BUS630- Managerial Accounting
Dr. Jared Eutsler
August 10, 2012
* What is Dell’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operational excellence, or product leadership customer value proposition? What evidence supports your conclusion?
Dell’s strategy “combines its direct customer model with a highly efficient manufacturing and supply chain management organization, and an emphasis on standards-based technology” (Dell, 2005, p. 1). The purpose of Dell’s multifaceted strategy is to be efficient when it comes to manufacturing products and effective when it comes to providing services. Dell feels that their business strategy allows them to “provide customers with superior value; high-quality, relevant technology; customized systems; superior service and support; and products and services that are easy to buy and use” (Dell, 2005, p. 1). Dell also focuses on developing new technologies that incorporate consumer-desired features and capabilities at a highly competitive price. Utilizing feedback from customers, Dell engineers “work with a global network of technology companies to architect new system designs, influence the direction of future development, and integrate new technologies into Dell’s products [which allows them to] quickly and efficiently deliver new products and services to the market” (Dell, 2005, p. 2).
Dell relies on a combination of customer intimacy, operational excellence, and product leadership customer value propositions in order to maintain success in the marketplace. Utilizing the customer intimacy value proposition means that the organization is communicating to the consumer that they understand the needs of the consumer and will respond to those needs better than competitors can or will (Noreen, Brewer, & Garrison, 2011, p. 4). Dell puts this value proposition into…...