Swot Analysis Of Dell Computer
Section: Marketing Essays
The company's Web received 25 million visits at more than 50 country-specific sites last quarter. Timeline: 1984 Michael Dell founds Dell Computer Corporation 1985 Company introduces the first PC of its own design: the Turbo, featuring Intel' 8088 processor running at eight megahertz 1987 Dell is first PC company to offer next-day, on-site product service International expansion begins with opening of subsidiary in United Kingdom 1988 To better meet unique customer needs, Dell begins to organize business around distinct customer segments Dell conducts initial public offering of company stock, 3.5 million shares at $8.50 each 1990 Manufacturing center in Limerick, Ireland, opened to serve European, Middle Eastern and African markets 1991 Company introduces its first notebook PC 1992 Dell included for first time among Fortune 500 roster of world's largest companies 1993 Dell joins ranks of the top-five PC makers worldwide Subsidiaries in Australia and Japan are company's first entries into Asia-Pacific region 1995 Original $8.50 shares of Dell stock worth $100 on presplit basis 1996 Asia-Pacific manufacturing center in Penang, Malaysia, opened Customers begin buying Dell computers via Internet at www.dell.com Dell begins major push into network-server market Company added to Standard & Poor's 500 stock index 1997 Company sales via Internet reach $1 million per day Dell ships its 10-millionth computer system Per-share value of common stock reaches $1,000 on presplit basis Dell introduces its first workstation systems 1998 Company expands manufacturing facilities in the Americas and Europe, and opens production and customer center in Xiamen, China Dell introduces PowerVault storage products 1999 Dell opens www.gigabuys.com, an online computer-related superstore Sales via Internet exceed $18 million per day Industry Outlook.
While the personal-computing market has expanded dramatically since the 1970s, Dell believes that the industry's best days and its own are yet to come, for two broad reasons. First, the stream of software and hardware innovation from companies such as Microsoft Corp. and Intel Corp. is rapid and robust, and is sharply increasing system performance and reducing the relative cost of computing. For example, in February 1982, Intel introduced its 286 chip, which was capable of processing 2.66 million instructions per second, or MIPS, at a clock speed of 12 million cycles per second, or megahertz. Today's Intel Pentium II processors are capable of considerably more than 600 MIPS at 450 megahertz, and the sharp upward development trend is expected to continue. Second, while computer performance is going up, the relative cost of computing computer prices per MIPS has steadily declined, encouraging new computer users and more rapid PC replacement. Customers, in turn, are using those savings to buy even more powerful, more richly configured systems. As processor transitions and expected cost reductions continue, many industry analysts foresee worldwide industry volume growth at a compound annual rate of 15 to 20 percent annually over the next three years. Meanwhile, the Internet is becoming more integrated into daily life: businesses rely on the Internet for commerce and real-time information exchange; customers go online to shop, bank and conduct personal correspondence; and students from grade schools through college use the Internet as an educational tool. From servers that power the Internet connection, to desktops and notebooks that efficiently and effectively provide the interface, to workstations used to develop digital content, the ability to provide products and services that enable Internet access and enhance the online experience will be vital for companies in the computer systems industry.
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