Promotional Strategy Of Dell - Copy s39u

Executive Summary Dell Computer Corporation was established in 1984 and today ranks among the world’s largest computer systems company. Dell is serving the selling of personal computers directly to customers, providing direct toll free technical and onsite services. Dell offers build to order computer systems to customers. Dells complete range of high-performance computer systems include: Dell Dimension and OptiPlex desktop computers, Latitude notebook computers, and Power Edge network servers. This report covers the contents of current and past overview of Dell Company, its offerings, financial analysis and many more. “Experience is not what happens to you, it is what you do with what happens to you.” -Aldous Huxley

About Dell: • Founded in 1984 by Michael Dell

• No.1 PC provider in the U.S. and No.2 worldwide • Based in Round Rock, Texas • Employs more than 82,700 people worldwide • Grew during the 1980s and 1990s to become a brand • Direct Business Model is the foundation for Dell’s business • Dell maintains a consistent focus on offering the best value and customer experience • Dell is a trusted technology innovator with a diversified, comprehensive IT portfolio • Dell is a global company committed to its customers and employees.

TABLE OF CONTENT  INTRODUCTION TO THE PROJECT  COMPANY PROFILE  SCOPE AND IMPORTANCE OF THE STUDY  OBJECTIVES OF THE STUDY  RESEARCH METHODOLOGY # Research design # Data collection # Sampling # Hypothesis  DATA ANALYSIS AND INTERPRETATION  FINDING  CONCLUSION  SUGGESTIONS  LIMITATIONS OF THE STUDY  BIBLIOGRAPHY  ANNEXURE

Introduction

Dell Inc. is an American multinational information technology corporation based in Round Rock, Texas, United States that develops, sells and s computers and related products and services. The founder of Dell Inc. is Micheal Dell. This is one of the world’s largest corporation employing more than 103,300 employees worldwide. As of 2009, the company sold personal computers, servers, data storage devices, network switches, software’s and computer peripheral devices.

The company is well known for its innovation. Dell has been very successful towards its mission statement .They are no doubt customer oriented as they provide award winning customer services that is well known throughout the world. Their Direct Business Model is a very efficient and effective way of doing the business. In this, the products are directly sold to the customers and intermediates are deleted

from the process. This helps in reducing costs for Dell and they in turn on this savings to the customers. Dell provides customization through which customers get what they want. Along with providing quality products, Dell also provides quality services. The purchase of Dell products have become easy as it’s all done through phone or internet (www.Dell.com). It’s been a successful way of selling their products. Dell has also started to sell through retail stores hence making the purchase of their products easy for the customers.

Dell Inc.

Type

Public NASDAQ: Dell HKEX: 4331 S&P 500 Component

Industry

Computer Systems Computer Peripherals Computer Software IT consulting IT services

Founded

Austin, Texas November 4, 1984

Founder(s)

Michael Dell

Headquarters

1 Dell Way Round Rock, Texas, U.S.[1]

Area served

Worldwide

Key people

Michael Dell (Chairman & CEO)

Products

Desktops Servers Notebooks Netbooks Peripherals Printers Televisions Scanners Storage Smart Phones

Revenue

$61.49 billion (2011)[2]

Operating income

$3.43 billion (2011)[2]

Net income

$2.63 billion (2011)[2]

Total assets

$38.59 billion (2011)[2]

Total equity

$5.64 billion (2011)[2]

Employees

103,300 (2011)[2]

Website

Dell.com

Company profile:-

Micheal Dell being the founder of Dell Inc. transformed his idea in to reality in 1984. He was student in University of texas, Austin, when he realized that selling personal computers directly to customers may fulfill the needs of them in order to providing pcs’ according to their expectations. With an initial capital of $300,000 he commenced his business of PCs limited. In 1985, the company produced the first computer of its own design “Turbo Pc” sold for US $795. The company d its system in National Computer Magazines for its selling of PCs’ directly to consumers, assembled according to their needs. For the very first year of its business the company grossed $75 million. The company changed its name to "Dell Computer Corporation" in 1988 and began expanding globally, first in Ireland. In June 1988, Dell's market capitalization grew by $30 million to $80 million from its June 22 initial public offering of 3.5 million shares at $8.50 a share. In 1992, Fortune magazine included Dell Computer Corporation in its list of the world's 500 largest companies, making Michael Dell the youngest CEO of a Fortune 500 company ever.

In 1996, Dell began selling computers via its web site, and in 2002, Dell expanded its product line to include televisions, handhelds, digital audio players, and printers. Dell's first acquisition occurred in 1999 with the purchase of Converge Net Technologies. In 2003, the company was rebranded as simply "Dell Inc." to recognize the company's expansion beyond computers. 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. To prevent cross-market products, Dell continues to run Alienware as a separate entity but still a wholly owned subsidiary. On August 16, 2010, Dell announced its intent to acquire the data storage company 3PAR. On September 2, 2010 Hewlett-Packard offered $33 a share, which Dell declined to match. • In 1996, Dell began selling computers via its web site • Introduced the 316LT, the company’s first notebook computer in 1989 • ed the top-five computer system makers worldwide in 1993 • Earning appr. $1 million per day 7 months after the launch of Dell.com in 1996 • Introduced E-, an online tool to provide technical to customers 1999

• 1999,

Dell overtook Compaq to become the largest seller of personal computers

in the US • 2007,

Dell set a goal of becoming the greenest technology company on Earth for

the long term. The company launched a zero-carbon initiative • For the first time, Dell achieves No. 1 ranking in global market share in 2001 • 2003, name was changed to "Dell Inc." • 2006,

Dell purchased the computer hardware manufacturer Alienware

• January 2007, started a turnaround plan that promises to yield $3 billion in annual savings over the next three years.

Dell Structure: It conducts operations worldwide, and manages business in three geographic regions: • Americas region, based in Round Rock, Texas, covers the U.S., Canada, and Latin America. • Europe, Middle East and Africa (EMEA) region, based in Bracknell, England, covers Europe, the Middle East, and Africa. •

Asia Pacific-Japan (APJ), based in Singapore, covers the Asian countries of the Pacific Rim as well as Australia, New Zealand, and India.

Acquisition: • September 8 1999 - First acquisition Converge Net Technologies on May 8

2006 - Acquired Alienware, a specialty computer desktop manufacturer, integrated it into the company's high product line. It introduced several new items to Dell products, including AMD microprocessors. To prevent cross market products, Dell continues to run Alienware as a separate entity but still a wholly-owned subsidiary.

• January 28 2008 - Acquired Equal Logic to gain a foothold in the ISCSI storage

market. It was the largest acquisition of $1.4 billion .Integrating Equal Logic’s products into the company drove manufacturing prices down. It extended Dell's leadership in simplifying IT for customers and partners. • 2008 – Three acquisitions, Equal Logic, the Networked Storage Company, and Message One • 1999-2000 -Purchased stakes in four companies (NaviSite, Com2001.com, Fast

Search & Transfer, Netyear Group). • Divested two companies, in 2000 and 2008.

