Michael Dell's Model Of E-Marketing Strategy In The Dell Company

2174 Words 9 Pages
Dell Company was started by Michael Dell in 1984. After its establishment, it has grown to be one of the industry leaders in the PC industry through its two core strategy: i.e. customer satisfaction and cost lowering strategy. …show more content…
One of them is that, it bypasses retailers and distributors which eliminate the markup profit of the resellers and secondly, it helps Dell to avoid the inventory heavy inventory costs that are required to stick all the manufactured products. Dell believes that its model of e-business policy is applicable everywhere, anywhere and for any customer. Dell has witnessed remarkable success in a short period of time by choosing a strategy of direct business to customer form. Looking at its history, it began selling online in 1996, by 1999 it became the largest manufacturer of computers in industry, its name was changed to Dell Inc. in 2003, CEO Michael Dell resigned from his position in 2003 and again gained back his position in 2007. Therefore in 1992, Dell became successful in putting its name in the list Fortune 500 companies and establishing itself as one of the largest companies in the world. Later in 1993, due to substantial growth, Dell finally was able to place themselves in the top five PC manufacturers in the industry (Rock, 1999). In 2009 it acquired KACE Networks after which the company benefitted a lot from this …show more content…
It integrates different elements that are similar to those of regular businesses but using a unique direct model. Dell’s e-business model is based on penetrating into computer industry, by allowing the choice on the customer end where personal computers are built after the order has been approved and processed through the internet. The two key advantages of e-business model are that the products are customized for customer and the cost of inventory is very less. Looking at the business approaches, Dell was one of the first companies to make e-commerce thorough internet as their weapon strategy to lead them ahead in the competition. Dell's e-commerce business has been very successful since its launch in the mid 1900’s. The company's core strategy of selling over the Internet is what that makes itself unique from other competitors. With its proven success over years, Dell’s e-commerce strategy has dominated the entire online industry and has been admired as well as imitated from many competitors. The e-commerce also integrates the e-marketing strategy which has been very important for Dell. The objective of an e-Marketing Strategy is to establish and create a consistent competitive advantage and improve the overall performance by capitalizing on modern technology and project resources. The e-marketing strategy is necessary to business in order to flourish their attempt of

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