Dell 's Direct Sales Model Essay
Dells business model is built on integrity and they believe in following the law. They believe that following the law is important to being successful in any business endeavor. Each employee is held to the highest standard when it comes to integrity. The department that handles this is the Global Ethics and Compliance department. This department makes sure that the company stays in line with all government regulations.
The strong belief in ethics connects with the stakeholders of the company too. They also have a strong relationship with ethics organizations. They started the Open Compliance and ethics group, this organization pushes for ethical behavior. Dell’s direct sales model is one of a kind; it goes from the company straight to the user. By doing this Dell can keep more of the profits for themselves and it cuts out the middle man.
This method leaves Dell with a lower amount of inventory because it goes straight to the customer. This has increased Dell’s market share in a short period of time. Compared to a traditional manufacturer who has to forecast what is in demand. Dell takes orders directly from the customer. A traditional manufacturer will…