Introduction to International Business - Essay Example

Dells’ competitive environment, target market in other countries and communication strategy are also detailed in this paper. Dell Inc: Business and Market Overview Dell Inc designs, develops, manufacturers and markets computers, computer accessories and software products for both the customers of US and other countries. Dell Inc has long been marketing its computer products primarily based on a very strong marketing strategy of ‘going direct’ to its customers. In 2008, Dell was able to be placed as second in the worldwide PC market just behind Hewlett-Packard company.

Dell has been gaining considerable growth in its market share during 2008 and 2009, with an increase of 1.2% growth which was the highest growth in the market (Gartner, 2009). The market share and related statistics of the major market players in 2010 show that Dell grew by 11.5 percent which is relatively less as compared to HP’s growth rate of 19.8 percent and Acer’s growth rate of 13.5 % (Magee, 2010). . In accomplishing this target, Dell will be meeting the customer expectations of highest quality, leading technology, competitive prices, accountability, flexible customization and financial stability (Farfan, 2011).

Product Strategy Dell has been prospering on innovation and product differentiation as well. in 2003, Dell has been offering Latitude laptops, that were designed and developed to help business, government and institutional customers fulfill their computer-needs, and Inspiron laptops that were developed for users seeking the latest technology and high performance in more stylish and affordable packages (Ignatiuk, 2009, p. 20). Later, Dell added a number of different computer lines, they are Vostro, Precision, Alienware etc, to facilitate customers use different computers for their varying requirements.

Distribution Strategy Dell is very known for ‘direct marketing’ as it has directly been selling its computer and accessories to the customers. Customers choose their items and order through either mail, or phone calls and the company send items to customers through its own delivery services or third party delivering facilities. As Bozarth (2005, p. 22) stressed, Dell’s direct-marketing strategy has been primarily based on a build-to-order manufacturing system. It means that Dell manufacturers computers only when they have actual customer orders and demands and this has been a reason why Dell succeeded within few years despite rigorous competition in computer marketing.

Thomas (2002, p. 163) stated that Michael Dell has long been pursuing ‘going direct’ to customers approach, being aligned with virtual integration strategy. The company was using web-technology to blur