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Strategic Objectives Being Pursued by DELL and the Competitiveness of DELL - Case Study Example

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The paper 'Strategic Objectives Being Pursued by DELL and the Competitiveness of DELL" is a good example of a management case study. This analysis is a crucial case study of the tactical decisions being carried out by DELL Inc. via its strategic objectives. Founded in Round Rock, DELL is a global information technology corporation that presents an extensive range of product types including software, servers, PCs, mobility commodities…
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Executive Summary This paper analyzes the strategic objectives being pursued by DELL and the competitiveness of DELL. The paper first traces the history of the company and its position in the current market. It then analyzes the strategic environment of the company using the PESTEL and Porter’s Five Forces Model. Other critical areas in the paper include the strategic directions and objectives being pursued by the company, the broad business strategies, strategic implementation and issues. These parts are crucial for this study as they give a wider analysis of the overall objectives of the company, core competencies, marketing strategies, and relationships with stakeholders, among other issues. One core competency of the company, as analyzed in the paper, is the company’s low cost strategy. In line with being an incorporated cost leader, the company creates high value PCs through their direct business model and vends them straight to the clients. The paper also conducts a strategic evaluation of the company, through triple three bottom-line reporting, so as to analyze its position from an economic, social and environmental perspective. After each section, there is a brief conclusion that highlights the key points discussed in that area. Finally, a broad conclusion that summarizes the key points discussed and offers recommendations is presented. Table of Contents 1. Introduction …………………………………………………. 6 2. Strategic Analysis …………………………………………… 7 2.1 External Environment Analysis ………………………………………. 7 2.1.1 The General Environment ……………………………………………. 7 2.1.2. Specific Environment Analysis ………………………………………. 9 2.1.3. Conclusion on External Environment Threats and Opportunities …… 12 2.2 Internal Analysis ………………………………………………………… 12 2.2.1 Core Competencies …………………………………………………… 13 2.2.2 Sustainable Competitive Advantage ……………………………...…… 14 2.2.3 Internal Weakness ………………………………………………..……. 14 2.2.4 Conclusions on Internal Strengths and Weaknesses ……………...……. 14 2.3 Conclusions about Organization’s Competitive Position in its Market …... 15 3. Strategic Directions and strategic objectives ………………………. 15 3.1 Vision ………………………………………………………………….….. 15 3.2 Mission …………………………………………………………………… 15 3.3 Strategic Objectives ………………………………………………………. 16 3.3.1 Ethics Position ………………………………………………….. 16 3.3.2 Stakeholder analysis and table…………………………………. 16 3.4 Conclusions on Organization’s Strategic Directions and Objectives …….. 18 4. Strategic Choice: the broad Business Strategies Pursued .................. 19 4.1 Ansoff’s Product Market Strategies ……………………………….……... 19 4.2 Miles and Snow Business Level Adaptive Strategies……………………. 19 4.3 Porter’s Competitive Business Level Strategies ……………..…………… 20 4.4 Business Level Strategies ……………………………….………………. 20 4.5 Conclusions on Broad Business Strategies being pursued to achieve Objectives ……………………………………………………………………………… 21 5. Strategic Implementation …………………………………..……. 21 5.1 General Perspective ……………………………………………………. 21 5.2 Evidence of Strategic Flux ……………………………………………… 21 5.3 Boston Consulting Group (BCG) matrix ………………………………. 22 5.4 Second Curve Activity ………………………….……………………. 23 5.5 Conclusions on Organization’s Overall Implementation of Business Strategies ………………………………………………………………………………. 23 6. Strategic implementation issues ………………………...………. 24 6.1 Leadership ……………………………………………….... 24 6.2 Innovation ……………………………………………………. 24 6.3 Technology ……………………………………………..…. 24 6.4 Conclusions on Strategic implementation Issues …………… 25 7 Strategic Evaluations …………………..………………………….. 27 7.1 Tipple Bottom Line Reporting ……………………………………….... .. 27 7.1.1Economic ………………………………………………………….…... 27 7.1.2 Social …………………………………………….……………………. 27 7.1.3 Environmental ………………………………………………………... 27 7.2 Conclusions on Strategic Objectives ………………………………….. 28 8 Conclusions………………………………………………………. 28 9. References………………………………………………………. 31 10 Appendices…………………………………………………….... 