An analysis of the Dell Computer Company and its business strategy of direct selling.
Written in 2002; 715 words; 0 sources; MLA; $ 25.95
Paper Summary:
A study of Dell and its unusual and highly-profitable business strategy which strongly excludes middlemen. Selling direct to the buyer provides not only economic benefits inherent in maintaining virtually no inventory and lower distribution cost, but also allows them to interact directly with their customer. This paper discusses the history of Dell and how Michael Dell came to establish this very successful hardware company. It details several big deals that Dell has made with companies such as IBM and HP which will help them prosper in the future.
From the Paper:
"Dell Computer Company has a distinction that separates it from the rest of the companies such as Compaq, IBM, Hewlett-Packard and others in the computer hardware market. Dell does not use middlemen; their business strategy is to sell directly to the end user through a variety of interfaces. Selling direct to the buyer provides not only economic benefits inherent in maintaining virtually no inventory and lower distribution cost, but also allows them to interact directly with their customer. This puts them in the enviable position of being able to profitably extend and grow their business through relationships and contacts made from the first purchase. (Fortune Magazine, December 20, 1999.)"
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