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Dell SWOT Analysis

Dell Inc is one of the larges multinational technology corporation that develops, manufacture, sell and support personal computer, laptops and other computer peripherals.

Strength

•    Customer oriented marketing strategies.

•    Well-Known for online selling of Computers.

•    Listed in the fortune 500 companies as the 25th largest company.

•    Dell Company employs more than 76000 thousand people.

•    Provide quality PCs, Laptops and computer peripherals at low price.

•    Low manufacturing cost.

•    Dell offer computers with AMD and Dell processor.

•    Dell has nine of manufacturing plants.

•    24X 7 Customer support.

•    Offer wide range of PC, Server, Laptops, Monitors and LCDs, Data storage devices, network switches and software.

•    Dell built computer on customer provided specifications.

•    Dell always keen to embed latest technology in its products.

•    It has a reliable support and service.

•    The company website at least receives 25 million visits.

•    Efficient Inventory management.

•    Dell became the first company in the information technology industry to establish a product-recycling goal.

Weaknesses

•    Elimination of bonuses in 2006 to increase the company financial performance.

•    Closure of Dell’s biggest call center in April, 2003 terminating 1100 employees.

•    On January 8, 2009 Dell announced the closing of its manufacturing plant in Limerick, Ireland with the loss of 1,900 jobs and the shift of production to its plant in Poland.

•    Dell not able to attract the students of schools and colleges,   this segment earn only 5% of total revenues.

•    Lot of criticism against the Dell’s claim of world’s most secured notebooks.

•    Dell willingly discontinued the “world’s most secure laptops” advertisement after the declaration of the NAD investigation.

•    Dell have no proprietary technology, the currently used technology by dell are shared by the other major competitors.

•    Dell is dependent on its suppliers

Opportunities

•    India, Pakistan and Bangladesh are the untapped markets.

•    Market penetration in education and Government markets.

•    Cost reduction in latest technology.

•    Partnership or acquiring of suppliers.

•    Dell has opportunity to sell computer directly to retailers.

Threats

•    Fluctuation in currency outside US.

•    Major competitors in the market.

•    Most of the countries are hit by recession which may result in the reduction of revenues.

•    Government Policies.

•    Bargaining of Suppliers.

•    Rapid change in technology obsoletes the product in small span of time.

•    Aggressive marketing by competitors.