion: How canwe make the process

ofbuyinga computerbetter? Sell Direct

Eliminate ResellerMarkup

PassSavingstothe Customer

For Dell, the timing was right: the beginning of a new

consumer industry: Continued high growth and limited supply

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DellsEntrepreneurial Spirit

DellsStamps: Eliminate the Middleman

Lookfora Commercial Opportunity

The powerofcatalogadvertising

NewspaperSubscriptions

IdentifySegmentsofHigh Demand and

High Revenue:

People who justmoved orjustmarriedGenerate the Listsand Targetthem

Turn FascinationtoHobbyand to Business

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Strategic Questions

Where are we today?

What dowe thinkitwill become?

Where dowe wantittogo? Whatopportunities cantake usthere?

How canwe take advantage ofthem?

Thenmake awish list...

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CustomerLessonsLearned Forma directmodel thatspecializesonmarket

segmentsorcustomertypes.

KnowEXACTLYwhatthe customerwantsandthenprovide it.

Price isnotasustainable competitive advantage.

Sustain loyaltythrough customersand employeesResponse Time

Quality Products

Valuable Features

Make the ExperiencingofProductsEASY10

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Key

Actions

30 DayGuarantee (Industrys First)

Performance Leader (Competitive Reviews)

Award WinnerforQuality,Support,Service

BestValue Awards, Highest Performance Awards

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MarketLessonsLearned Youmusttarget large

companiestogrow

Provide the BestSupport

Engage inGlobal Expansion

Featuresmust compel the

customerto buy

Inventoryflowspeed isthe key

tosurvival Identifyproblems earlyand

thenfixthem

Involve yourcustomers earlyin

development

Gradual improvements

reduce riskand allowyouto

take advantage oftechnology

Itishard tonotice howfastorslowyouare growing

Read the marketand thentry

tounderstandwhatitmeans

Understand the economiesof

eachsegment: Product,Use,

Geography, Customer, etc.

Measure everythingto build

improvement. Factsare your

friend. 12

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Dell MarketStructure

Changes OverTime

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Enterthe

Web

IncreasesSpeed toMarket

Speeds Information Flow

EnablesSuperiorCustomerService.

ProvidesaHigh Quality Product

Gives CustomersDirectAccessto CustomMade

SystemsforHigh Performance Providesthe LatestTechnologyrelevanttothat

customer.

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Managerial LessonsLearned Hire people forpotential togrowand develop: Self

Reliant, Results Oriented, DriventoLead.

Recruitforsuccession (Trainthemtoreplace you) StressAchievingGoals.

AccountabilityforResults360 degree reviews.

Responsibilitytoone another

DoNotHoard Power Implementthrough Dual Reporting:

By Function,Market, Product

Make successesawinforthe entire companythrough

communications 15

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TalkingtoEmployees

Whatare customerstellingyou?

How doyouthinkthe companysproductsare

doing?

Whatare ourbiggest challenges?

Whatare the biggestthreatstooursuccess?

How canthe companysupportyou better?

Keys:Mobilizepeople around a commongoal,hire

ahead ofthe game, cultivate a commitmentto

personal growth,gettheminvolved.

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TrainEmployeesto be Owners

Lookatgoals,make them clearto everyone.

Studythe obviousfornon-obvioussolutions

Askcustomershowtheywould have itsolved.

Make failureswith learningacceptable

Constantly question evengood stuff.No coverup.

Treat employeesasowners.

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MarketStrategy Itis betterto be firstatthe riskofbeingwrongthanitisto

be 100%perfecttwoyearstoo late.

Ifcustomerdemand changes,askWHY? Challenge

themtounderstand why?

(understand the underlying economicsfromthe standpointofcapital,supply chain,technology,markettrends).

Dontperfume the pig: Dontmake somethingappear

betterthanitis.

Ifyouacceptstatus quoasgood enough,youare managinginthe rearviewmirror.

Ifwe have aproblemwe have tofixit. We knowifwe

dont,someone else will.

Elevate awinto companywide accomplishment18

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