35 Dell Case Study 1. Introduction This analysis is a crucial case study of the tactical decisions being carried out by DELL Inc. via its strategic objectives. Founded in Round Rock, DELL is a global information technology corporation that presents an extensive range of product types including: software, servers, PCs, mobility commodities, storage, networking commodities and other services (Holzner, 2006). DELL Inc. is the leading provider of personal computer systems in America and the second supplier internationally. DELL Inc. was established in 1984 by Michael Dell, with the notion that private computers could be made and vended directly to consumers. The corporation is among the biggest firms in the globe, providing work for above 103,300 persons. The total revenue for the corporation in the second quarter of the year was $15.5 billion, which was a 22% raise from the previous year, 2010 (DELL, 2011). At the same time, the operating income raised to $745 million, which was an increase by 11% and the net income raised by 16 % to $545 million (DELL, 2011). Generally, the corporation is visibly making some grim money, although the best part of it is coming from project services and sales. DELL’s trade in developing nations has continued to grow swiftly, with overall revenue from Russia, India, Brazil and China accounting for 12% of Dell’s total revenue (DELL, 2011). 2. Strategic Analysis 2.1 External Environment Analysis 2.1.1 The General Environment In assessing strategic surroundings, the Porter’s five forces and PESTEL are employed so as to establish some aspects which control the tactical macro-environment. PESTEL Analysis In order to evaluate the general surroundings as well as the main prospects and risks to Dell Inc., PESTEL was utilized. A key emphasis was laid on main tendencies against Social, Economic and Technological realms (Spulber, 2007). Opportunities Social This part deals with the feelings and cultural principles of a community. Internet development latent is massive globally, allowing alien PC firms such as DELL the chance to develop into a novel market (Duane & Michael, 2008). PC firms must admit that in several communities, people are uncertain about card transactions as of the vast outlays of PCs. DELL is forced to venture in personal operations or home to in order to win clients trust in its products and corporation. Threats Economic This describes the makeup and course of market whereby a corporation contends or can contend. The setback of the software piracy is one chief threat that DELL encounters (Holzner, 2006). Besides, some countries that DELL operates in lack skilled labor, despite having lots of economic opportunities (Ignatiuk, 2009). In addition, DELL has to concede that very few normal consumers own bank accounts and most of them go for the cheapest computers. Technological This section entails establishments, in addition to, tasks implicated in making novel understanding into goods, resources and processes. In the computer sector, Technology is very first in PC business. The challenge here is that other firms may come up with new enhanced products, thus causing stiff competition. 2.1.2 Specific Environment Analysis Porter’s Five Forces Model Buyer Power &Rivalry In the computer business, the bargaining power of buyers is a vital feature. The buyer part is usually powerful in most countries as PCs are so costly that customers do their best to acquire the finest transaction for the most reduced cost (Schwenk 1984). Due to the cost reserves got by eliminating the middle person; DELL thinks it is capable of vending PCs at reduced charges than its rivals (Carpenter & Karl, 1989). Given that other corporations are able to present computers at reduced costs; this could intimidate the price-conscious mounting customer base of DELL. Rivalry is stiff in the computer economy. The key competitors of DELL include Apple and HP (Ignatiuk, 2009). A public supported PC firm, Legend, is the market head in China. Other alien companies include Compaq, IBM and Hewitt-Packard. Triumph requires alien firms to collaborate with these firms to obtain market access and distribution-channel even as they run their own sovereign subsidiaries (Ferrell & Michael, 2011). 2.1.3 Conclusion on External Environment Threats and Opportunities A key opportunity of DELL’s external environment is the rapid growth of the internet, allowing alien PC firms such as DELL the chance to develop into a novel market (Ignatiuk, 2009). Software piracy, lack of skilled labor in some countries and rapid growth of technology are some of the external environment threats that DELL encounters. Buyer power and rivalry also poses a threat because other corporations are able to present computers at reduced costs (Spulber, 2007). 