Opportunities That Exist For Dell Inc Business Essay

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In 2007, Dell companies have gained many new companies, projects and also long-term plans to further acquisitions in the future. Dell made a deal for the private sector Silverback Technologies in July 2007, to provide services through the provision of a platform for the management of infrastructure for IT and remote monitoring devices such as notebook computers, desktop servers, networks and storage. The following month, made ZING systems an agreement with Dell. This agreement allows Dell to use the capacities ZING continue to improve entertainment experience that offers its customers (Datamonitor 2008).

performance and optimal solutions in default ISCSI Storage Area Network (SAN), and this would strengthen the Dell product and channel leadership in simplifying and IT solutions for clients at the global level, ISCSI SAN knowledge and technology the fastest growing part of the business volume. As well as at the same time, Dell completed a deal with the Express Company for the services of licensing, as soon as possible, software and software solutions and asset management.

In December 2007, Dell has signed an agreement to acquire the privately held with Everdream, a large provider in the field of software-as-a Service (SaaS) that is solutions and managed services from a distance and acquisitions Everdream are a key element in the strategy of Dell simplifies IT (Datamonitor 2008).

Expanding PC market

In 2006, total revenues to 163.8 billion U.S. dollars in world markets through the computer, and compound annual growth rate (CAGR), representing some 7.3% in the period 2002-2006. In comparison, the market grew at an annual growth rate to reach 9% and 5.1% in Europe, Asia and the Pacific, reaching the value of each to $ 62 billion and $ 41.1 billion between 2002 and 2006 and also, increase the size of a CAGR of 10.8% in the period from 2002 to 2006 the consumption of the market, in 2006, achieving a total of 184 million units. It is expected to grow to market size of 260.8 million units in the year-end 2011 and annual growth rate of 7.2% in the period between 2006 till 2011 (Datamonitor 2008).

In 2006, the total revenues of 123.1 billion dollars, equivalent to 66.9% of its value in the public markets for sales of the desktop, although the sales of laptop computers of the total income of $ 60.9 billion, representing a 33.1% of market revenue share.

At the same time, it is expected to increase market performance in Europe and Asia-Pacific markets with compound annual growth rates would go up by 6.1% and 5.4% respectively, during the same period, up to the values for each of the 83.5 billion also $ 53.5 billion in 2011. It is expanding the market for the computer by allowing the company to enhance the overall revenue base (Datamonitor 2008).

New retail agreements

Dell company entries of new agreements for retail customers to enable greater access obtain Dell products. In September 2007, Dell is entering into partnership with GOME, the largest distributor of consumer electronics in China, which allows Dell to sell products to many buyers in the computer store. Also in September 2007, Dell opened its first store in Russia retail sale.

In October 2007, Dell signed a deal with Staples, which means giving consumers options for the purchase of a wide range of Dell desktops, laptops, printers, ink, toner and observers in 1,400 Staples stores. The company has signed an agreement in November 2007, with a group Carrefour, and became the first trader to sell a comprehensive desktop computers and mobile in Europe. This agreement allows consumers to purchase Dell products in 365 Carrefour Group. In January 2008, the company achieved in the retail trade agreements with the DSG as well as dell made agreement with Tesco, the retailer with international operations in Asia and Europe (Datamonitor 2008).


Counterfeit goods

Serious threats to the Dell in the market segments of contraband goods, and the black market in 2006, a significant increase in counterfeit products on the black market and smuggling of goods made in China and Hong Kong, where the total value of goods via mainland China and Hong Kong, a significant increase 96.3% to $ 125.6 million in the mainland, and 61.9% to reach 9.4 million  in Hong Kong, although the products on the black market of lower quality in most cases is much cheaper and which affect the income of the company's long-term (Datamonitor 2008).

The WEEE and ROHS directive

At the beginning of August 2005, the EU market to be fiscally responsible for the implementation of its obligations under the WEEE legislation. Which makes producers of electrical goods, including computers, printers, and financially responsible for the disposal and treatment, and the collection and recycling of electrical product in the past and the future. In December 2006, the Parliament of the United Kingdom to introduce a bill to implement the Waste Electrical and Electronic Equipment (WEEE) Directive, however, the United Kingdom in January 2007, entered into force. In addition China in February 2006, issued a regulation to combat pollution (Datamonitor 2008).

And Dell and non-compliance with new environmental legislation can lead to great responsibility and fines. In July 2006, and the reduction of hazardous substances (ROHS) Directive in an effective manner in order to impose restrictions on the use of Dell six hazardous materials, this material is used to produce various kinds of electrical and electronic equipment, which means that the complexity of purchasing and product design(Datamonitor 2008).

Economic deceleration in the Euro zone and United States

According to the Organization for Economic Cooperation and Development (OECD) in the economic field in the euro area and the United States and are the most important market for Dell. Is expected to slow in 2008 due to the recent turmoil in financial markets, in 2008, is expected to International Monetary Fund (IMF) of the United States economic growth to reduce from 0.9% to 1.9% for the slow growth in the euro zone to 2.1%, as well as reduced growth in the United Kingdom, between 3.1% in 2007 to 2.3% in 2008 (Datamonitor 2008).

Economic slowdown in the euro area and the United States could lead to a reduction in spending on information technology, and this negative impact on demand for Dell products (Datamonitor 2008).

SWOT Analysis-Dell

The Internal factors S & W for Dell Company.

The External factors O & T for Dell Company.

4.2. The Internal MICRO Environment

Micro-environment, an area in which they interact in the organization is often on a daily basis, and any change in the microenvironment can affect the organization very quickly, sometimes very large, and is more regulation, and microenvironment composed of an impact on the competitive environment (Stonehouse, Hamill, Campbell and Purdie, 2000).

Porter's Five Forces model was used to analyse the internal micro environment.