Nobody downloaded yet

Dell, Inc. B2B Marketing - Derived Demand - Essay Example

Comments (1) Cite this document
Summary
B2B Marketing - Derived Demand
Executive Summary
This report has been prepared to specifically meet three aims. The primary aim is to analyse how Dell estimates its derived demand and how this demand impacts the company’s production…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER99% of users find it useful
Dell, Inc. B2B Marketing - Derived Demand
Read TextPreview

Extract of sample
"Dell, Inc. B2B Marketing - Derived Demand"

Download file to see previous pages The final goal is to scrutinise Dell’s marketing channels and design channel strategy for a new market segment.
The major findings reflect that:
• An increase in the derived demand directly leads to a rise in Dell’s production and this concept assists the company to reduce its operating costs.
• The company adopts geographical market segmentation approach
• Dell uses social media as its major marketing channel to interact with its corporate customers.
Introduction
Dell, Inc. is a US-based multinational computer technology corporation which was found by Michael Dell in 1984. The company deals in sales of computers and supports computer related products and services including computer peripherals, computer software, and IT consulting services. Currently, Dell is one of the world’s largest technological corporations and provides employment to over 103,300 people worldwide. Business acquisition is the major expansion strategy of the company and this approach has assisted the company to significantly improve its customer base over the last decade. Currently, the company is the world’s third largest PC maker and it is ranked 41 in the Fortune 500 list. The company also sells other manufacturers’ electronic products including HDTVs, MP3 players, cameras, and printers. Market analysts opine that innovations in e-commerce and supply chain management can be considered to be core strengths of the company. As we discussed in the previous assignment, Dell is a business to business organisation that provides B2B transactions called PremierConnect to its customers. This facility assists the organisation to deliver improved shopping experience to customers. Hardware infrastructure, outsourcing services and ERP are the major components that Dell needs to be supplied to make the company’s PremierConnect services effective. We have already discussed how Dell’s B2B strategies assisted the organisation to add value to its value creation process and sustainability. The concept of derived demand is of vital importance in B2B marketing. This paper will specifically evaluate how Dell estimates derived demand, evaluates business segmentation opportunities, and develops a new channel strategy aligned to one new business segment. Drivers of derived demand Derived demand and Dell’s production In the words of Hutt and Speh, the term derived demand indicates the relationship between “demand for an industrial product and the demand for consumer products”. The authors add that “the demand for an industrial product is derived from the ultimate demand for consumer products” (Hutt and Speh, 2009, p.13). In simple words, an increase in the supply of a specific good or service in turn leads to a rise in the derived demand for production components or raw materials required for developing that product or service. Therefore, this situation would result in an increase in the price of associated components of production. Dell manufactures and distributes an array of computer related products to various retailers. Data indicates that Dell is a potential supplier to many fortune 100 companies (Business Affiliates). Hence, an increase in the supply of any of those companies would indirectly add value to the derived demand for Dell’s production components. Under such circumstances, Dell is forced to supply more production components to its retailers so as to enable them to meet increasing customer needs. Hence, this situation causes to increase Dell’s total production volume. It must be noted that the level of derived demand generated is heavily dependent on the retailer’ ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Dell, Inc. B2B Marketing - Derived Demand Essay”, n.d.)
Retrieved from https://studentshare.org/marketing/1398170-dell-inc-b2b-marketing-derived-demand
(Dell, Inc. B2B Marketing - Derived Demand Essay)
https://studentshare.org/marketing/1398170-dell-inc-b2b-marketing-derived-demand.
“Dell, Inc. B2B Marketing - Derived Demand Essay”, n.d. https://studentshare.org/marketing/1398170-dell-inc-b2b-marketing-derived-demand.
  • Cited: 0 times
Comments (1)
Click to create a comment or rate a document
ti
tillmanseth added comment 14 days ago
Student rated this paper as
At first, I thought 9 of pages is too much for such a issue. But now I see it could not be done better. As the author starts you see the difficulty of the issue. I’ve read all at once. Perfect sample
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
The importance of derived demand in B2B marketing
...Business to Business popularly known as B2B is a commercial transaction that occurs between two businesses as in the example of a manufacturer and a wholesaler (Block & Block, 2005) . The term was coined with the main purpose being to differentiate between electronic communication that was taking place between businesses and consumers. The term has been used mostly to describe the business transactions that take place between two businesses in an online scenario. Therefore, B2B marketing mostly involves sending and receiving mails plus other activities that take place in the online environment. This report seeks to explore the concept of derived demand and...
10 Pages(2500 words)Essay
The Importance of Derived Demand in B2B Marketing (Coca Cola)
...? The Importance of Derived Demand in B2B Marketing Executive Summary The nature of demand can determine the success of products in a particular market. Demand is highly reliant on the purchasing behavior of customers, and it is significant for any organization to assess the demand of customers in order to make appropriate production and marketing decisions. The supply and the demand enable to initiate the market and accordingly help organizations to apply marketing strategies to fulfill customers’ requirements. The report describes the...