2.2 Internal Analysis In the examination of the internal atmosphere the core competencies, sustainable competitive advantage and the weaknesses of Dell Inc. have been explored. Strength 2.2.1 Core Competencies DELL’s low cost strategy is their core competence (Spulber, 2007). In line with being an incorporated cost principal, DELL too creates lofty value computers and trades them straight to the clients through direct business model (Holzner, 2006). DELL has lots of possible prospects, for example, prospective expansion in foreign economies. DELL offers this approach to establish the computer of the client’s desires and savor. This is the most vital and crucial victory factor at the back of DELL computers (More details in table 2 in appendices). Employees DELL has about 103,300 workers around the world (Holzner, 2006). The company has numerous computer systems in localities such as Nashville, Texas and Austin (Ignatiuk, 2009). DELL regularly carries out training for all its workers so as to lessen absenteeism and human faults. Brand Value Dell has a well-built administration and an excellent brand name understanding and recognition. 2.2.2 Sustainable Competitive Advantage All core competencies provide DELL Inc. a Sustainable Competitive Advantage (SCA). The direct sales model is an exclusive podium that is only presented to DELL clients. 2.2.3 Internal Weakness Providentially Dell Company does not have too many internal weaknesses. The greatest challenge that the company faces, according to Michael Dell, is the ability to get hold of qualified persons who will ease the growth of a stronger hold in the global market (DELL, 2011). Also, the CEO majorly focuses on the internal growth of the company, making him to have less time to catch up with the emerging external competition. 2.2.4 Conclusions on Internal Strengths and Weaknesses The core competence of DELL is its cost strategy (Ignatiuk, 2009). Through offering products at reduced costs, the company is able to attract many customers. The direct sales model, personnel training and brand value forms other competencies for the corporation. Conversely, the company has some internal weaknesses including the ability to get the right personnel and the ability of the CEO to catch up with emerging external competition. Fig 1 Summary of core competencies and competitive advantage 2.3 Conclusions about Organization’s Competitive Position in its Market Despite the many threats that DELL encounters in the market, it competes well with its main rivals, Apple and HP. This can be attributed to its core competencies of cost strategy, direct sales model and brand value. The fact that the company lacks very many internal weaknesses makes it to maintain its position as a leading PC firm. 3. Strategic Directions and strategic objectives 3.1 Vision DELL’s vision is to do business in the right way, interacting well with the society and considering the consumer’s needs, the prospect of technology, and the international business environment (DELL, 2011). 3.2 Mission Statement The mission of DELL is to emerge the most victorious PC Corporation in the globe by providing superior products, excellent services, and the best client experience at the finest value (DELL, 2011). 3.2.1 Summary of Vision, Mission and Ethics Statement The mission and vision statements of DELL Inc. are allied with the customs of the corporation. The company is committed to social corporate responsibilities around their environment 3.3 Strategic Objectives 3.3.1 Ethics Position Corporate accountability at DELL is about indicating through action the ethics of corporate nationality. The company incorporates social, economic and environmental accountability in all their activities. The company also that diversity remains so that their personnel mirror their customers (Lucas, 2003). Dell seeks to build the right associations with its clients, shareholders, suppliers, workers, societies and other stakeholders. 3.3.2 Stakeholder analysis and Table Firms must pay attention to definitive stakeholders and appreciate the wants of other stakeholder groups (Merrill, 2010). Therefore, strategic objectives are required to match stakeholder desires. Customers’ needs are being met by providing high quality products. Shareholders become contented, as the market situation of DELL stays sturdy, having huge capital and assets and no arrears. Workers needs are satisfied via a well-built company background which provides education courses, fine pay and occupation progression (Spulber, 2007). DELL is endeavoring to satisfy environmental groups by introducing recycling projects and managing their carbon footprints (Pearce & Robbins, 1989). Stakeholder Analysis Table Stakeholder Critical Factors Salience Stakeholder demands/needs that must be satisfied Strategic