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Click to edit Master title style,Click to edit Master text styles,Second level,Third level,Fourth level,Fifth level,*,*,Dell Computer 2000,Prentice Hall,2001,1,Vision Statement,To become the world leader in computer sales for home,office,and university use.,2,Mission Statement Components,1.Customers,2.Products or services,3.Markets,4.Technology,5.Concern for survival,profitability,growth,6.Philosophy,7.Self-concept,8.Concern for pubic image,9.Concern for employees,3,Mission Statement,The mission at Dell Computer Corporation is to first meet the needs and desires of our potential and existing business,educational,governmental,and individual consumers(1).We strive to be the best Computer Company in the world at delivering the best customer experience.The use of our Direct Model enables us to offer high quality computer systems,related products,and support(2)to worldwide markets(3)at competitive prices.Our build to order concept and ability to look forward sets us apart from competitors and allows us several competitive advantages(7).By employing the latest technological advances(4),we are able to fulfill our promise to the market while sustaining high levels of growth,profitability,and liquidity for our shareholders(5).At Dell,we believe in sharing information with suppliers and buyers,sticking to what we do best,and partnering with“best in class companies(6).We understand that a healthy society,environment,and workforce are critical to our success.Every aspect of our business operates to ensure a better quality of life,a healthier environment,and a dedicated,skilled,and satisfied workforce(8,9).,4,Opportunities,The computer industry is expected to grown 15 to 20 percent for the next three to five years,China is a large untapped market and conditions are becoming more favorable for doing business,Many developing countries are increasing the number of telephones and lines,Compaqs U.S.market share fell from 16.8 percent to 15.3 percent,The Internet is becoming essential for business,Compaq derives most of its business from organizational customers,Brazil is a large untapped market that is attractive for computer makers,5,Threats,The major competitors in the computer industry are all placing their focus on the Internet,Competitors are trying to copy Dells Direct Model,Price wars are affecting the bottom line for computer makers,Hewlett Packard and IBM have a strong global presence,Desktop demand is expected to decline in the U.S.,The rebound of memory chip price is taking away some of the advantages of lean inventories,Product life cycles are short in the computer industry,The computer industry is very dynamic,The computer industry is highly competitive,6,Competitive Pro,7,EFE Matrix,8,Strengths,Sales growth for Dell is 42.8 percent compared to 21 percent for the industry and is being experienced in all geographic areas,The companys management is very effective as shown by its ROA,ROE,and ROI,Dell owns its relationship with its consumers and can react to their input quickly,Inventory turnover is 57.53 versus 22.87 for the industry,Dells Direct Model allows competitive advantage,The company has Internet sales of$30 million per day and utilizes the Internet for every aspect of their business,The company carries only 6 days of inventory,Dell is the fastest growing computer company in the industry and holds 17.1 percent of the U.S.PC market share,Dell finished first among 1000 companies in total returns to investors over the past 3,5,and 10 years,9,Weaknesses,The company is not capitalizing on the individual market,Dell has several single source supplier relations and depends on suppliers for all component parts,Dell had a back log of$170 million as of the end of 199(?),Dell operates in one industry segment,It takes 5 to 7 days to receive a computer from Dell,Stakeholders have a very high expectation for growth,Revenues from Asia Pacific and Japan make up only 6 percent of total company revenues,The companys gross margin is 22.11 as compared to an industry average of 33.45,Consumer awareness is low,10,IFE Matrix,11,TOWS Analysis,12,TOWS Analysis continued,13,TOWS Analysis continued,14,SPACE Matrix,15,Grand Strategy Matrix,16,The Internal-External(IE)Matrix,17,Matrix Analysis and TOWS Summary,18,QSPM,19,QSPM continued,20,QSPM continued,21,QSPM continued,22,
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