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“TO STUDY THE CONSUMER BEHAVIOUR AND

PERCEPTION TOWARDS DELL DEVICES”

BACHELOR OF
MANAGEMENT STUDIES (BMS)
SEMESTER V

Submitted By:

AVINASH PANDEY

ROLL NO.42024

J.K. COLLEGE OF SCIENCE AND COMMERC PLOT NO.22,


SECTOR 5, Ghansoli, Navi Mumbai 400701
“TO STUDY THE CONSUMER BEHAVIOUR AND
PERCEPTION TOWARDS DELL DEVICES”

BACHELOR OF
MANAGEMENT STUDIES (BMS)
SEMESTER V
Submitted

In Partial Fulfillment of the requirements


For the Award of Degree of
Bachelor of Management Studies (2017-2018)
Submitted By:
AVINASH PANDEY
ROLL NO.42024
J.K. COLLEGE OF SCIENCE AND COMMERC PLOT NO.22,
SECTOR 5, Ghansoli, Navi Mumbai 400701
DECLARATION

I, AVINASH PANDEYthe student of T.Y.B.M.S SEM-V (2017-2018)


hereby declare that I have completed this project on “TO STUDY THE
CONSUMER BEHAVIOUR AND PERCEPTION TOWARDS
DELL DEVICES”
The information submitted in the project is original and true to the best
of my knowledge

(Signature of Student)
AVINASH PANDEY
42024

J.K. COLLEGE OF SCIENCE AND COMMERC PLOT NO.22,


SECTOR 5, Ghansoli, Navi Mumbai 400701
ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous
and the depth is so enormous.

I would like to acknowledge the following as being idealistic channels


and fresh dimensions in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me


chance to do this project.

I would like to thank my Principal, “Mrs.Gurmeet Kaur Monga” for


providing the necessary facilities required for completion of this project.

I take this opportunity to thank our Coordinator Mrs.Remya Anil


Kumar, for her moral support and guidance.

I would also like to express my sincere gratitude towards my project


guide Mrs. MINAKSHI LOHANI whose guidance and care made the
project successful.

I would like to thank my College Library, for having provided various


reference books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or
indirectly helped me in the completion of the project especially my
Parents and Peers who supported me throughout my project’s
INDEX

SR NO. PARTICULAR PAGE NO.


1. CHAPTER 1
• INTRODUCTION
• OBJECTIVE
• SCOPE
• LIMITATION
• LITERATURE REVIEW 1-6

2. CHAPTER 2
COMPANY PROFILE 7-36

3. CHAPTER 3
37-42
RESEARCH METHODOLOY
4. CHAPTER 4
CLASSIFICATION & TABULATION OF
43-59
DATA
5. CHAPTER 5
60-61
ANALYSIS & INTERPRETATION OF DATA
6. CHAPTER 6
62-64
CONCLUSION & RECCOMENDATION

7. CHAPTER 7
65-66
BIBLIOGRAPHY

8. CHAPTER 8
67-68
ANNEXURE
CHAPTER1
INTRODUCTION

A successful marketer must understand consumer’s psychology and behavior to successfully

grip the target market. To fully understand consumer need, demand, marketers need
toaccomplish
marketer research. In this report, we have analyzed consumer’s psychology,
opinion, perception, and behavior towards Dell-laptop.
Dell, Inc.
is an Americanmultinational information technology corporation based in 1 Dell Way, Round
Rock, Texas,United States that develops, sells and supports computers and related products and
services.Bearing the name of its founder, Michael Dell, the company is one of the
largesttechnological corporations in the world, employing more than 103,300 people
worldwide.Dell is listed at number 41 in the
Fortune 500list. We have focused on brand equity, image,external and internal factors etc.

OBJECTIVE OF STUDY
• By doing the report, we will be able to know the target market‟s profile of
Dell Laptop, their buying purposes and preference.
• We will also be able to know the current market situation of the laptop products.
• We will be exploring the facts how individuals get influenced towards laptops, what they
feel about different laptops and what are the comparisons.
• This report will also let us know the possible recommendations for Dell Laptop

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SCOPE

• The report is prepared concentrating on Dell Laptop.


• The area of the survey was only inDhaka city.
• So, all the estimations have been made based on the city area.
• It is acomprehensive report based on structured questionnaire survey, data calculation,
people opinion, our perception and knowledge, and books of Consumer Behavior

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LIMITATION

• While preparing the report we had to face some problems.


• For the sake of official secrecy, the concerned officials did not provide enough
information.
• Time shortage was one of the major problems.
• Then lack of information among customer were another major problem.
• In manycase we found some people who do not have any idea about Dell Laptop.
• Manypeople did not cooperate because they were not interested.