objective(s) to address stakeholders demand(s)/need(s) Employees Power Legitimacy Urgency Definitive Adequate remuneration Education and Training Career advancement Recruitment of brightest minds Protection of intellectual profit Customers Power Legitimacy Urgency Definitive Innovative products Demand for quality products Generate customer loyalty and demand First to market Strong marketing Environmental Groups Power Legitimacy Urgency Dominant Recycling Raw material selection Suppliers Authenticity Flexible Continued association Partnership Apparent prospects Growth of performance founded deals Quality assurance actions Shareholders Control Authenticity Urgency Ultimate Economy expansion Fresh commodities Profit intensification Bankers and other supporters Authenticity flexible Income on ventures Elevated earnings per share Arrears diminution effectiveness Economy share Increase in returns Debt reduction This table shows how various stakeholder groups’ needs are met by DELL Company. These stakeholder groups include: customers, employers, financiers, shareholders, suppliers and environmental groups. 3.4 Conclusions on Organization’s Strategic Directions and Objectives There exists an association between strategic objectives and stakeholder demands. So as to meet its strategic objectives, DELL incorporates social, economic and environmental accountability in all its activities. In this way DELL is able to address the needs of every stakeholder group. 4 Strategic Choice: the broad Business Strategies Pursued 4.1 Ansoff’s Product Market Strategies Dell pursues a product development strategy (WallacE, 1992). Indeed, DELL has eight original design manufacturers (ODMs) in many regions, five international disseminated design centers and several remote team affiliates all contributing to the drawing and expansion of its industry-leading hardware policies (Courtney, 1997; Ogilvie, 1998). The company is challenged to remain innovative so as to maintain its position at the forefront of its rivals. The S-curve demonstrates that expertise has utmost effect at the prelude stage although it levels eventually, thus creating a requirement for another innovation arc (Ansoff, 1957; Moussetis, 2011). 4.2 Miles and Snow Business Level Adaptive Strategies DELL Inc. is classified as a prospector in reference to Miles and Snow’s model of business-level adaptive strategies (Miles & Charles, 1978). A prospector is usually a leader, set to endure threats in a vibrant surroundings and tracking lofty expansion (Teece & Adams, 1997). DELL, being inventive and lithe, generates uncertainty as well as economy shifts, which compels rivals reactions in an evolving and extremely impulsive atmosphere. 1st curve PC 2nd curve Enterprise Solution Prospector Analyzer Defender/Reactor Analyzer Fig 2.Miles and Snow Business level Adaptive Strategies (Miles & Charles, 1978) 4.3 Porter’s Competitive Business Level Strategies Consistent with Porter’s competitive business level strategies DELL employs an incorporated cost control and differentiation plan (Boeker, 1997). This implies that DELL can borrow core competencies athwart business units and create goods with diverse features at reduced costs. Dependence on a reduced cost plan does not denote reduced pricing in this case. DELL appreciates the worth of its brand, and this enables DELL to charge a top price for its commodities (Hitt & Robert, 2010).The control over suppliers has resulted to decreased costs in fabrication. 4.4 Business Level Strategies International strategies involve combining and implementing core competencies into an SCA in selected foreign markets (Kim & Robert, 1997). DELL is pursuing a global strategy with focus on standardization of goods and economies of scale. A universal approach is deemed to be of minor risk as it necessitates no investment into fashioning goods into restricted economies (Knight, 1921). DELL as well owns a distinctive form of supply chain management, which enables it to make sales directly to consumers. 4.5 Conclusions on Broad Business Strategies being pursued to achieve Objectives Considering Ansoff, Miles and Snow and Porter’s business level strategies (Ansoff, 1957), it is explicit that DELL is working on product development quadrant described as a ‘prospector’ and following a joint strategy of cost leadership and differentiation and so as to attain its strategic objectives. DELL assumes a global strategy (Spulber, 2007), therefore creating a room for cost efficiencies and dependence on standard goods for its international markets. 