10 Pages(2500 words)Essay
Dell Computers Inc
...? Dell Inc. in 2008: Can it overtake Hewlett-Packard as the Worldwide Leader in Personal Computers? Dell is a global company that delivers products and services in more than 190 countries and over 40000 employees who live and work on six continents. The company deals in enterprise computing products, desktops, monitors, printers, notebooks, handhelds, software and peripherals with a focus on fully integrated improved environmental performance into business. The company had gone through many ups and down from its inception in 1984 and has to face many challenges and competitions to stay ahead in the market (Kolter and Lee, 2008). This paper strategically discusses the fall and rise of Dell Inc from 2007 to 2008 and to compare Dells strategy... with...
8 Pages(2000 words)Essay
B2B Marketing Essay
...consumers who by the product as the finished good and not for the intent of reprocessing or resale. B2B: On the other hand, B2B refers to marketing focused on the corporate clients who buy the goods to add value to it and re-sale. We can differentiate the marketing of an individual consumer and that of a corporate consumer on following grounds: Demand Business do not purchase to satisfy their own needs, rather they demand what is required to fulfil the demands of their (business consumers') customers. Thus, business buyer demand is derived demand. It means that there is an impact...
4 Pages(1000 words)Essay
Dell Inc
...As Dell Inc works to salvage its place in the computer marketplace, the use of Porter's five forces can be a valuable tool. The analysis breaks down the market forces which act on a company into individual components to allow the company to evaluate it's response to each, and develop plans and strategies to respond to the rapidly changing marketplace. For Dell, this process is becoming imperative if the company wants to re-secure its position of dominance which it held during the early 21st century. As the company considers porter's five forces, the Force of Buyers exerts less pressure on the company than the other four. The force of the buyer revolves around the relative strength...
3 Pages(750 words)Essay
B2B Marketing
...into small groups. *Increase in business through the introduction of B2B. Capturing global market as a growing market opportunity with some of the countries by the implementation of B2B. *Clear understanding of the customer's perception through a double looped information system. * Failure to update the system according to the changing technology. *Increase in the cost of production due to increase in the cost of raw material. Business to Business (B2B): "Although the business-to-consumer (B2B) market grabs more of the news headlines, the business-to-business (B2B) market...
10 Pages(2500 words)Essay
B2B Marketing
...Business-to-Business (B2B) Marketing How does business market management differ from consumer packaged-goods marketing? Business-to-Business (B2B) marketing takes place between businesses in contrast with consumer marketing which businesses conduct to attract individual consumers. Thus, in B2B marketing, both parties are profit motivated whereas consumer packaged-goods are designed to be consumed for personal use. Strictly, the other business may also ‘consume’ the good in a sense but the goods are usually used in a process, which may eventually lead to further marketing later on....
2 Pages(500 words)Essay
B2B Marketing
...1. Why is it important to make your new products’ realisation strategy market-driven? In highly competitive market environments organizations need to place extensive efforts towards conceptualizing, designing, developing and marketing products or services that address strategically and effectively to the market demand while at the same time offer competitive edge to the enterprises themselves. New product realization is a rather complex process that involves more than the development of an innovative product, but pertains predominantly to the entire procedures that relate to initiating, conceptualizing and eventually developing the new product (Chakravarty, 2001)....
6 Pages(1500 words)Essay
B2B Marketing
...B2B Marketing: Eight Creative Solutions Ltd. Table of Contents Introduction 3 Marketing Mix 4 Relationships and Networks 8 Challenges 10 Conclusion 12 References 14 Bibliography 16 Introduction Richard Henderson and John Stewart were the founders of the Eight Creative Solution Ltd (ECS). It is a Cambridge based company which is established in 1995 .It is basically a service agency which deals with advertising, online marketing, direct marketing, public relations and website development. ECS has four department and these are accounts department, creative service, media service and the marketing services. ECS has been segmenting their target...
10 Pages(2500 words)Essay
Dell Inc Paper
...Dell Inc: Case Study Dell Inc: Case Study Why does L5 incur higher manufacturing and logistics costs than L6? Identify costs incurred by L5 and not by L6. Identify any costs incurred to only L6 and not L5. From the Dell case study, it is clear that the L5 (Level 5) manufacturing leads to higher manufacturing and logistics costs than L6 (Level 6). The increase in the L5 manufacturing costs can be attributed to the Dell’s weakness in providing motherboards to contract manufacturers in a timely fashion. As the case writers Simchi-Levi. Kaminsky and Shankar (2008) point out, number of factors including chipset supplier decommit issues, engineering...
3 Pages(750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic Dell, Inc. B2B Marketing - Derived Demand for FREE!
logo footer
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • StudentShare App Store
  • StudentShare Google play
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • Miscellaneous
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us