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LITERATURE REVIEW

Innovation literature is rich in typologies and descriptions of innovation dynamics and is mostly
focused on technology. There are various sources of innovation and many models have been
made to demonstrate them. In the linear model of innovation, the source recognized is
manufacturer innovation where an agent (person or business) innovates in order to sell the
innovation (Freeman & Chris, 1984). Similarly, another source of innovation is end-user
innovation where an agent (person or company) develops an innovation for their own use as
the existing products do not meet their needs. Innovation does not happen within the industrial
supply-side, or as a result of the articulation of user demand (Hesselbein, Frances, Goldsmith
and Sommerville, 2002). It happens through a complex set of processes that links many
different players together which not only includes developers and users, but a wide variety of
intermediary organizations such as consultancies, standards bodies and many more. The social
networks suggest that much of the innovation occurs at the boundaries of organizations and
industries where the problems and needs of users and the potential of technologies can be
linked together that usually challenges both (Hitcher & Waldo, 2006). A real-world
experimentation approach increases the chances of market success when an innovative idea
requires a new business model or redesigns the delivery of value to focus on the customer
Innovations may be spread from the innovator to other individuals and groups when it occurs
(Chakravorti & Bhaskar, 2003). Failure is an obvious and inevitable part of innovation process.
Most successful organizations factor in an appropriate level of risk because all organizations
experience failure that many choose not to check regularly. Innovations that fail are potentially
good ideas but are mostly rejected or postponed due to budgetary constraints, lack of skills or
poor standards with current goals. The causes of failure of innovation are widely researched
and they can vary considerably. The main motive of an innovation is to achieve the effective
goal of the organization. The organizations should state explicitly what their goals which should
be understandable to everyone involved in the innovation process (Chesbrough & William,

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2003). The process of innovation mostly involves participation in teams which mostly refers to
the behavior of individuals in and of teams. Each individual should have an allocated
responsibility regarding their role in goals and actions and the payment and rewards systems
that link them to goal attainment (Chakravorti & Bhaskar, 2003). Finally, the effective
monitoring of results requires the monitoring of all goals, actions and teams involved in the
innovation process. Innovation mostly implies change and it can be counter to an organization's
orthodoxy. Innovation can also be measured. There are two fundamentally different types of
measures for innovation that are the organizational level and the political level. At the
organizational level, the measure of innovation relates to individuals, team-level assessments,
and private companies from the smallest to the largest but at the political level, measures of
innovation are more focused on a country or region (Fagerberg & Jan 2004). For innovation,
public awareness is an important part of the innovation process. Innovation is no longer
considered just desirable for organizations it is crucial to their survival. In an era of continual
and rapid change, what is needed is a culture of innovation and continuous improvement
(Cabral & Regis, 2003). Innovation is not limited to new products and services. It involves
business processes, workplace culture, customer relationships and the opening of new markets.
Innovation is important not only in products but in all activities of the organization. Ideas can
come from many sources (Freeman & Chris, 1984). Ideas can come from consumers who ask
directly for a new.

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CHAPTER 2

7
COMPANY PROFILE

INTRODUCTION.
Dell Inc. is an American privately owned multinational computer technology company based in
Round Rock, Texas, United States, that develops, sells, repairs, and supports computers and
related products and services. Bearing the name of its founder, Michael Dell, the company is one
of the largest technological corporations in the world, employing more than 103,300 people
worldwide.
Dell sells personal computers (PCs), servers, data storage devices, network switches, software,
computer peripherals, HDTVs, cameras, printers, MP3 players, and electronics built by other
manufacturers. The company is well known for its innovations in supply chain management and
electronic commerce, particularly its direct-sales model and its "build-to-order" or "configure to
order" approach to manufacturing—delivering individual PCs configured to customer
specifications. Dell was a pure hardware vendor for much of its existence, but with the
acquisition in 2009 of Perot Systems, Dell entered the market for IT services. The company has
since made additional acquisitions in storage and networking systems, with the aim of expanding
their portfolio from offering computers only to delivering complete solutions for enterprise
customers.
Dell was listed at number 51 in the Fortune 500 list, until 2014. After going private in 2013, the
newly confidential nature of its financial information prevents the company from being ranked
by Fortune. In 2014 it was the third largest PC vendor in the world after Lenovo and HP. Dell is
currently the #1 shipper of PC monitors in the world. Dell is the sixth largest company in Texas
by total revenue, according to Fortune magazine. It is the second largest non-oil company in
Texas – behind AT&T – and the largest company in the Greater Austin area

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Michael Saul Dell is an American businessman, investor, philanthropist, and author. He is the
founder and CEO of Dell Technologies, one of the world's largest technology infrastructure
companies.

