Dell Essay

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1- Introduction:  Dell is the world leading computer systems company.  The company develops, manufactures, sells, and supports personal computers, servers, data storage devices, network switches, personal digital assistants (PDAs), software, computer peripherals, and certain other products. Dell Computer was founded by Michael Dell in 1984, It was founded by only $1000. The startup aimed to sell IBM-compatible computers built from stock components, and then they began to sell its own brand of PCs in 1985.  From the beginning, Dell operated on the direct sales model, taking orders over the phone, and building PCs to the customers¡¯ specifications.  In 1989, Dell set up its first on-site-service programs in order to compensate for the lack of local retailers prepared to act as service centers.  In 1996, Dell began selling computers via its web site. Case Study:Dell Computer Corporation is a leading direct computer system company. In the United States,Dell ranks number one and is a premier supplier, of PCs to business customer, governmentagencies, educational institutions, and customers. Dell’s success has come from focusing ondirect sales, While other companies ignore this channel, Michael Dell formed the company in1984 the Dollar 1000 of starting capital and venture capital forming what he refer to as theP G Department of Management Studies and Research Center., PESITM, Shivamogga. Page 13 14. Knowledge Management.“direct business”modle. In 1992, direct sale accounted for only 15 percent of PC sale, but by1998 this sale method accounted for one –third of PC sales. Dell’s PCs are build to order, andare enhanced by the knowledge the company gains from direct sale made in the past.Dell has been able to succeed because it strives for quicker operation and lower overhead. Dellkeeps inventory cost low by turning inventory over every seven days on average and can

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