Major customers:  large corporations,  government agencies  medical and educational institutions  small business  individuals

Coming products:

 New Power Edge Servers  New Enterprise Computing Portfolio  Innovation Aids Recovery  Ultra-Thin Laptop, Adamo

Financials: • Revenue

in the QY 09 fell 16% from the same period a year ago to $13.4 billion.

Profits plummeted 48% to $351 million, or 18 cents a share, from $679 million, or 31 cents a share. • Revenues of $61,133 million during the financial year ended February 2008, an

increase of 6.5% over 2007. • Operating profit of the company was $3,440 million in FY2008, an increase of

12.1% over 2007 • Net profit was $2,947 million in FY2008, an increase of

14.1% over 2007.

Recent Developments: In January 2009, Dell announced that they will withdraw all manufacturing from Limerick and move it to its new plant in the Polish city of Lodz by January 2010. • Raised their cost-reduction target to $4 billion.

• Dell also announced that it aimed to become a "onepercent company," giving

away 1 % of pretax profits to education and digital inclusion projects mainly in emerging markets, by February 2010.

Product line: Business/Corporate Class:  OptiPlex - office desktop computer systems  Vostro - office/small business desktop and notebook systems  n Series - desktop and notebook computers shipped with Linux or FreeDOS installed  Latitude - commercially-focused notebooks  Precision - workstation systems and high-performance notebooks.  PowerEdge - business servers  PowerVault - direct-attach and some network-attached storage (NAS)  PowerConnect - network switches  Dell/EMC - storage area networks (SANs)  EqualLogic - enterprise class iSCSI SANs Home Office/Consumer Class:  Dimension - Consumer desktop systems.

 Inspiron - consumer desktop and notebook systems  Studio - medium-end consumer slim hybrid desktop and laptop systems  XPS - enthusiast and high-performance desktop and notebook systems  Studio XPS - high end design focus of XPS systems and extreme multimedia capability  Alienware (XPS Extreme) - high-performance gaming systems rivaling HP's gaming division,Voodoo PC  Adamo - high-end laptop brand to compete with the MacBook Air

Peripherals: • USB keydrives , LCD televisions, and printers. • Dell monitors LCD TVs, plasma TVs and projectors for HDTV and monitors

Services and : • Dell On Cal l - extended services (mainly for the removal of spyware and computer viruses)

• Dell Center - extended services (similar to "Dell On Call") for customers in the EMEA. The Solution Centers also hardware for customers outside of warranty. • Dell Business - a commercial service-contract that provides an industry-certified technician with a lower call-volume than in normal queues; it covers hardware- and some software-. • You’re Tech Team - a new -queue available to home s who purchased their systems through either Dell's website or Dell phone-centers. These customers gain access to a specialized queue currently • Located in Tampa, Florida. Customers can request a technician with whom they have worked previously, and the technicians can troubleshoot a wider range of problems — including some that would fall under the "Dell on Call" category. Data backup and virus removal remain out-of-scope for this queue.

Analysis of Dell in RECESSION:  Dell's biggest market, the US, revenue fell 17% and unit shipments dropped 23%.  Sales were down significantly among all customers, particularly small and medium-sized businesses and the largest corporate customers.  Dell's changes have failed to drive consistent growth.  Global job cutting programmed.  Dell announced a 10% cut in global jobs and announced further job cuts at its Ireland sites earlier this year.  There was a continuing decrease in end- PC demand, and that was before the world's banking system went into meltdown according to Dell

 Shutdown of its Edmonton, Alberta office, losing 900 jobs.  Ending of about 8,800 jobs in 2007-2008 — 10% of its workforce.  On January 8, 2009, announced the closure of its manufacturing plant in Limerick, Ireland with the loss of 1,900 jobs and the transfer of production to its plant in Poland.  Profits fell by nearly half in the fiscal fourth quarter, and it would slash $1 billion more in expenses to bring costs in line with falling sales in the economic downturn.

Organization: A board of directors of nine people runs the company. Michael Dell, the founder of the company, serves on the board. Other board include Don Carty, William Gray, Judy Lewent, Klaus Luft, Alex Mandl, Michael A. Miles, and Sam Nunn. Shareholders elect the nine board at meetings, and those board who do not get a majority of votes must submit a resignation to the board, which will subsequently choose whether or not to accept the resignation. The board of directors usually sets up five committees having oversight over specific matters. These committees include the Audit Committee, which handles ing issues, including auditing and reporting; the Compensation

Committee, which approves compensation for the CEO and other employees of the company; the Finance Committee, which handles financial matters such as proposed mergers and acquisitions; the Governance and Nominating Committee, which handles various corporate matters (including nomination of the board); and the Antitrust Compliance Committee, which attempts to prevent company practices from violating antitrust laws. The corporate structure and management of Dell extends beyond the board of directors. The Dell Global Executive Management Committee sets strategic directions. Dell has regional senior vice-presidents for countries other than the United States, including David Marmonti for EMEA and Stephen J. Felice for Asia/Japan. As of 2007, other officers included Martin Garvin (senior vice president for worldwide procurement) and Susan E. Sheskey (vice president and Chief Information Officer).

Competitors: Dell's major competitors include: •

Hewlett-Packard (HP)

•

Acer

•

Toshiba

•

Gateway

•

Sony

•

Asus

•

Lenovo

•

IBM

•

Samsung

•

Apple

•

Sun Microsystems.

Dell and its subsidiary, Alienware, compete in the enthusiast market against AVADirect, Falcon Northwest, VoodooPC (a subsidiary of HP), and other manufacturers. Hewlett-Packard (HP): HP recently posted better financial results than Dell, but has announced around 26,000 redundancies as part of its attempts to cut costs and integrate the £7.2bn acquisition of EDS. Dell rival Hewlett-Packard has also suffered in the global recession. The world's largest computer maker reported last week that profits in the fiscal first quarter ended Jan. 31 fell to $1.85 billion from $2.13 billion in the year-ago period. Revenue rose 1%, but failed to meet Wall Street estimates. Dell has been very very slow in introducing most of the value added features its competition has incorporated (Such as face recognition of Lenovo, fingerprint recognition, Swivel Monitors and Tablet PCs by HP,

Apple, IBM, Sun Microsystems, Gateway, Lenovo, Sony, Acer, Toshiba and Asus. Dell and its subsidiary, Alienware, compete in the enthusiast market against AVADirect, Falcon Northwest,Voodoo PC (a subsidiary of HP), and other manufacturers.