5. Strategic Implementation 5.1 General Perspective The industry functions in an elevated state of turbulence. Such an atmosphere is subjugated by swift change and is extremely competitive (Rindova & Chris, 1999). Strategic objectives in such a location imply that it is important to make swift implementations and stay alert. Employing the distinct model of supply chain management made DELL a super industry for some time, though recently Dell’s profits and shares have dropped considerably from their peaks (Baum, 2003). 5.2 Evidence of Strategic Flux The corporation seeks to provide enhanced business products and services (Eisenhardt, 1990). DELL also plans to present broad IT outsourcing, similar to its competitor’s at IBM and HP. This will ensure that the corporation is able to protect its brand by solving the rising number of complains staged by clients. Again, this will enable DELL to raise revenues, through revolving its services offered to customers’ profits. Fig 3 Evidence of Strategic Flux/Drift at DELL (Adopted from Hong et al., n. d.) 5.2 Boston Consulting Group (BCG) matrix BCG postulates that it is possible to categorize business components of a firm into four classes by merging market shares and market growth corresponding to the prime rival (NetMBA, n.d). This postulation is usually true due to the incident curvature which explains that practices result towards reduced fabrication expenses. Hence, DELL is able to augment its gross earnings and constant expansion. Fig 4 Adopted from (NetMBA, n.d.) In the BCG matrix, DELL location is amid the ‘cash cow’ and the ‘star’. DELL is a star actor since it demonstrates elevated productivity via lofty market share plus growth (Ignatiuk, 2009). 5.3 Second Curve Activity Dell has revitalized the S curve by fruitfully redefining its markets. The company has effectively morphed to an electronics dispenser from a PC provider by pulling its core competencies in distribution, supply chain management and customer satisfaction well past the initial PC product line (Ignatiuk, 2009). This has significantly extended the duration of high revenue growth for the corporation. Fig 5 An Illustration of DELL’s Second Curve Activity 5.4 Conclusions on Organization’s Overall Implementation of Business Strategies There is evidence of strategic flux at DELL. The corporation plans to enhance its business products and services. Moreover, DELL is located in the BCG matrix at a position in between the ‘cash cow’ and the ‘star’. The company is a star actor as it demonstrates elevated profitability via lofty market share and growth. Lastly, DELL is in steady second curve activity, as a modernizer in a fast shifting and turbulent market. 6. Strategic implementation issues 6.1 Leadership At present, DELL uses transformational management approach (Quinn, 1980). Michael Dell utilizes this specific approach of management by motivating workers to go beyond their self-interests and labor for the whole good of corporation. Leaders at DELL are usually encouraged to get to the numbers while winning their people through inspiration and unique leadership (DELL, 2011). This entails incorporating the heart of DELL into their management styles by use of an exclusive development program, related to definite competencies. Dell deems that at the heart of a thriving leadership group is the entity leader, and that self-awareness is a vital competency (Ignatiuk, 2009). Other leadership skills that DELL employs include inspiring others, developing efficient teams, company and financial insight, client focus and tactical agility (DELL, 2011). 6.2 Innovation Since 1986, DELL has sustained to form the business by breaking novel ground and establishing critical expansion in home, small industry and business computing. DELL's research and development (R&D) labors currently span the world, motivated by several product engineers and designers of the group (Rosa Jared & Saxon, 1999). However, at the heart of DELL's innovation loom vestiges a firm dedication to deliver novel and improved solutions that address consumer desires. To present valuable solutions that meet consumer demands, DELL majors on crucial standards that impel future technology innovation. The leadership at DELL locates it in a special place to aid set up the key building blocks for innovation in future (DELL, 2011). With an elongated track evidence of pioneering activities and a broad network of well-built industry coalitions, Dell is able to assume open standards that offer consumers lower costs, more choices and interoperability. Most innovations commence at home, directed by an international panel of technical experts, top engineers and product designers (DELL, 2011). The key objective is to offer cost-effective and innovative solutions that meet the existing customer demands. DELL assembles customer needs through daily communications with customers, social media sites, planned events and consumer boards. Interactions with a wide range of suppliers gives the company an expansive outlook on the computing background (Duane & Michael, 2008). International R&D of DELL is distinctively located to impact industry development. The company steers facilitating industry principles and technologies via industry clusters and premeditated partners. In this manner, Dell stimulates innovation and conveys value to clients. Dell manipulates the growth and official recognition of industry-standard expertise through involvement in a range of boards and technical functioning groups of main standards groups. 