Topic > Dell Essay - 728

Additionally, Dell has physically integrated itself with suppliers (Phillips, Nokia, Samsung) and business partners (Gen3, Unisys, Wang, Banctec) to hold little or no inventory on its own and, at in turn, creates staff efficiencies for them. Indeed, the model features the strengths of win-win relationship with customers, coordination of web value, and emphasis on the company's ability to provide e-commerce solutions to consumers. Despite these overwhelming strengths, Dell is constrained by language, communications protocols, power, power cords, financing practices, preferences for domestic computing companies, and government regulation, all of which represent nationwide industry hurdles . Additionally, the company is fundamentally incapable of market research, a problem associated with its model. It fails to identify good local competitors: Toshiba in Japan, Olivetti in Europe. It fails to understand either how attached consumers are to local brands or deeply rooted distribution channels. As a result, Dell cannot reach new businesses and government consumers. Despite its inherent limitations, the direct model is what drives Dell