Corporate Culture: Dell's Culture • Believes in being direct in everything they do. • Success is based on maintaining direct relationships built on trust. • Winning Culture and comprehensive diversity initiatives create a corporate environment based on meritocracy, personal achievement and equal access to all available opportunities. • Focus our internal efforts on cultivating and promoting best practices among our global workforce in the areas of policy development, training, recruitment, mentoring, development, advancement and culture change.

• Work/Life Effectiveness and career management programs enhance our ability to retain and develop valuable team and demonstrate our commitment to the Dell Team. • Dell sponsors a community of networking groups formed by employees that help foster a more inclusive work environment, improve communication among employees and enhance understanding of all employees about the value of diversity. • Our goal is to enable employees to maximize their contribution to the company while also maintaining effectiveness between their work and personal lives. • We advocate flexibility in the workplace to empower employees, teams and managers to hold discussions about both the needs of the business and each employee's individual Work/Life Effectiveness goals, and then to construct a plan for fulfilling both priorities. • Dell is committed to developing our workforce and helping employees achieve their personal and professional best. Through an Career Management Program, we strive to develop, fully engage, and retain highperforming talent Forecast Dell has worked its way through the US economy with changes happening in consumer spending inflation rates, interest rates and has changed its strategies accordingly to increase its market share and

market presence. Below is a view of the US economy and an analysis of Dell in this regard.

GDP of the US economy for the year 2003-08. Year

GDP in %

2003

37685.028 3.70 %

2004

39811.632 5.64 %

2005

41969.756 5.42 %

2006

44118.008 5.12 %

2007

45845.477 3.92 %

2008

46541.179 1.52 %

The US economy is a developed economy and due to this extensive development its GDP has been decreasing constantly over the years and has decreased to minimal proportions. In this kind of economy, Dell has provided services to capture a part of the consumers purchasing capacity in the PC market. But due to a recession in the market Dell as other PC manufacturers has faced critical issues regarding sales, job cuts and decrease in market share. Dell has not been able to sustain its competitive advantage in the US economy due to wide spread recession but Dell was able to sustain its sales growth in other countries as compared to the US as seen in revenues of Dell. Dell has arrayed into different product mixes to

sustain its growth in these periods. Dell’s supply chain and direct build to order models have been able to keep its sales up.

US interest rates for the year 2003-08 June 25,2003 1% Dec 14,2004

2.25%

Dec 11,2005

4.75%

June 29,2006 5.75% Dec 11,2007

4.75%

Oct 29,2008

1%

The US federal reserve has been bring out cuts to keep the momentum in the economy going and this has also helped the PC market to grow especially Dell. From 2003 to 2007 Dell has reported profits YoY due to the policies followed by the US government. Interest rate cuts have had the following implications on Dell. Thus, with the fed cutting rates to provide incentives to the corporate to grow, Dell has used this opportunity to increase investment in the company and stretched its wings further in different markets. But in 2008 Dell has lost heavily to profits of $351m from $671m in the last year with a collapse in the supply chain and initial raw material cost increasing and an overall decrease in consumer spending and low cost behavior of the economy. Dell’s supply chain has taken a hit with its cost

advantage not being applicable in this scenario and it resorting to retail supply then doing it through its own chain of suppliers.

Inflation numbers in the US economy. Year I - Inflation Rate 2008

5.0%

2007

2.8%

2006

3.2%

2005

3.4%

2004

2.7%

2003

2.3%

As is evident in the US economy and world over inflation rates have been on all times high in the previous year and this high rate of inflation resulted in low consumer spending in capital goods in corporate bodies and households. Inflation has taken its toll on Dell with posting sharper-than-expected fall in revenue as consumers bought cheaper personal computers and overall demand remained weak. And this fall could be worse if it wasn’t cushioned by cost cuts including job cuts. Dell is trying to sell its computer factories around the world — a move to overhaul a business model that previously was central to the company’s strategy, but which now is no longer competitive. The U.S. firm has approached contract

computer manufacturers with offers to sell the plants to counter the effects, if falling profits and rising costs.

Financial Analysis: Financial Statements: Income Statement Currency in Millions of U.S. Dollars

As of: Feb 01 2008 USD

Jan 30 Jan 29 2009 2010 Reclassified Reclassified USD USD

Jan 28 2011 USD

Revenues

61,133. 0

61,101.0

52,902.0 61,49 4.0

TOTAL REVENUES

61,133. 0

61,101.0

52,902.0 61,494.0

Cost of Goods Sold

49,462.

49,998.0

43,404.0 50,041.0

0

GROSS PROFIT

11,671. 0

11,103.0

Selling General & Expenses, Total

7,446.0

6,966.0

6,227.0

7,234.0

610.0

665.0

617.0

653.0

OTHER OPERATING EXPENSES, TOTAL

8,056.0

7,631.0

6,844.0

7,887.0

OPERATING INCOME

3,615.0

3,472.0

2,654.0

3,566.0

Interest Expense

-45.0

-93.0

-160.0

-199.0

Interest and Investment Income

496.0

180.0

57.0

47.0

NET INTEREST EXPENSE

451.0

87.0

-103.0

-152.0

Currency Exchange Gains (Loss)

-30.0

115.0

-59.0

4.0

Other Non-Operating Income (Expenses)

-48.0

-58.0

12.0

-13.0

EBT, EXCLUDING UNUSUAL ITEMS

3,988.0

3,616.0

2,504.0

3,405.0

Merger & Restructuring Charges

-92.0

-282.0

-482.0

-61.0

14.0

-10.0

2.0

6.0

-83.0

--

--

--

R&D Expenses

Gain (Loss) on Sale of Investments Other Unusual Items, Total

9,498.0 11,453.0

In Process R&D Expenses

-83.0

--

--

--

3,827.0

3,324.0

2,024.0

3,350.0

880.0

846.0

591.0

715.0

Earnings from Continuing Operations

2,947.0

2,478.0

1,433.0

2,635.0

NET INCOME

2,947.0

2,478.0

1,433.0

2,635.0

NET INCOME TO COMMON INCLUDING EXTRA ITEMS

2,947.0

2,478.0

1,433.0

2,635.0

NET INCOME TO COMMON EXCLUDING EXTRA ITEMS

2,947.0

2,478.0

1,433.0

2,635.0

Jan 30 Jan 29 2009 2010 Reclassified Reclassified USD USD

Jan 28 2011 USD

EBT, INCLUDING UNUSUAL ITEMS Income Tax Expense

Balance Sheet Currency in Millions of U.S. Dollars

As of: Feb 01 2008 USD

Assets Cash and Equivalents Short-Term Investments TOTAL CASH AND SHORT TERM INVESTMENTS