6.3 Technology DELL’s client computing idea for the venture is delivering consumer computing solutions that supplement customary PC offerings and allow IT to steer their increasingly composite atmosphere (Ignatiuk, 2009). DELL’s customer-computing strategies make advantage of progress in virtualization tools, system bandwidth, and network-founded computing to distribute architectures tailored to meet the wants of both IT and customers. DELL client computing resolutions are constructed on the principle that attaining true IT simplicity necessitates a paradigm swing from running an ever-growing figure of devices to running the consumer’s digital distinctiveness (Lane & Rogers, 1996). This swing in focal point is a key stride toward conveying IT services supplely to a range of consumer devices. To achieve this goal, DELL solutions are planned to offer IT with centralized organization of buyer information and, while still allowing consumer suppleness to work from anyplace and ultimately on any tool. DELL works on solutions grounded on a unified Ethernet fabric which makes it very easy to transmit virtualized workloads in the area. The suppleness offered by a general Ethernet network channel brings IT infrastructure nearer to the expectations of a competent enterprise whereby virtualized resources, for instance networks, servers and storage, are administered, provisioned and installed dynamically to meet workload and application necessities. 6.4 Conclusions on Strategic implementation Issues The key strategic implementation issues of DELL are leadership, innovation and technology. At present, DELL uses transformational leadership style. Leaders at DELL are usually encouraged to get to the numbers while winning their people through inspiration and unique leadership. At the heart of DELL's innovation loom vestiges a firm dedication to deliver novel and improved solutions that address consumer desires. To present valuable solutions that meet consumer demands, DELL majors on crucial standards that impel future technology innovation. DELL’s customer-computing strategies make advantage of progress in virtualization tools, system bandwidth, and network-founded computing to distribute architectures tailored to meet the wants of both IT and customers. 7Strategic Evaluations 7.1 Triple Bottom Line Reporting 7.1.1 Economic DELL rates well on the economic measure. Dell is recorded at position 41 in the Fortune 500 list (Holzner, 2006).The company has developed by both mounting its customer base and via acquisitions since its foundation. DELL is also generating outstanding cash flows. The total revenue for the corporation in the second quarter of the year was $15.5 billion; a 22% raise from the previous year, 2010 (DELL, 2011). 7.1.2 Social DELL scores well in this area. DELL Company has thrived because its culture adapts well to a shifting market (Ignatiuk, 2009). The environment of workers responsibility and accountability controls DELL’s viewpoint on ethics and communal responsibility. 7.1.3 Environmental DELL recognizes its accountability to the environment. It initiated measures to control its carbon footprint (Holzner, 2006). The company further introduced a recycling program so as to conserve the environment. 7.2 Conclusions on Strategic Objectives DELL is a sturdy economic player and shareholders are contented with the fiscal returns. The firm is a superior venture and its share price is also strong (Miller 1660). DELL has effectively responded to stakeholder groups concerned with social and environmental issues. It also gives confidence to its workers by training them and giving them room to advance their careers. 