Dell, Inc, one of the world’s largest corporations that make a huge success in the online marketplace which is also known as e-commerce. Dell, the company’s name simply comes from the founder, Michael Dell. Michael Dell starts his own business at the age of 19years old. Amazingly, he started up PC’s Limited with just $1000 American dollars in 1984. What come across his mind is that he wanted to sell personal computers directly to the customers and without the third party as an agent. In 1988 PC's Limited had a name change to "Dell Computer Corporation". Guess what? Nowadays, Dell, Inc. had made annual sales of up to $50 billion American dollars.
How Dell, Inc. actually made a success in the world of e-commerce? Dell, Inc. offer a broad range of business line, such as desktop computer systems, laptop, servers and networking products, mobility products, software and peripherals and enhanced services. By selling computer systems directly to customers, it can eliminates retailers that add unnecessary time and cost. By doing so, Dell, Inc. had saved up a huge amount of cost for unnecessary expenses especially the cost of enterprise hardcopy printing.
In addition, Dell, Inc is well known for its continually improving operational performance that will lead the company to a higher level of success. Dell's customer-focused direct business model is a soul of Dell. It has become the culture of Dell to serve their best for customers in unique environment as a team.
Seems Dell, Inc adopts the Just-In-Time systems for the inventory level. Dell also focuses on how to improve the relationships among business partners such as supplier chain for goods/materials, delivery agent. This is to ensure goods/materials are provided on the ground of just-in-time and products can deliver to customer in timely basis.
In order to survive and operating a success business in the world of e-commerce, Dell, Inc. needs to implement its effective e-commerce strategies and manage the supply chain through internet efficiently. The factors of success for Dell are as follow:
· Dell Delivery Service
By buying products from Dell through online, delivery services will be given and reach to customer with just 7-10 working days. Dell, Inc. even provides custom delivery services, which means Dell will arrange the services according to your needs. The services are like scheduled delivery services, pre-delivery services and destination services. Buyer no longer need to worry when delivery arrived can’t able to get it instantly.
· Mass Customized Products
Customers can customize Dell’s products based on different individual needs. For example, individual would like a bigger storage space for his laptop; he can customize/upgrade the hard disk drive through Dell’s website. These enable to meet different customers need and requirement and have the flexibility to scale and adjust service levels quickly.
· Cheaper Price
Dell, Inc. has been save cost due to doing business through internet. It helps Dell to save the cost of shop rental, warehouse, document printing and etc. This has been an advantage for Dell, Inc. Dell manage to offer customer a good quality product with adorable price while customer purchase it through online transactions.
· Customer Service
Due to it is online transaction, buyer will have worries about transaction security, product delivery, warranty and maintenance, before and after sales services and etc. However, Dell had done it well when dealing with customers in this aspect. Dell, Inc. offers an effective online customer service through personalized web pages and the establishment of customer interaction centre. By doing so, there is a direct customer relationship with customers that make them feel confident with Dell’s services.
All this above is the key factor why Dell success in the online marketplace. In these recent years, Dell started to conduct its business in the physical world. The reason is in order to compete in the market and target a new market range of customers which usually purchase product ‘offline’.
References:
http://www.woopidoo.com/biography/michael-dell/index.htm
http://www.dell.com/content/topics/global.aspx/about_dell/company/products_services/prods_servs?~ck=ln&c=us&l=en&lnki=0&s=corp
http://www.fundinguniverse.com/company-histories/Dell-Inc-Company-History.html
http://dspace.mit.edu/handle/1721.1/34778
http://www1.ap.dell.com/content/topics/global.aspx/corp/soulofdell/en/index?c=ap&l=en&s=corp&~ck=mn
http://www.grin.com/e-book/66929/key-factors-of-successful-e-commerce-what-hp-can-learn-from-dell