7,764.0

8,352.0

208.0

740.0

7,972.0

9,092.0

10,635.0 13,913.0 373.0

452.0

11,008.0 14,365.0

s Receivable

5,961.0

4,731.0

5,837.0

6,493.0

TOTAL RECEIVABLES

5,961.0

4,731.0

5,837.0

6,493.0

Inventory

1,180.0

867.0

1,051.0

1,301.0

370.0

447.0

539.0

374.0

1,732.0

1,712.0

2,706.0

3,643.0

Deferred Tax Assets, Current

596.0

499.0

444.0

558.0

Restricted Cash

294.0

213.0

147.0

25.0

Other Current Assets

1,775.0

2,590.0

2,513.0

2,262.0

TOTAL CURRENT ASSETS

19,880. 0

20,151.0

Gross Property Plant and Equipment

4,614.0

4,510.0

-1,946.0

-2,233.0

NET PROPERTY PLANT AND EQUIPMENT

2,668.0

2,277.0

2,181.0

1,953.0

Goodwill

1,648.0

1,737.0

4,074.0

4,365.0

Long-Term Investments

1,560.0

454.0

782.0

704.0

407.0

500.0

332.0

799.0

Prepaid Expenses Finance Division Loans and Leases, Current

Accumulated Depreciation

Finance Division Loans and Leases, Long Term

24,245.0 29,021.0

4,652.0

4,729.0

-2,471.0 -2,776.0

Deferred Tax Assets, Long Term

485.0

568.0

237.0

75.0

Other Intangibles

780.0

724.0

1,694.0

1,495.0

Other Long-Term Assets

133.0

89.0

107.0

187.0

27,561. 0

26,500.0

TOTAL ASSETS

33,652.0 38,599.0

LIABILITIES & EQUITY s Payable

11,492.0

8,309.0

Accrued Expenses

3,534.0

3,009.0

2,865.0

3,077.0

25.0

113.0

663.0

851.0

Current Portion of Long-Term Debt/Capital Lease

200.0

--

--

--

Current Income Taxes Payable

99.0

6.0

426.0

529.0

Other Current Liabilities, Total

690.0

721.0

593.0

575.0

2,486.0

2,701.0

3,040.0

3,158.0

Short-Term Borrowings

Unearned Revenue, Current TOTAL CURRENT LIABILITIES Long-Term Debt Unearned Revenue, Non-Current

18,526.0 14,859.0

11,373.0 11,293.0

18,960.0 19,483.0

362.0

1,898.0

3,417.0

5,149.0

2,774.0

3,000.0

3,029.0

3,518.0

Other Non-Current Liabilities

2,164.0

2,472.0

2,605.0

2,683.0

TOTAL LIABILITIES

23,826.0 22,229.0

28,011.0 30,833.0

Common Stock

10,589.0 11,189.0

11,472.0 11,797.0

Retained Earnings

18,199.0 20,677.0

22,110.0 24,744.0

Treasury Stock

25,037.0 27,904.0

-27,904.0 -28,704.0

Comprehensive Income and Other

-16.0

309.0

-37.0

-71.0

TOTAL COMMON EQUITY

3,735.0

4,271.0

5,641.0

7,766.0

TOTAL EQUITY

3,735.0

4,271.0

5,641.0

7,766.0

TOTAL LIABILITIES AND EQUITY

27,561.0 26,500.0

33,652.0 38,599.0

Mission and Vision Statement

Dell Mission Statement "To be the most successful computer company in the world at delivering the best customer experience in markets we serve."

Mission Statement: Dell’s mission is to be the most successful Computer Company in the world at delivering the best customers experience in markets we serve. In doing so, Dell will meet customer expectations of: • Highest quality • Leading technology • Competitive pricing • Individual and company ability • Best-in-class service and • Flexible customization capability • Superior corporate citizenship • Financial stability “To provide customers with superb value, high quality, relevant technology, customized systems, superior service and and products and services that is easy to purchase and use.”

“The direct relationship continues throughout the customer experience” Mission statement tells the purpose of existence of the company. Dell through its mission statement tells that they are a totally customer oriented company that aims to provide customers with high quality and value through Customization, according to the needs of the customers. They want to deliver high value with the help of latest technology that is easy to use. They also want their products and services to be available for consumers at low price. Dell has been very successful towards its mission statement .They are no doubt customer oriented as they provide award winning customer services that is well known throughout the world. Dell is the market leader after HP and has been quite successful for mission .But is not up to the mark when we talk about its technology part. Dell is quite slow in adding new value added features to its product and in using the new technology, as compared to its competitors. Therefore it should try to bring changes in its products more quickly than its competitors. If, Dell

concentrate on this part there is no doubt that it will become No 1 on the world map. Dell’s mission is also known as: OUR PEOPLE- “THE SOUL OF DELL”: At Dell, we value and are committed to: • Customers: creating loyal customers by providing a superior experience at great value. • The Dell Team: our continued success lies in teamwork and the opportunity each member has to learn, develop and grow. • Direct Relationships: being direct in all we do. • Global Citizenship: participating responsibly in the global marketplace • Winning: having a ion for winning in everything we do.

VISION VISION STATEMENT: “Through effective and strategic community partnership, Dell s educational services programs that address the critical and most basic technology access needs of its neighbors in Dell communities prerequisite to success in digital world.” Dell provides a classic example of how the principles of strategic management have been used to translate an innovative vision into a successful and sustainable

enterprise. Their vision statement basically tells the way they do their business. They want to be successful in the digital world for this they rely on latest technology. Dell provides quality products to cater the needs of the people. In intend to build good relationship with their customers and suppliers. It’s the way we do business. It’s the way we interact with the community. It’s the way we interpret the world around us. Our customers’ needs, the future of technology, and the global business climate. Whatever changes the future may bring our vision. Dell Vision will be our guiding force. So Dell needs full customer’s satisfaction. In order to become the most successful computer company, they need the newest technology and loyal customers.

Dell’s strategy: Dell's business strategy is a successful cost leadership strategy. The company's formula for success has been based upon its unique customization, delivery, and cost proposition. In reaction to faltering performance and the need to pursue new growth opportunities, a dual-strategic approach is required to confront rapidly changing market conditions. First, Dell must integrate its cost leadership skills with differentiated product features and related services to create value for its customers and achieve the benefits of an integrated cost leadership/differentiation strategy. Additionally, becoming a diversified IT company opens up opportunities in related businesses, where similar products, buying processes, target customers, or other operationally-related activities can produce synergies. This business-level and corporate-level strategy combination offers Dell a method of dealing with the company's competitive realities.