8 Conclusions After the investigation of the internal and external environments of the organization, DELL functions in a highly turbulent atmosphere with swift technological shift. DELL has strengths in its direct sales model, low cost strategy, brand value and many employees, which also provide DELL Inc a Sustainable Competitive Advantage (SCA). The main internal weakness of DELL is the ability to get hold of qualified persons who will ease the growth of a stronger hold in the global market. Also, the CEO majorly focuses on the internal growth of the company, making him to have less time to catch up with the emerging external competition. A key opportunity of DELL’s external environment is the rapid growth of the internet, allowing alien PC firms such as DELL the chance to develop into a novel market. Software piracy, lack of skilled labor in some countries and rapid growth of technology are some of the external environment threats that DELL encounters. Buyer power and rivalry also poses a threat because other corporations are able to present computers at reduced costs. Again, given that other corporations are able to present computers at reduced costs; this could intimidate the price-conscious mounting customer base of DELL. With nearly matching prices, price disparity is no longer a problem for consumers as they may select other brands rather than lingering for DELL tailored computers. The expansion rate of the computer business is also going down. At present, DELL has the largest market share. In case the demand reduces, competition will turn out to be rigid in the course. Hence, DELL has to labor extra hard to distinguish itself from its alternates to so as to be in a position to persist holding a major market share. As a recommendation, DELL should design appropriate strategies that can be used in identifying the right personnel, since this is a major area of the corporation’s weakness. 9. References Ansoff, I (1957). Strategies for diversification. Harvard Business Review 35 (5), 113-124 Baum, J. (2003). Strategic decision speed and firm performance. Strategic Management Journal, 24, 1107–1129. Boeker, W. (1997). Strategic change: the effect of founding and history.”Academy of Management Journal, 32 (3), 489–515. Carpenter, G. & Karl, N. (1989). Consumer preference formation and pioneering advantage. Journal of Marketing Research, 26 (3), 285–299. Courtney, H. (1997). Strategy under uncertainty. Harvard Business Review, 75, 67–79. Dell (2011). Dell annual report. Retrieved on 12th November from www. dell.annualreport.com Duane, I. & Michael, H. (2008). Understanding business strategy: concepts and cases. London: Cengage Learning Eisenhardt, M. (1990). Institutions, institutional change, and economic performance. Cambridge University Press: Cambridge Ferrell, C. & Michael, H. (2010). Marketing strategy. London: Cengage Learning Hill, C. & Gareth, J. (2007). Strategic management: an integrated approach. London: Cengage Learning Hitt, M. & Robert, H. (2010). Strategic management: competitiveness & globalization, concepts. London: Cengage Learning Holzner, S (2006). How Dell does it. New York: McGraw-Hill Professional Hong, X., Singh, M. &Nguyen, M. (n.d.).Cases study seminar on Dell Inc. Retrieved on12thNovember2011from http://www.scribd.com/doc/47978022/dellcasestudypresentation-100807083137-phpapp01 Ignatiuk, A. (2009). Analysis of Dell's business strategy. London: GRIN Verlag Kim, W. & Robert, M. (1997). Value innovation: the strategic logic of high growth. Harvard Business Review 75 (1), 103–112. Knight, F. (1921). Risk, uncertainty and profit. Houghton Mifflin: New York Lane, D. & Rogers, M. (1996). Strategy under complexity: fostering generative relationships. Long Range Planning, 29 (2), 215–231. Lucas, H. (2003). Strategies for electronic commerce and the internet. New York: MIT Press, 2003 Merrill, J. (2010). Stakeholder analysis: a systems approach to inquiry issue 12 of working paper. Berkeley: University of California Miles, R. & Charles, S. (1978). Organizational strategy, structure and process. New-York, USA: McGraw-Hill Miller, Charles. Strategic planning and firm performance. Academy of Management Journal, 37 (6), 1649–1665. Moussetis, R. (2011). Ansoff revisited: how Ansoff interfaces with both the planning and learning schools of thought in strategy. Journal of Management History, 17, 102-125. NetMBA (n.d). The BCG growth-matrix. Retrieved on 12th November 2011 from http://www.netmba.com/strategy/matrix/bcg/ Ogilvie, D. (1998). Creative action as a dynamic strategy: using imagination to improve strategic solutions in unstable environments. Journal of Business Research, 41, 49–56. Pearce, J. & Robbins, D. (1987). The impact of grand strategy and planning formality on financial performance. Strategic Management Journal, 8 (2), 125–134. Porter, M. (1980). Industry structure and competitive strategy: keys to profitability. Financial Analysis Journal, 36, 30 Quinn, J. (1980). Strategies for change: logical incrementalism. Dow-Jones-Irwin: Homewood Rosa, J. & Saxon, M. (1999). Socio-cognitive dynamics in a product market. Journal of Marketing, 