The paper "Dell’ s Business Strategy " is an outstanding example of a management case study. Dell Inc is among the world’ s leading computer technology corporation. Over the years, the company has experienced tremendous growth and success. Much of the company’ s success can be attributed to its effective business strategy. With time, the computer technology industry has become more competitive and demanding due to continuous improvements and revolution of technology. Nevertheless, Dell has managed to maintain its competitive edge in the market through innovative business strategies (Martinsons 2005; Kraemer & Dedrick 2001). This paper seeks to critically evaluate business strategies employed by Dell Inc.
The SWOT analysis model will be used to analyse the effectiveness of the business strategies employed by Dell Inc. Additionally, this paper will examine Dell’ s strategic leadership. Dell’ s Business Strategy In reference to Waddell, Devine, Jones & George (2007) a business strategy comprises of a cluster of decision about what goals a company intends to pursue, what action the company intends to take and what resources the business hopes to use in order to realise its goals and objectives.
In his article, Jones (2012) examines some of the business strategies that Dell employs so as to enhance its competitive edge in the market. In this article, Jones reports how Dell is launching its new and expanded cloud services in order to enable its clients to choose solutions that will enable them to realise better business results. The new and expanded cloud services will enable the company’ s clients to enhance their security, access real-time storage, utilize large and small workload capabilities and easily access online configurations of their cloud services.
Jones further observes that the new Dell Cloud services are also known as the “ Dell Cloud Dedicated” will provide clients with customised services by assigning each client individual servers which will be coupled with a variety of networking, storage, and managed service options. As a result, customers can take advantage of their private cloud computing and make it their extension data center. Moreover, in order help its clients to effectively develop a cloud strategy, Dell also provides to its customers a portfolio of Cloud Computing Consulting and Virtualization services which incorporate a ‘ Virtualization Readiness Assessment (VRA) model’ , ‘ a Cloud Readiness Assessment (CRA) model’ and a Virtualization Health Check Service (Jones 2012). In addition to this, Dell has also made significant efforts to improve the leadership of the company by recruiting experienced and innovative leaders.
For instance, the company recently recruited Marius Haas, a 20-year industry veteran to head its enterprise solutions. As the president of Dell’ s enterprise solutions, Haas will be responsible for ensuring that the company offers to its customers easy-to-manage and robust data center infrastructures (Dell 2012). SWOT Analysis Jones (2012) provides great insight on the strength, weaknesses, opportunities and threats embedded in Dell’ s business strategy.
A critical look at the article shows that Dell’ s strength is embedded in the strategy of its business model. For instance, Dell’ s cloud services enable the company to directly interact with its customers. Consequently, this has given the company increased advantages over its competitors since the company’ s cloud services provide a platform for increased contact and communication between the company and its clients. Easy communication between Dell and its clients enables the company to effectively respond to the specific needs of its clients thus enhancing customer loyalty.