Dell with E-commerce

Submitted by:

Rahim Ashfaq
Noman Arshad


P REFACE The purpose of this report is to find out how Dell Inc. is coping up with the e-business strategies how they are marketing it and what theories they are using in practices. In this report we are simply dealing with the impact of e-commerce and the payment methods what are their marketing strategy and how they are offering technical support to the consumer and the suppliers .

A CKNOWLEDGMENT Thank You. The can facilitate the any to know how the Operations and Managerial world is related to the IT applications and how the company like DELL is dealing with smart and updated technology to cope with the demand of their customers. who gave me the opportunity to present the knowledge. I have chosen to make a Project report on the Ecommerce system of DELL. Inc. Miss. Maryam Altaf (the instructor of the course titled E-commerce). skills and practical know-how I learned in persuading this course. The report as guided by the instructor would help me in understanding the Ecommerce system in a practical application. .

and Consumer. It conducts its business activities through four global operating segments: Large Enterprise. services and solutions. TX . Small and Medium Business. gaming and design. The Consumer segment focuses on delivering what customers want from the total technology experience of entertainment. which designs. and law enforcement agency customers. is a global information technology company. health care. The Large Enterprise segment focuses on delivering solutions and services through data center and cloud computing solutions to large global and national corporate customers. Dell in May 1984 and is headquartered in Round Rock. government. The Small and Medium Business segment focuses on helping small and medium-sized businesses get the most out of their technology by offering products. Public. The Public segment focuses on broad range of information technology needs of educational institutions.Executive summary: Dell. Inc. develops. Dell was founded by Michael S. mobility. manufactures and distributes computer systems. The company through its subsidiaries offers its customers a broad range of solutions and services delivered directly and through other distribution channels.

S. Customer Support: Dell has created many features and services online to help the customer see the whole purchasing process clearly. China's $10 billion computer market is already the third largest in the world.S. (Roderick) The project that Dell is trying to take on is to advance into the Chinese market where they see a huge potential increasing their revenue greatly. Despite relatively low penetration rates. The premise of Dell’s business is selling directly to customers – customers tell Dell exactly what they want and Dell provides them with the goods directly. Dell knows that the way to globalize the company successfully is through e-business. The main computer company right now in China is the Beijing-based Legend computer. Analysts agree that e-business is the most significant trigger to the achievement of economic globalization. within in a few years it is expected to past Japan and become second only to the U.Organizational Environment Long Term Objectives Dell is starting to take on new projects like focusing on markets globally. Dells objective is to take over 20% of the Asia market. Dell knows that the way to globalize the company successfully is through ebusiness. The internet market has been expanding and exploding across the globe. Remote Environment The internet market has been expanding and exploding across the globe. As well as being able to customize the . and is considered to be the third largest in the World. The greatest opportunities for future profits are in China. It has varied by market segment and already has been a big hit in the U. There are a lot of opportunities here for Dell because there is low penetration cost into the Chinese market. China has a huge computer market and is growing fast.

To do this. It is crucial that customers consider purchasing online as an alternative to the traditional method of going into a retailer and buying a product off-the-shelf.product. customers can track the progress of the order as it is produced and delivered. which can track the model bought and its service requirements. shipment and delivery dates. press releases and general information to help customers. but also with employees and the wider community. It is also a very cost-effective way of providing sales and support – cost savings which can be passed on in the form of better prices to customers. This can help the customer see the stages of the process and likely delivery times. This includes product support. Success depends greatly on the efficient management of the website. Customers can create and view their service records online. The customer must have a convenient experience when shopping online and have faith that Dell will successfully complete the order and safeguard financial details. Impact of E-Commerce on Dell core process When internet technology arrived. not only with customers. This level of 24 hour customer service and fast response time helps Dell build strong customer relations. employees. Dell was quick to set up the ecommerce processes that would enable it to also sell directly online to customers. Each purchase comes with a service tag code. This allows Dell customer service representatives to quickly and efficiently handle requests. . Customers need to be comfortable using paperless transactions without face-to-face contact. Dell is focused on enhancing its image and relationships. the media and prospective employees find out more about the company. the website is also used as a communication tool for news. which of course is crucial for the company in its understanding of customer needs.

