History of Dell Company Case Study

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Introduction

This is an American company that specializes in making and selling of computers and other related products. It was founded by Michael Dell in 1984 who is the current chairman and the Chief Executive Officer. Today, this company is one of the largest manufacturers of computers.

Organizational Structure and Controls

In order to continue growing, Holzner (2006) argues that Dell has acquired other companies such as Alienware and Perot Systems. He claims that this has been a strategic move to increase its production and thus improve on its revenue. The company has diversified its production. He says that the company has ventured into the production of printers, scanners, notebooks and servers.

According to Treacy (2004), the company is run by a group of nine directors. He says that the nine board members are elected by the shareholders during the company’s annual general meeting.

To improve on its management, he has observed that the board members have established committees that are dependent on each other. They include Finance, Audit, Compensation, Governance and Nominating and also the Antitrust Compliance Committee.

In order to make its presence felt in different parts of the world, Holzner (2006) has stated that the company has its representatives in different parts of the world. He says that these people act in the capacity of Vice Presidents.

SWOT Analysis

Strengths

The company has managed to eliminate retailers in order to sell its products to consumers direct. This has lead to increased sales of its products. In addition, Dell is a brand known all over the world. As a result, marketing it is not a difficult task.

Weaknesses

The company has in the past dropped some products from its product line due to faultiness. This causes a decrease in sales to an extent that some customers opted for other brands at its expense. To regain the lost customers is a challenge to the company and hence a major weakness.

Opportunity

The company has an opportunity to open other plants in other parts of the world to minimize the costs involved in shipping finished products. The company has a good reputation worldwide. As a result, it has an opportunity of extending their product line and brand worldwide.

Threats

There are other companies engaged in a similar business as Dell. Therefore, unless the company keeps on improving its technology, others such as Acer, HP, and Apple will out do it.

Conclusion

Dell has not been in existence for a long time as most of her competitors. However, she has managed to challenge them to become one of the leading companies in the manufacture of computers and other related goods.

Reference List

Holzner, S., 2006. How Dell does it. Philadelphia: McGraw Hill.

Treacy, M., 2004. Double-digit growth: how great companies achieve it– no matter what. New York: Penguin.

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