Dell Computer Corporation Dell Computer Corporation since its arrival in the computer manufacturing business has been following the “Direct Model” that has helped it to leverage its position as a leading manufacturer of PCs. When Dell entered the PC manufacturing industry there were already established competitors like IBM, HP, COMPAQ, Gateway and Apple.IBM was the pioneer with respect to technical standards in the PC industry and also had an open architecture allowing developers to build applications
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Memorandum To: Dawn L. Konicek CC: Date: 3/10/2014 Re: ACCT 3324 First Case Confidential 1. A. Because the developing of company is very fast, the company does not use an appropriate way to change it’s accounting rule. The company does not accurately reflect its business store and liability. The company can use some accounting rule to correct these mistakes, such as revenue recognition, amortization of revenue and vendor reimbursement agreements. B. There are some honest mistakes to
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GRADUATE SCHOOL OF BUSINESS STANFORD UNIVERSITY CASE NUMBER: EC-17 November 2000 DELL DIRECT1 In 1995, a manager from a leading Japanese computer company was recounting his company’s plans to conquer the US Personal Computer (PC) market: “We have a strong brand name in consumer electronics, and what’s most important, we build many of the components that are needed in the PC ourselves: monitors, audio equipment, CD-ROM, DRAM, and so on. This will give us a tremendous advantage over American competitors
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good or a bad thing depending on the situation at hand. On one hand, it shows a measure of the Dell’s efficiency and its short-term financial health is in a good place. One the other hand, it could indicate that there is too much inventory. In this case, the inventory is never kept at a high volume, so we can say that the increase in working capital is a good thing. Now, we need to look at the percentage change for each current asset and each current liability in comparison with the increase in the
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Dell Case Study 1. What has made Dell successful to date? * Successful driver: 84% of orders and shipped within 8hrs, 5days inventory, reduced vendor from 200-25, internet created supply side efficiency, lower operating cost 1. Economic Condition: * The millennium effect * Strategic decision to leave the retail channel to directly interact with customers helped the mass customisation as well as the preserve of the profit margin * Followed the trend that Intel &
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Introduction and Company background The purpose of this case study is to analyze the new product scenario and provide a written report. Dell Computers was founded by Michael Dell in 1984 and has its head offices in Round Rock, Texas. (Benedetto, 2012, p. 165) Michael Dell has a very simply philosophy, selling computer systems directly to customers, Dell could best understand their needs and efficiently provide the most effective computing solutions to meet those needs. This direct business
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Dell Case Answers 1. Dell built the computer systems after the company received the order. Dell focused on adopting a just in time inventory system that allowed them to keep their work in process and finished goods inventory between a 10-20% range. Their competitors had work in process and finished goods inventory between 50 to 70%. Dell’s supply of inventory was much lower than its competitors, which gave them a competitive advantage. Dell only had parts or raw materials in their inventory.
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DELL COMPANY Our VisionTo help our clients meet their goals through our people, services and solutionsOur MissionInfosys International Inc. is dedicated to providing the people, services and solutions our clientsneed to meet their information technology challenges and business goals. • Work to understand the needs and requirements of our clients before proposing a solution • Develop responsive proposals that provide cost-effective solutions to our clients needs • Deploy the right mix of people
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“three golden dell rules”: Firstly ‘never sell indirect’, which is related to the direct sell model of Dell. This system is unique in the Computer Business and gives Dell an advantage on the market. The customer can get a customized computer, which is assembled related to the customers’ needs and order. Secondly ‘disdain inventory’, which is about the little amount of inventory in Dell and a good relationship to its high quality suppliers. Through the “assemble-to-order” system at Dell, they don’t
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EXECUTIVE SUMMARY This paper aims to discuss and analyze the possible alternatives of Dell Computer Corporation in funding its future growth and expansion from the point of view of its top management. Given the company’s financial statements, projected growth in sales, and its working capital financial ratios, this paper forecasted Dell’s balance sheet and income statement for 1997 to trace the external fund needed, if any, and which type of funding is most optimal to fund its future operations
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