Business-Level Strategy: Customer expectations in the industry have created a growing demand for lowpriced, differentiated products. As a result, Dell needs to be able to perform primary and activities that simultaneously yield low costs and differentiated features, or an integrated cost leadership/differentiation strategy. The objective of using this strategy is to efficiently produce products with attributes

that boost product quality or performance. Efficient production is the source of maintaining low costs, while differentiation is the source of unique value. Successful use of an integrated cost leadership/differentiation strategy has the added benefit of building skills that can help Dell adapt more quickly to new technologies and rapid changes in the external environment. Simultaneously concentrating on developing two sources of competitive advantage (cost and differentiation) increases the number of primary and activities in which the company must become competent, which contributes to greater flexibility. Flexible manufacturing systems, information networks, and total quality management systems can also yield a more flexible organization. Each type of initiative should be considered by Dell as it tries to balance the objectives of continuous cost reductions and continuous product enhancements. Dell already utilizes a customized assembly process based upon a FMS to fill customer orders. To increase flexibility, the company should look for ways to enhance the effectiveness of information networks (linking the supply chain through to the customer) to improve work flow and communication among employees to identify and resolve problems that emerge. Improvements in information linkages would prove particularly beneficial as Dell seeks to improve services for its corporate customers. Dell's business strategy combines its direct customer model with a highly efficient manufacturing and supply chain

management organization and an emphasis on standards based technologies. This strategy enables Dell to provide customers with superior value; high-quality, relevant technology; customized systems; superior service and ; and products and services that are easy to buy and use.

Corporate-Level Strategy: A corporate-level strategy specifies actions a firm takes to gain a competitive advantage by selecting and managing a group of different businesses competing in different product markets. Corporate-level strategies help company’s select new strategic positions to increase the firm’s value. They are also a means to grow revenues and profits. By 2006, Dell has already diversified from a purely desktop PC provider to operating in the following additional product categories: mobility, server, storage, printer, enhanced services, software, and consumer electronics. More than thirty percent of its revenue is generated outside of its dominant business. Because of this ratio and because there are existing links between its diversified businesses, a related constrained diversification strategy is being employed. With a related constrained diversification strategy, Dell will be able to expand the value of its resources and capabilities by sharing activities and exploiting economies of scope between its businesses. Available to companies operating in multiple product markets or industries, economies of scope are cost

savings that the firm creates by successfully sharing some of its resources and capabilities (operational relatedness) or by transferring one or more corporate-level core competencies that were developed in one of its businesses to another of its businesses (corporate relatedness). To create economies of scope both tangible resources (such as plant and equipment or other physical assets) and intangible resources (such as knowledge or other bases of core competencies) can be shared. In at least two ways, the related linked diversification strategy can help Dell create value. First, because a core competence has already been developed (and paid for) in one of the company’s businesses, transferring it to a second business eliminates the need for that second business to allocate resources to develop it. Resource intangibility is a second source of value creation through corporate relatedness. Intangible resources are difficult for competitors to understand and imitate. Because of this difficulty, the unit receiving a transferred corporate-level competence often gains an immediate competitive advantage over its rivals. One thing to keep in mind, however, is that it can be difficult for investors to actually observe the value created by a firm as it shares activities and transfers core competencies. For this reason, the value of Dell's assets being used to create economies of scope may be discounted by investors.

Functional strategy: Cost leader ship through direct sell model In direct sales model it sells directly to customers, which has the following characteristics:  Efficient supply chain/distribution system  Just-In-Time inventory system reduces costs  Direct sales by using www.Dell.com  Internet increases good relations with consumers & suppliers  Impressive Supply Chain Management  Strong strategic alliances with other companies Direct Business Model = Customization + Customer service

Total quality management (TQM): It is another managerial innovation that emphasizes an organization’s total commitment to the customer and to continuous improvement of every process through the use of data-driven, problem-solving approaches based on empowerment of employee groups and teams. The development and use of TQM systems at Dell would align actions with the company's strategic needs and would concurrently serve to:(1) Increase customer satisfaction

(2) Cut costs, and (3) Reduce the amount of time required to introduce innovative products to the marketplace. All of these objectives have been identified as critical factors that will influence Dell's future success. TQM systems result in the enhancement of innovative abilities, the ability to exceed customers’ quality expectations (differentiating the company from its competitors), and the elimination of process inefficiencies to cut costs (allowing Dell to offer better performing features at the relatively low prices expected by its customers). Thus, an effective TQM system will help Dell develop the flexibility needed

to

identify

opportunities

to

implement

its

integrated

cost

leadership/differentiation strategy. Because TQM systems are available to all competitors, they may help the company maintain competitive parity, but rarely will they unilaterally lead to a competitive advantage.

Four P’s, uses as promotion of DELL In popular usage, "Marketing" is the promotion of products, especially Advertising and Branding. However, in professional usage the term has a wider meaning which recognizes that marketing is customer centered. Products are often developed to meet the desires of groups of customers or even, in some cases, for specific customers. E. Jerome McCarthy divided marketing into four general sets of activities. His typology has become so universally recognized that his four activity sets, the Four P’s, have ed into the language. The Four P’s are: •

Product: The product aspects of marketing deal with the specifications of the actual good or service, and how it relates to the end-'s needs and wants. The scope of a product generally includes ing elements such as warranties, guarantees, and .

•

Pricing: This refers to the process of setting a price for a product, including discounts. The price need not be monetary - it can simply be what is exchanged for the product or service, e.g. time, or attention.

•

Promotion: This includes advertising, Sales promotion, Publicity, and personal selling, and refers to the various methods of promoting the product, brand, or company.

•

Placement: refers to how the product gets to the customer; for example, point of sale placement or Retailing. This fourth P has also sometimes been called Place, referring to the channel by which a product or service is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults, families, business people), etc.

Competitive Strategy :# Positioning Strategy Dell’s unique selling proposition has always been defined by its direct business model. Its founder, Michael Dell, lead the way using the direct-sales approach for computers. Dell has a simple formula: “eliminate the middleman and sell for less” (Hoovers). Dell keeps it simple by providing customers with built-to-order boxes that help with lower inventories, lower costs, and higher profit margins. # Products/Services Strategy

Dell is the major player in the personal computer industry and its aim is to marketing of both PCs and Non-PCs related products to the consumers. It uses to target its market the differentiated approach. Such as, it provides the products to the markets according to the needs to consumers, as according to home, health, government, small and large scale markets etc. It differentiates its products from others which are the key point to target its market. # Pricing Strategy Dell made $18.2 billion in revenue with a net profit margin of 8%. In 2006 their revenue was almost tripled to $55.9 billion, but with a lower net profit margin of 6.4%. Dell’s net income has almost constantly risen throughout the years, due to their highly competitive cost structure. Their elimination of the middleman keeps their costs low and profits high. # Distribution Strategy Dell’s main factory is located in Texas with its regional headquarters in Texas, Tennessee, and Brazil. Dell always tries to centralize its headquarters to where it can provide the service to its customers in timely and effective manner. Dell’s location has helped the company organize its distribution model. When Dell Americas operations were expanded, Dell chooses middle Tennessee because the transportation infrastructure allowed Dell to reach 70% of its customer base within

twenty-four hours by ground. With the Internet and the phone as its biggest distribution channel, Dell is able to reach customers faster and with its distribution network streamlined it can meet each customer’s demand successfully and speedily. All these strategies not only made possible for Dell Inc. to be among the world’s leading Corporations in the Computer Industry but 38th largest Corporation in United States.

