Strength

Weakness

· The largest PC maker and one of the best-known brands.

· Uses latest technology direct to customer business model and the first PC maker to offer next-day, on site product service.

· Low operating costs as a result of cutting out the retailers and supplies directly to the customers (CRM).

· CRM enables to provide top-notch customer service before and after the sale and the system is built to meet individual customer’s specifications, reliability, service and support.

· Non-manufacturer-components are made by the supplies and it assembles the computers using relatively cheap labor.

· The finished goods are then dropped off with the customer and it has total command of the supply chain.

· Tums over inventory for an average of every six days, keeping inventory costs low.

· Opportunity.

· Customers cannot go to retailers because dell does not use distribution channels.

· Each product may take days to finish due to customer-built.

· Unable to switch supply.

· Embarrassments can be caused by the supplier’s mistakes.

Opportunity

Threat

· Introducing new products to its range (diversification strategy) to hold market position.

· Huge potential opportunities to expand business on the interest by putting products’ information on the website other than physical stores.

· Growing demand for the laptops can make Dell grow in other segments.

· Competitive rivalry existed in the PC market globally.

· Government policies and bargaining power of suppliers.

· Lose some customers who prefer to go to the physical stores.

· New entrants to the market pose potential threats.