DELL Case Study Analysis (Marketing) Essay Example | Topics and Well Written Essays - 1000 words

DELL Case Study Analysis (Marketing) - Essay ExampleAt times a key success factor can also be the key vulnerability of a company. In dingles case, it is their over dependency on short line just in time delivery system. All other success factors hinge on this. For example, the low cost, fast delivery, and guest service are tout ensemble dependent upon the efficiency and smooth functioning of the JIT system.While JIT can be a excellent platform to build competitive advantage, it is dependent upon a entertain of other business partners involved within the supply chain. Even If one or two suppliers are affected the whole operation of dingle is vulnerable. As only 4 days inventory is held, this risk is further heightened.Another vulnerability of Dell lies in its dependency on its unique business example of reaching customers directly while eliminating the middle links in its distribution chain. While most companies today look in to innovative distribution structures termed as Verti cal Marketing Systems which integrate the activities of each link in the distribution chain (Armstrong & Kotler 2000), Dell had chosen to do away completely with the distribution chain. Dell unlike other IT hardware and accessory manufacturers does not depend upon retailers and distributors in taking their product to the customers. With its innovative approach to distribution, the company allows the consumers to log on to the Dell Web site and place orders after they configure their PCs as per their own specifications. While this unique business model cuts costs and allows for customer responsiveness and interactive marketing communications with the customers, it will be a less effective channel as Dell enters in to unsophisticated markets, which holds approaching growth potentials. As Dells major US and European markets saturate, the company as other competitors in the industry needs to tap on to emerging markets much(prenominal) as China, India and other developing nations to su pport its growth. However these markets may still not be very sophisticated