63, 64–77. Rindova, V. & Chris, F. (1999). Constructing competitive advantage: the role of firm–constituent interactions. Strategic Management Journal, 20 (8), 691–710. Schwenk, C. (1984). Cognitive simplification processes in strategic decision-making. Strategic Management Journal, 5 (2), 111–128. Spulber, D. (2007). Global competitive strategy .Cambridge: Cambridge University Press, 2007 Teece, D. & Adams S. (1997). Dynamic capabilities and strategic Management. Strategic Management Journal, 18 (7), 509–533. Wallace, D. (1992). Creative people at work: twelve cognitive case studies. Oxford: Oxford University Press Appendices Appendix 1: Five Forces Model This model of rivalry enlarges viable analysis grounds and takes in the risks of novel competitors, negotiating ability of buyers, negotiating ability of suppliers, the risk of substitute commodities and the power of competition with rivals (Porter 30). Appendix 2: Porter’s Competitive Business Level Strategies Markets/ Consumers Commodity/Service Identical Novel Identical Market incursion Smallest amount of risk Market expansion Additional threat Novel Commodity growth Additional threat Expansion Additional threat Appendix 3: SWOT Analysis Strengths Direct Model approach Provides extensive range of products Strong financial performance Customization Internal growth model Opportunities Evolution of personal computers Use of the website for shopping Weaknesses Attracting college students Using direct method on home users Threats Constant change of systems Price difference among brands Appendix 4: PESTAL Analysis Political Political/legal environment is one of DELL’s major threats. There exist many bureaucracies in acquiring national indentures. Most regimes prefer local companies and firms. State management of internet in some states is a further risk to internet development. Read More
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The vision and mission statements of the organization are translated into a comprehensive set of objectives as well as measures of performance that can be appraised and on the other hand, quantified.... Learning and growth perspective objectives Increase employee competence level Equip employees with new skills Sub-goals Introduce mentorship, training and learning programs targeting to increase employee competence Ensure employees are sent for further training after every three months and operation systems upgraded to ensure adaptability and use of new skills Introduce yearly vocational and work leave to encourage the employee to pursue education and other skills Measurement Through annual performance appraisal The target To ensure 8 out of 10 workers are equipped with high skills to result in high-quality service....
7 Pages (1750 words) Case Study

Strategic Management and Government Performance

nbsp;Strategic management is a highly recommended methodology for organizations that seek high performance and competitiveness, especially if well implemented (Simerson, 2011).... nbsp;Strategic management is a highly recommended methodology for organizations that seek high performance and competitiveness, especially if well implemented (Simerson, 2011).... … The paper "strategic Management and Government Performance " is a great example of management coursework....
12 Pages (3000 words) Coursework

Importance of Managing Strategies and Strategic Planning

It is the strategy that answers the following three main questions: what is to be done, whom the work is being done to and how to excel (David, 2002).... It clearly defines the business or the organization's objectives as well as the external and the internal situation so that the management of the business can formulate a strategy, implement it, evaluate all the process, as well as make the needed adjustment as far as the success of the business is involved....
6 Pages (1500 words) Coursework

Classification and Selection of Marketing Strategies to Enter International Markets

Referring to the case study of BCR, this study looks at the organisation's financial performance, and effectiveness of the marketing plan to its brand, pricing model, product design and competitiveness with niche operators.... This approach continues to ensure that BCR is able to determine its competitiveness in already dynamic and sensitive Australian markets where profits are channeled to help others.... We borrow this marketing audit approach to ascertain the extent to which BCR can accomplish its objectives and systematic approaches in marketing plans that steer control, risk management, and governance processes in liaison with other cancer institutions....
8 Pages (2000 words) Research Paper
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