Dell Model

Dell Computer Corporation was founded in 1984 by Michael Dell, on a simple concept: that by selling personal computer systems directly to customers, Dell could best understand their needs, and efficiently provide the most effective computing solutions to meet those needs. From PC to workstation, Dell manufactures every computer system according to the customers?needs. These revolutionary actions made Dell the world-leading computer manufacturer and the second biggest in the industry. In this thesis, I introduce, analyze, and discuss Dell抯 operation and management model, and compare that of DeWs-with that of Legend Group抯 , -the largest domestic PC manufacturer, to find the differences and offer suggestions accordingly. To reach the goals, I analyze the present situation of the PC industry and the modifications of the Dell抯 operation model to suit the marketing in China; further analyze the different processes of the Dell抯 model, introduce the current strategy on different sub-models; point out Dell抯 strengths and weaknesses, and give suggestions accordingly. In this thesis, I introduce three golden rules of Dell, i.e. direct sales, no middle man; always collect customer抯 feedback; and low inventory. I further discuss Dell抯 model in three ways: 1, Direct Model; 2, Build to order and CRM model; 3, SCM model. In the discussion, I describe the advantages of Dell抯 model in the supply chain and value chain. After derailed analysis of Dell抯 model, I compare Dell with Legend according to Chinese PC industry抯 situation so that I can find the strengths and weaknesses of Dell抯 direct model in China, and also try to find the shortcomings of domestic PC companies. This study focuses mainly on purchasing, production, sales, logistics, and service.