'Dells Marketing Case, Dillema\r'

' How would you describe dingles menstruum typical competencies? What other dominance sources of distinctive competency might dell course to develop? wait on: According to the case, dingles Current distinctive competencies be: ; â€Å"Mass customization”; by focusing on this outline (which they fol follow-goed as their core assortediation scheme), dingle has successfully been fit to trans take form the way consumers expose for applied science. Customer could place customized orders for their PCs according to their unique inevitably and wants.Which at that time seemed to be a in truth attractive, innovative and hence successful strategy. However opus concentrating too much on its distinctive strategy of mass customization for too long, dingle gravely failed to accommodate to the changing world of technology which luck was kindred a shot grabbed by its current and emerging competitors like HP, Sony, Leaner, apple and others. They quickly managed to reap the benefits of the fast growing grocery store for proficient merchandises like PCs and n sensationbooks. Direct Sales Channel- dingle has turn up to be extremely successful at coming up with a very economical and smart supply chain, by do Its customers satisfactory to place orders for their PCs online, wrought e commerce. dingle utilize direct gross revenue via lucre, whereas traditional PC manufacturers previously assembled PCs to make them ready for purchase at retail stores. Thus, Dell enjoyed early-to- merchandise advantage. This eliminated the need for retailers that would add unnecessary time and make up for Dell and Dell has enjoyed this competency for a pro-longed period of time. Dells toll efficiency: Dell was able to provide PCs at a low cost for quite a period of time, until paying a low price for a standard PC was no more attracting the potency customers who were rather lured y the more technologically advanced products abideed by Dells competitors l ike Hewlett-Packard. However continuing with its cost cutting strategy cost them their customers in later years when HP emerged as the securities industry pass awayer and attracted all the consumers and logical argument clients to themselves.Moreover, Dells extremely efficient supply chain charge aided In keeping Its costs low and hence being cost effective. Dells strong market position due to its strong brand prize as one of the top 100 brands In the world (In the IT systems market), provided It with a competitive advantage. Dell has a strong market presence in IT systems market. disdain losing market share to other histrions in the radical-fangled past, Dell continues to remain a strong player in the IT systems market.In the fast growing market for technological products Dell should have obviously gone for innovating their product lines. Dell should go for product development. It might spend a penny to rig faster and more attractive versions of PCs and laptops. c turn a loss Importantly Its marketing strategy should be changed, In order to reap benefits from Its distinctive competencies. Being groundbreaking could have obviously paid off as a good extinctive competency, because then competitors like HP and Apple would get as much opportunity to grab the market share.Moreover, Dell could go for making ‘OFF silent changes In Its organizational last Day encouraging Its employees to De more creative and to view out of the box so as to get rid of the monotonous feeling in them which would overly enhance the productivity and would obviously spread a good word of mouth regarding Dell as a â€Å"ready to innovate and serve company, which would cypher as another great distinctive competency. challenge 2) Dell is currently engaged in a cost leaders strategy. If Dell decided to pass away more toward a diametriciation strategy, what might be some sources of differentiation Dell could explore?Answer 2: Emphasizing on the cost leadership strateg y for too long has caused Dell to lose it market share and not to mention has lead it to earning lower profits. Thats because the same strategy would not ferment forever. Dell has not explored in serving their customers with motley in their prolongings for PCs and notebooks, neither did it do much to mounting its features and technology. Dell has not re-invested any of its profits into tone ending for a different racketing strategy other than cost leadership.A differentiation strategy incorporates the development of a product or service so that it put forward offer a customer perceived uniqueness in the marketplace that seems to be better than or different from the products of the competition. Dell has to focus more on providing additional value for their customers if they want to differentiate their brand form the others in the market, to do so, they have to address their customers not yet raised demand for new technology say for example, delight their customers by offering new software program and applications for their PCs.Dell can as well as go for sales promotion; that is they can provide short marge offers where they would be providing free upgrades for software in their current customers PCs and offer discounts on certain software fair(a) so as to attract their customers lost interest. entree and promoting different complimentary products made by Dell can be a good estimation to enhance the sales of Dell PCs.For instance if Dell came up with a product line for fun computers, to attract a certain segment of its potential clients, and along with that if it issued games made by Dell one of which would be provided for free with the gaming PCs, it loud be a great way of differentiating their brand as â€Å"innovative” in the mind of customer, especially since no other competitor at that time came up with gaming PCS. Question 3: According to Nations Product-Market refinement grid which strategy is applicable for Dell computers offerings? formulate the strategy in your own words in the context of the case. Answer 3: Nations model is found upon four types of strategies which are; market penetration strategy, market development strategy, product development strategy and variegation strategy. The diagram below illustrates the Nations Product-Market expansion grid. In my opinion, Dell should primarily go for product development strategy and then market development strategy. By pass for product development strategy, Dell would be air new, developed and modified versions of its products.By doing so, Dell can draw it to the industry that they are all ready to launch innovative products and solutions for their clients both Business and consumer. Moreover granted the strong and well established brand call off Dell has, it would not be a task to beat its competitors Like HP, IT Dell can offer new Ana developed products to Its customers. For example by considering software as an product/service to offer, Dell can assemb le a services portfolio that would include netmail disaster recovery, spam/virus filtering and archiving via its Message acquisition.Moreover Dell can come up new models of its PC, and notebook, more lighter ones, faster ones, PCs specially made for gaming, and PCs which are specially made lighter and smaller for share going executives and students. Just like Google developed a new browser Chrome for the existing Internet user. Going for a market penetration strategy would be bad session for Dell since it has proved to be a failure Just because it refused to be innovative about its products and was only focusing on a single strategy of â€Å"mass customization”.However, Dell can also go for a market development strategy if that is feasible giving the ecstasy and set up costs associated with setting up business and dealerships in developing countries like Pakistan and Bangladesh, or it can focus on a different demography, like the elderly people; by creating voiced to use and simple light laptops for them, which they can also afford with a little portion of their savings.\r\n'