CORE COMPETENCY Dell has an edge over its competitors due to the core competency that exist within the organization. This is Dell’s Competitive advantage and has created superior value above its rivals. Direct Business Model (low cost advantage+ customization) Sell directly to consumers, by selling directly to the customer Dell removes all the cost that they would have incurred during the holding and marketing of the products.  Dell’s model is based on build-to-order process, where company builds each PC on demand. Customers can choose what components they want for their

computer, Dell then assemble the order and ships it. This strategy improves customer satisfaction and reduces costs and risks to the company.  No intermediaries  No warehousing

 Selling direct lowered Dell costs by 25-40% compared to competitors. Dell ed these savings to customers. Dell believed that this could help best understand customers ‘needs and provide the most effective computing solutions to meet these needs.  Build products to consumer order  Eliminate retail mark-ups and costs  Reduce risks associated with large inventories of finished goods  Close relationship with consumers & suppliers  Use information to enhance the Value Chain  Total customization of their personal computers ADVANTAGES: Price for Performance- By eliminating resellers, retailers and other costly intermediary steps together with the industry's most efficient procurement, manufacturing and distribution process Dell offers its customers more powerful, more richly configured systems for the money than competitors. Customization- Every Dell system is built to order. Customers get exactly, and only, what they want. Just In time- Orders build at the time of order. A just-in-time (JIT) manufacturing approach, which minimizes inventory costs.

Service and - Dell uses knowledge gained from direct before and after the sale to provide award-winning, tailored customer service. Latest Technology- Dell's efficient model means the latest relevant technology is introduced in its product lines much more quickly than through slow-moving indirect distribution channels. Inventory is turned over every 10 or fewer days, on average, keeping related costs low. Superior Shareholder Value- Dell was the top-performing stock among the Standard & Poor's 500 and Nasdaq 100, and represented the top-performing U.S. stock on the Dow Jones World Stock Index. Profitability-Through the direct business model Dell has eliminated the reseller’s markup as well as the risks associated with large inventories of parts and finished goods. Dell frequently receives parts just hours or even minutes before assembling a PC to fill a customer’s order. Since the prices of computer components are constantly going down, it makes sense to avoid buying large inventories of stock that could be purchased at a later date for less. And since computer components also go out of date quickly, this avoids antiquated stock. This, in turn, improves profitability and allows Dell to sell its products for a lower price to the customer. Customer Focus-Is dedicated to meeting the expectations and requirements of internal customers; gets first-hand customer information and uses it for improvements in products and services; acts with customer in mind; establishes

and maintains effective relationships with customers and gains their trust and respect. Internet Leadership Sales via Dell’s Web site sured $18 million per day during early 1999, ing for 30 percent of overall revenue. The world's second-biggest computer maker has recently switched from a pure online and phone sales model to build an expanding network of retail stores, putting its PCs and laptops within the reach of consumers without Internet access.

SWOT Analysis of Dell Products: Strengths

Weaknesses

· No inventory buildup

· No proprietary technology

· Acquition with Equalogic

· High dependency on Components up

· Quality product and service

suppliers

· Whole world focus

· Occasional product recall. Eg. In

· Brand name

2004 Dell had to recall 4.4 million

· Customer service

laptop adapters because of a fear that

· Cost efficiency

they could overheat, causing electric

· Direct sell model=customization+fast+ shocks or fires. Delivery + low cost

unable to switch supply

· Winning culture

dues to the lack of large

· latest technology

suppliers in the World

· First mover advantage

· high attrition rates among visitors to

· e-commerce capabilities: www

Dell.com

.Dell.com

· no physical presence of service centers

· Buid to order manufacturing process

· slow in introducing fancy features

· Product design+after sales service

· Lack of innovation

· Expert Supply Chain Management Opportunities

Threats

· Network-internet, intranet and

· Competition

extranet

· Currency fluctuation in

· Developing nations market

countries outside the US

· Low costs and growing advanced

· Political instability

technology

· Tariff trade barriers

· Growth in business, education

· Recession

and government markets · global wide access to customers and market. · Expansion · Increasing income of consumers · Globalisation

· Decling sales

Strength:Dell's Direct Model approaches of enables the company to offer direct relationships with customers such as corporate and institutional customers. Their strategic method also provides other forms of products and services such as internet and telephone purchasing, customized computer systems; phone and online technical and next-day, on-site product service. This extensive range of products and services is definitely one of Dell’s strengths. Dell Computer's award-winning customer service, industry-leading growth and consistently strong financial performance differentiate the company from competitors for the following reasons: Price for Performance – Dell boasts a very efficient procurement, manufacturing and distribution process allowing it to offer customers powerful systems at competitive prices. Customization - Each Dell system is built in order to meet each customer’s specifications. Reliability, Service and – Dell’s direct customer allows it to provide topnotch customer service before and after the sale.

Latest Technology – Dell is able to introduce the latest relevant technology compared to companies using the indirect distribution channels. Dell turns over inventory for an average of every six days, keeping inventory costs low. The company's application of the Internet to other parts of the business --including procurement, customer and relationship management -- is growing at a rate of 30 percent. The company's Web site received at least 25 million visits at more than 50 country-specific sites.

Weaknesses:Dell’s biggest weakness is attracting the college student segment of the market. Dell’s sales revenue from educational institutions such as colleges only s for a measly 5% of the total. Dell’s focus on the corporate and government institutional customers somehow affected its ability to form relationships with educational institutions. Since many students purchase their PCs through their schools, Dell is obviously not popular among the college market yet. For home s, Dell’s direct method and customization approach posed problems. For one, customers cannot go to retailers because Dell does not use distribution channels. Customers just can’t buy Dell as simply as other brands because each

product is custom-built according to their specifications and this might take days to finish.

Opportunities:Personal computers are becoming a necessity now more than ever. Customers are getting more and more educated about computers. Second-time buyers would most likely avail of Dell’s custom-built computers because as their knowledge grows, so do their need to experiment or use some additional computer features. Demand for laptops is also growing. As a matter of fact, demand for laptop has overtaken the demand for desktops. This is another opportunity for Dell to grow in other segments. The internet also provides Dell with greater opportunities since all they have to do now is to visit Dell’s website to place their order or to get information. Since Dell does not have retail stores, the online stores would surely make up for its absence. It is also more convenient for customers to shop online than to actually drive and do purchase at a physical store.

