Introduction…………………………………………………………………3 2.0 Overview of Industry Life Cycle……………………………………………4 3.0 Literature review of Information Technology………………………………4 4.0 Conclusion for Industry Life Cycle…………………………………………5 5.0 Industry Level Analysis (Dell)………………………………………………6 6.0 Business Strategy……………………………………………………………7 7.0 Enterprise Solutions and service…………………………………………….8 8.0 PEST Analysis of Dell Company…………………………………………...11 9.0 Porters Five Forces of Dell………………………………………………….13 10.0 Stage of Industry Lifecycle of Dell…………………………………………16
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Michael E. Porter explains in his "How Competitive Forces Shape Strategy" that the state of competition in an industry depends on five basic forces: new entrants, suppliers, buyers, substitutes, and industry competitors. In this paper, I analyzed the competition in the personal computer (PC) industry using Porter's Five-Force Analysis. 1. Buyers (strong) Buyers of personal computers are businesses, governments, educational institutions, and individuals. Large businesses, governments, and schools
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Lenovo is the number one PC maker in Chinese PC industry which gained 35.8 percent of market share in 2007. In recent year, it started to operate businesses out of greater China such as Asia Pacific, Americas, Europe, Middle East and Africa. Lenovo’s current pillar strategy is that strive to grow faster and more profitably than the industry by delivering best-engineered PCs and unequaled ownership experience in the global PC market. Since the Lenovo decided to go international, the Europe becomes
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1. Apple did better in its iPod business than it did in its PC business. Explain why. Justify your answer through the application of industry analysis and other strategy concepts discussed in this course. In the early years, Apple focused on manufacturing low cost computers, working together with IBM, cooperating with Novell and Intel to create a new operating system that run on Intel platform. However, these projects had not achieved success until Steve Jobs became the CEO and refocused the original
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PORTERS FIVE FORCES Porter's Five Forces is a framework for industry analysis and business strategy development formed by Michael E. Porter of Harvard Business School in 1979. Porter referred to these forces as the micro environment. They consist of those forces close to a company that affect its ability to serve its customers and make a profit. The overall industry attractiveness does not imply that every firm in the industry will return the same profitability. Firms are able to apply their core
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personal computers. Differentiation is the current strategy position of Apple Inc. There are five main firms in the PC industry and among them; the world’s leading brand is Dell. Apple’s major target is to sustain their present strategic position and to take over the market position as a leader. The key stakeholders include Steve Jobs, employees, lenders and the government. Apple markets Apple’s industries Person computers Person media Africa North/South America Desktops IPad I phone
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c i e n c e . c o m Matching Dell: A Strategic Case Analysis Dan Demers GS 604, Thursday 5:00 – 7:20 Matching Dell : D ell’s Key Strategic Issue s At the close of the case, Dell is presented with two key strategic issues. The first strategic issue facing Dell is the movement of rivals seeking to mimic Dell’s direct sales model, while the second strategic issue is the declining trend in pricing in the Personal Computer Industry and the effects this trend will have on the operations and
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e s c i e n c e . c o m Matching Dell: A Strategic Case Analysis Dan Demers GS 604, Thursday 5:00 – 7:20 Matching Dell: Dell’s Key Strategic Issues At the close of the case, Dell is presented with two key strategic issues. The first strategic issue facing Dell is the movement of rivals seeking to mimic Dell’s direct sales model, while the second strategic issue is the declining trend in pricing in the Personal Computer Industry and the effects this trend will have on the operations and profitability
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CONTENT 1.0 Introduction 1 2.0 Industry Background 2 2.1 Worldwide PC Industry 2 2.2 UK PC Retail Industry 3 3.0 PEST Analysis 5 3.1 Political/Legal Environment 5 3.2 Economic Environment 6 3.3 Social Environment 8 3.4 Technological Environment 10 3.5 Summary 11 4.0 Porter’s 5 Forces Analysis 12 4.1 Rivalry among Existing Competitors 12 4.2 Threat of New Entrants 14 4.3 Threat of Substitute Products 15 4.4 Bargaining Power of Suppliers 16 4.5 Bargaining Power of Buyers
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Five-Force Analysis of PC Industry: Rivalry: (High) There are five biggest PC manufacturers-Hewlett Packard, Dell, Lenovo and Acer and apple. None of them dominates the market. Therefore, the PC industry is not highly concentrated. The PC manufacturers focus on the reduction of cost rather than differentiations of the products. By 2011 PC manufacturers’ net profit margin was 5%(excluding apple). The low profit margin causes the intense competition among the PC manufacturers. The growth of the
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