Dell’s global website receives more than 1 billion page requests per quarter at 80 country sites in 28 languages and 26 currencies. say. would go to Dell’s Irish website www. These allow him to customize the computer he wants with the features he needs. Dell shares information with its suppliers on a range of topics.Selling online allows the whole process to be automated and more efficient. Since 1996 when Dell opened its website to buy his notebook computer. including product quality and inventory. By 2000 the company’s internet sales had reached $50 million a day! If we go back to our example above. especially given the volume of business for ecommerce. the company has had huge sales success. He simply follows the easy. This ensures that staff can be . Liam. which not only makes it faster and more efficient. Then he has given a variety of options on how to pay. payment processing. order tracking. the customer. tested and shipped out to him. either directly online or. There is even an automated leasing option available through a financing arrangement that Dell has here with Permanent TSB. automatic instructions that come up on internally at At via a customer service operator. Dell’s approach to e-commerce simulates the benefits of face-to-face contact between the buyer and the seller. his hard disk space and see the difference that increase makes to the overall price. By 1997 the company recorded $1 million in online sales. testing and delivery. but also much more cost effective. inspection. The crucial benefit is the total automation of the whole process. Similarly. He can increase. Liam’s order is then passed automatically through to the production department at Dell's factory in Limerick where it will be manufactured to his specification. The full product range is online with detailed information to help him make his decision. All of the systems relating to the sale are done through e-commerce: order placement. the whole purchase and procurement of materials is automated between Dell and its suppliers.

address. but beyond that. name. (please see Dell's Store Security page for details on these security measures). We offer the industry standard security measures available through your browser called SSL encryption.focused on delivering a quality product and providing excellent customer service and support. Our use of this technology does not mean that we automatically know any information about you. e-mail and any other information you provide us. Internet Commerce The online store at dell. We might be able to ascertain what type of computer you are using. but do not want to provide your credit card information is designed to give you options concerning the privacy of your credit card information. If at any time you would like to make a purchase. you may contact a sales representative over the telephone. At Dell. Simply call 1-800-WWW-DELL. we primarily use "cookies" to help us determine which service and support information is appropriate to your machine and to maintain your shopping experience in our online store. Dell is committed to data security with respect to information collected on our site. It has always been a Dell practice to contact customers in the event of a potential problem with your purchase or any normal business communication regarding your purchase. Customized Experience We use technology to help us deliver customized visitor experiences. our use of cookies is designed only to provide you with a better experience when using .

The information we collect may include some limited personal information. such as to enable a shopping cart. We will not share any personal information collected . Web beacons help us measure the effectiveness of our site and our advertising in various ways. may use web beacons on our We use all of this information to better tailor our marketing to you and may use this information for other purposes. in our e-mails. or in our advertisements in others' e-mails. customize content on our website and internal research purposes. please click site. A web beacon is an electronic image that can be used to recognize a cookie on your computer when you view a web page or e-mail. by counting the number of individuals who visit our site from a particular advertisement or make a purchase from our site after viewing a particular advertisement as well as by telling us when a web page is viewed and providing a description of the page where the web beacon is placed. Web beacons also help us measure the effectiveness of our e-mail campaigns. by counting the number of individuals who open or act upon an e-mail message. in our advertisements on other sites. We do not allow third parties to place their own web beacons on our site or in our advertisements. Web Beacons We. For more information about our use of cookies. and web beacons allow us to recognize users by accessing Dell cookies. determining when an e-mail message is opened and determining how many times an e-mail is forwarded. We may also combine the information that we collect through web beacons with other personal information we have collected from you. or third parties acting on our for example. Dell has no desire or intent to infringe on your privacy while using the dell. for example.

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and has seen an extra ordinary increase in share price and market valuation. can also be user satisfaction. Dell has continued to thrive in such an environment. Online technical services and technical support Dell companies provide online services and technical support is very broad. and so on. A wide range of services not only to increase the intrinsic value of their products. While many other PC companies have been unable to handle the demands of time-based competition. especially under conditions of rapid growth and change. Dell has continually rented and extended its business model while striking a . The key to Dell’s success has been its direct sales and build-toorder business model. supplemented by online purchase at great development of its direct sales model. This model is simple in concept but highly complex in its execution. the escalation on Windows. software upgrades informed. users answer questions. Conclusion Dell has grown rapidly to become one of the top three vendors in the PC industry.Distribution Strategy Direct modes in compressed product production lines. and enhance the competitiveness of our products.

. In fact. logistics. speed up logistics and product cycles. Dell’s use of IT plays a vital role in the implementation of its business model. Dell’s use of its own PC-based technology to run much of its own business is a valuable marketing tool to show customers the capabilities of its product line. E-business has been a key element in the continued extension of that model. It also has used IT to achieve virtual integration with suppliers and strategic partners by real-time information sharing. understand user markets. The company has used IT to coordinate its build-to-order processes from order taking through procurement.balance between control and edibility. from using the Internet as a marketing channel to giving suppliers a direct link to Dell’s information systems to being a model for other enterprises to follow. E-commerce is a key element of many business strategies. service. The company has extended its reach to millions of potential customers at low marginal cost through its use of the Internet. and offer additional services to customers. and support. production. Doing so has enabled it to reduce inventory.