Threats:In a volatile market such as personal computers, threats abound. Computers change in a constant sometime daily basis. New software, new hardware and computer

accessories are introduced at a lightning speed. It is essential for Dell therefore to be always on the lookout for new things or introduce new computer systems. The threat to become outmoded is a pulsating reality in a computer business. Not only that, companies must produce products that are high in quality but low in price. This is one challenge that Dell contends with.

Scope and importance of the study:This project gives us great exposure to the consumer durable market because it includes product knowledge and field survey job in which we visited the consumer preferences towards Dell computers and laptops. Research methods provide you with the knowledge and skills you need to solve the problems and meet the challenges of a fast-paced decision-making environment. Business research courses are recognition that students in business, not-for-profit, and public organizations – in all functional areas – need training in the scientific method and its application to decision making. Two factors stimulate an interest in more scientific decision making: (1) the manager’s increased need for more and better information and (2) the availability of improved techniques and tools to meet this need.

The trend toward complexity has increased the risks associated with business decisions, making it more important to have a sound information base. Increased complexity means there are more variables to consider. The competition is more vigorous, with much business downsizing to make competitive gains. Workers, shareholders, customers, and the public are better informed and more sensitive to their self-interest. Government continues to show concern with all aspects of society. Each of these factors demands that managers have more and better information upon which to base decisions. To do well in such an environment, you will need to be equipped with an understanding of scientific methods and a means of incorporating them into decision making. You will need to know how to identify good research and how to conduct it. There is vastly more knowledge in all fields of management. We have begun to build better theories. The computer has given us a quantum leap in the ability to deal with problems. New techniques of quantitative analysis take advantage of this power. Communication and measurement techniques have also been enhanced. These trends reinforce each other and are having a massive impact on business management. So there is a need to analyze the promotional strategies of company in a well manner.

OBJECTIVES OF THE PROJECT: To find out the present status of Dell products in the market

 The study helps to know the promotional strategy of the company.  To find out available opportunities in the market by finding gaps in competitors penetration.

 To collect data from customer and retailers for the activation of new strategy

 Find out ways to increase sales new launches to company

 To enhance the market share of the company.

 To find most important parameter for selection of Dell products by customers

 To study profit margin of company

Research Methodology:A careful investigation or inquiry especially through a search in any branch of knowledge of any sector is known as Research Methodology. Research Methodology is the art of research so that research report can be prepared in a standard manner. Research methodology is considered as the nerve of the project. Without a proper well-organized research plan, it is impossible to complete the project and reach to any conclusion. The project was based on the survey plan. The main objective of survey was to collect appropriate data, which work as a base for drawing conclusion and getting result. Research Methodology includes following contents:-

Research design

Research design is important primarily because of the increased complexity in the market as well as marketing approaches available to the researchers. In fact, it is the key to the evolution of successful marketing strategies and programmers. It is an important tool to study buyer’s behavior, consumption pattern, brand loyalty, and focus market changes. A research design specifies the methods and procedures for conducting a particular study. According to Kerlinger, “Research Design is a plan, conceptual structure, and strategy of investigation conceived as to obtain answers to research questions and to control variance.” An artist makes a design before he executes his ideas. Any prudent man makes a plan of his own study before he undertakes his research design. This enables the researcher to save time and resources. Such a plan of study or blue print for study is called a RESERCH DESIGN or RESERCH STRATERGY. Two methods that are used for the study are: 1. The survey of concerning literature. 2. The experience study. Research design is of three types:1. Descriptive Research design

2. Exploratory Research design 3. Conclusive Research design This report is related to the DESCRIPTIVE RESEARCH DESIGN, because all mater takes place in the Descriptive manner.

SAMPLING When a field study are undertaken in a practical life considering the time and cost, almost invariable lead to a selection of respondent, which means selection only of few items. The respondents selected, should be as repetitive of a total population. Here I take sampling size of 100 peoples from Amroha and Moradabad. This sampling size includes some businessmen, servicemen, households and peoples related to professional works. Here I choice RANDOOM SAMPLING MEHTOD to get the response of the peoples. SAMPLING METHOD Random Sampling method SAMPLE SIZE 100 Dealers and customers Research tools:

Questionnaires RESEARCH AREA Amroha and Moradabad

Data collection There are two types of sources of data collection:• Primary data • Secondary data Primary data: - These data are those which are collected for the first time and therefore original in nature. For the collection of the primary data following methods are used: 1. Interview method: Personal interviews of the customers are taken at different levels to get their opinions and suggestions. And the interview was structured in nature. 2. Questionnaire method: Structured questionnaire on the basis of information collected from different sources. The questionnaire contains both open and ended questions.

Secondary data: - Data, which have already been collected by someone else and hence ed through the statistical process. Secondary data are collected from the following sources: a. Books related to topic b. Organization documents c. Magazines d. Websites

STATISTICAL TOOLS USED Statistical tools used in the project study are: Graphical representation

HYPOTHESIS A hypothesis consists either of a suggested explanation for an observable phenomenon or of a reasoned proposal predicting a possible causal correlation among multiple phenomena. The term derives from the Greek, hyposthenia meaning "to put under" or "to suppose." The scientific method requires that one can test a scientific hypothesis. Scientists generally base such hypotheses on previous observations or on extensions of scientific theories. Even though the

words "hypothesis" and "theory" are often used synonymously in common and informal usage, a scientific hypothesis is not the same as a scientific theory. The hypothesis of this study is that promotional strategies of Dell are able to aware the customers about their products and models and customers are satisfied with the services provided by Dell.

DATA ANALYSIS AND INTERPRETATION:-

Q1. Do you have Dell laptop/ desktop? Yes (

)

No (

)

Interpretation-According to this pie chart it is clearly shown that 60% responses use Dell laptop or desktop and 40% does not use.

Q2. Which model do you prefer? Vostro (

)

Inspiron (

)

n series

others 30%

(

)

Others (

)

vostro 20%

n series n series 20%

inspiron 30%

vostro

inspiron others

Interpretation-According to this pie chart it is clearly shown that the percentage of inspiron model is greater than vostro and n series laptops or desktops s.

Q3. From where did you know about Dell? Newspaper (

)

Television (

)

Internet

)

Referral (

)

(

Others 10%

Newspaper 20%

Newspaper Television Internet

Internet 40%

Television 30%

Others

Interpretation- This pie chart shown that most of the people got knowledge of Dell from internet.

Q4. Are you satisfied with the services of Dell? Yes (

)

No (

70 60 50 40 30

yes, 70

20 no, 30

10 0 yes

no

)

Interpretation- 70% s of Dell are satisfied with its services, while 30% are not satisfied.

Q5. What kind of feature attracts you to use Dell products? Model (

)

price (

Service, 30

)

service (

Model, 45 Model

Price, 25

Price Service

)

Interpretation-According to this pie chart of responses of people, most of the s are attracted with the models of Dell desktop and laptops.

Q6. Scale your satisfaction towards Dell dealers? Bad

(

)

Good

(

)

Average

(

)

Excellent

(

)

50

Exellent, 45

40

Average, 35

30 20 10

Good, 15 Bad, 5

0 Bad

Good

Average

Exellent

Interpretation-According to this bar chart it is very clear that most of the s accept that the services of Dell dealers are excellent.

Q7. Are you satisfied with onsite services provided by Dell? Yes (

)

No (

100 80 60 40

yes, 90

20 no, 10

0 yes

no

)

Interpretation- 90% s of Dell are satisfied with its onsite services, while 10% are not satisfied.

Q8. Are you satisfied with pricing strategy of Dell? Yes (

)

No (

)

60 50 40 30

60 40

20 10 0 Yes

No

Interpretation- 60% s of Dell are satisfied with its pricing strategy, while 40% are not satisfied.

Q9. Would you like to suggest purchasing Dell laptop to your friends? Yes (

)

No (

)

30% Yes No 70%

Interpretation- 70% s of Dell suggest to other to prefer Dell laptops and desktops while 30% does not suggest because of some reason.

Q10. Do you think that the promotional strategy of Dell impact on customers? Yes (

)

No (

)

32% Yes No 68%

Interpretation- 68% s of Dell are agreed that the promotional strategy puts an impact on customers while 32% are disagreed.

Q11. What is your opinion about Dell? Bad

(

)

Good

(

)

Average

(

)

Excellent

(

)

60 40 20

Bad, 5

Good, 20

Average, 30

Exellent, 45

0 Bad

Good

Average

Exellent

Interpretation-According to this chart it is very clear that most of the s say that Dell is really excellent.

Q12. Do you think that Dell is related to value for money concept? Yes (

)

No (

)

No 20%

Yes 80%

Interpretation- 80% s of Dell are satisfied with its value for money concepts, while 20% are not satisfied.

FINDINGS Market survey is the main task of every report, weather it relates to any topic. After analyzing the promotional strategy of Dell and getting response of Dell s and Dell dealers through questionnaire, I found following points: According to my marketing survey I found that most of the people use Dell laptops or desktops.

 Most of the s say that internet is the best source for getting information about Dell.

 The onsite service of Dell is really the best strategy according to customers.

 According to customers the main feature which attracts him towards Dell laptops is attractive models of it.

 Among the size of 100 responders, most of the people say that the promotional strategy of Dell puts an impact to buy products.

 Most of the customers are satisfied with Dell features as well as services of Dell dealers.

 The prices of Dell laptops and desktops are high still 60% customers are satisfied with pricing strategies.

 Value for money is really best concept, adopted by Dell and customers are also satisfied with this concept.

Conclusion:Dell computer is successful in global markets as a result of best understanding of customers' needs and their direct sell business model. Dell's environmental programs for product asset recovery and product design for environment have spanned more than a decade. The company designs and customizes products and services to the requirements of the organizations and individuals, and sells an extensive selection of peripheral hardware and computing software.

Dell is a well known name in the world that has been very successful towards its mission. It has focused on customization and maintaining low cost that has been very profitable for the company. But the problem of the low sales in the U.S. is facing by it, they are being forced to look at alternative ways of brining revenue to the company, we believe that they will be able to tackle this situation and would maintain a tight grip on the market due to their cost leadership and because of their coming strategies.

Suggestions · Should look for Alliance-mergers and acquisitions that would bring synergic benefits for the company · Reduce the attrition rate by Converting visitors into customers (people who visit the Dell site) · Physical presence of Service centers would add value to their customer service · Invest more in Research and Development. · Increase Company recognition through a national advertising campaign.

· Should not only depend on the internet sales, should give equal importance to retail stores. Though they have started with the retail selling but they should give equal importance to it as they give to online selling · Build a variety of competencies (build core competencies into diverse product lines) · Demand for laptops will increase in the coming future therefore they should try to exploit this situation.

LIMITATION OF STUDY:Although I tried my best in preparation of this project, but this study has some limitation:  The period of the project was not sufficient to study all the factors in deep.  Visiting various places for the study consumed a lot of time.  We cannot say that what the consumer have revealed will be right for each and every situation because their perception is influenced by many factors.

 Many consumer and dealers showed less interest in providing information and haven’t cooperated.  The Area undertaken in research in Moradabad and Amroha only. But to do a complete research a wide area is required, so the area is also a constraint of the study.  Sample for the study taken is of only 100 consumers. Which can also act as a constraint in the study.

BIBLIOGRAPHY:-Kotler Philip, Saxena Rajan - “Principles Of Marketing Management” - David A.Aaker, George s. Day- “Marketing Research” - Kothari C.R.- “Research Methodology” WEBSITES: •

www.idoub.com/doc/19235366/Dell-Notes-Strategy

•

en.wikipedia.org/wiki/Dell

•

www.alacrastore.com/.../GlobalData_Company_ReportsDell_Inc_Financial_and_Strategic_Analysis_Review-2087-1578

•

www.suite101.com/.../swot-analysis-of-Dell-computers-a92597

• content.grin.com/document/v57007.pdf •

www.grin.com/e-book/57007/the-Dell-company-a-strategic-analysis

Annexure (QUESTIONNAIRE) Q1. Do you have Dell laptop/desktop? Yes (

)

No (

)

Q2. Which model do you prefer? Vostro (

)

Inspiron (

)

n series

(

)

Others (

)

Q3. From where did you know about Dell?

Newspaper (

)

Television (

)

Internet

)

Referral (

)

(

Q4. Are you satisfied with the services of Dell? Yes (

)

No (

)

Q5. What kind of feature attracts you to use Dell products? Model (

)

Service (

Price (

)

)

Q6. Scale your satisfaction towards Dell dealers? Bad

(

)

Good

(

)

Average

(

)

Excellent

(

)

Q7. Are you satisfied with onsite services provided by Dell? Yes (

)

No (

)

Q8. Are you satisfied with pricing strategy of Dell? Yes (

)

No (

)

Q9. Would you like to suggest purchasing Dell laptop to your friends? Yes (

)

No (

)

Q10. Do you think that the promotional strategy of Dell impact on customers? Yes (

)

No (

)

Q11. What is your opinion about Dell? Bad

(

)

Good

(

)

Average

(

)

Excellent

(

)

Q12. Do you think that Dell is related to value for money concept? Yes (

)

No (

)

Q13. According to you what is the market share of Dell? 10% – 20% (

)

20% – 40% (

40% – 60% (

)

60% – above (

) )

Q14. Any suggestions for Dell. ………………………………………………………………………………………

……………………………………………………………………………………… ……………………………………………………………………………………….

Respondent Profile Name:

____________________________

Age:

____________________________

Gender:

____________________________

Occupation: ____________________________ Address:

____________________________

Mob No.

____________________________