Born: 23 February 1965 (age 52), Houston, Texas, United States

History of Dell
Dell traces its origins to 1984, when Michael Dell created Dell Computer Corporation, which at the
time did business as PC's Limited, while a student of the University of Texas at Austin. The dorm-
room headquartered company sold IBM PC-compatible computers built from stock components. Dell
dropped out of school to focus full-time on his fledgling business, after getting $1,000 in expansion-
capital from his family. In 1985, the company produced the first computer of its own design, the
Turbo PC, which sold for $795. PC's Limited advertised its systems in national computer magazines
for sale directly to consumers and custom assembled each ordered unit according to a selection of
options. The company grossed more than $73 million in its first year of operation.
In 1986, Michael Dell brought in Lee Walker, a 51-year-old venture capitalist, as president and chief
operating officer, to serve as Michael's mentor and implement Michael's ideas for growing the
company. Walker was also instrumental in recruiting members to the board of directors when the
company went public in 1988. Walker retired in 1990 due to health, and Michael Dell hired Morton
Meyerson, former CEO and president of Electronic Data Systems to transform the company from a
fast-growing medium-sized firm into a billion-dollar enterprise.
The company dropped the PC ‘s Limited name in 1987 to become Dell Computer Corporation and
began expanding globally. In June 1988, Dell's market capitalization grew by $30 million to $80
million from its June 22 initial public offering of 3.5 million shares at $8.50 a share. In 1992,
Fortune magazine included Dell Computer Corporation in its list of the worlds’ 500 largest
companies, making Michael Dell the youngest CEO of a Fortune 500 company ever.
In 1993, to complement its own direct sales channel, Dell planned to sell PCs at big-box retail outlets
such as Wal-Mart, which would have brought in an additional $125 million in annual revenue.
However, Bain consultant Kevin Rollins persuaded Michael Dell to pull out of these deals, believing
they would be money losers in the long run. Indeed, margins at retail were thin at best and Dell left
the reseller channel in 1994. Rollins would soon join Dell full-time and eventually become the
company President and CEO

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Growth in 1990s and early 2000s
Originally, Dell did not emphasize the consumer market, due to the higher costs and unacceptably
low profit margins in selling to individuals and households; however, this changed when the
company’s Internet site took off in 1996 and 1997. While the industry ‘s average selling. price to
individuals was going down, Dell ‘s was going up, as second- and third-time computer buyers who
wanted powerful computers with multiple features and did not need much technical support were
choosing Dell. Dell found an opportunity among PC-savvy individuals who liked the convenience of
buying direct, customizing their PC to their means, and having it delivered in days. In early 1997,
Dell created an internal sales and marketing group dedicated to serving the home market and
introduced a product line designed especially for individual users.
From 1997 to 2004, Dell enjoyed steady growth and it gained market share from competitors even
during industry slumps. During the same period, rival PC vendors such as Compaq, Gateway, IBM,
Packard Bell, and AST Research would struggle and eventually leave the market or get bought out.
Dell surpassed Compaq to become the largest PC manufacturer in 1999. Operating costs made up
only 10 percent of Dell's $35 billion in revenue in 2002, compared with 21 percent of revenue at
Hewlett-Packard, 25 percent at Gateway, and 46 percent at Cisco. In 2002, when Compaq merged
with Hewlett Packard (the fourth-place PC maker), the newly combined Hewlett Packard took the top
spot but struggled and Dell soon regained its lead. Dell grew the fastest in the early 2000s.
Dell attained and maintained the number 1 rating in PC reliability and customer service/technical
support, according to Consumer Reports, year after year, during the mid-to-late 90s through 2001
right before Windows XP was released.
In 1996, Dell began selling computers through its website.
In the mid-1990s, Dell expanded beyond desktop computers and laptops by selling servers, starting
with low-end servers. The major three providers of servers at the time were IBM, Hewlett Packard,
and Compaq, many of which were based on proprietary technology, such as IBM's Power4
microprocessors or various proprietary versions of the Unix operating system. Dell's new PowerEdge
servers did not require a major investment in proprietary technologies, as they ran Microsoft
Windows NT on Intel chips, and could be built cheaper than its competitors. Consequently, Dell's
enterprise revenues, almost nonexistent in 1994, accounted for 13 percent of the company's total
intake by 1998. Three years later, Dell passed Compaq as the top provider of Intel-based servers,
with 31 percent of the market. Dell's first acquisition occurred in 1999with the purchase of Converge
Net Technologies for $332 million, after Dell had failed to develop an enterprise storage system in-
house; however,Converge Net’s elegant but complex technology did not fit in with Dell's
commodity-producer business model, forcing Dell to write down the entire value of the acquisition.
In 2002, Dell expanded its product line to include televisions, handhelds, digital audio players, and
printers. Chairman and CEO Michael Dell, however, had repeatedly blocked President and COO
Kevin Rollins's attempt to lessen the company's heavy dependency on PCs, which Rollins wanted to
fix by acquiring EMC Corporation.
In 2003, the company was rebranded as simply "Dell Inc." to recognize the company's expansion
beyond computers.
In 2004, Michael Dell resigned as CEO while retaining the position of Chairman, handing the CEO
title to Kevin Rollins, who had been President and COO since 2001. Despite no longer holding the
CEO title, Dell essentially acted as a de facto co-CEO with Rollins.
Under Rollins, Dell began to loosen its ties to Microsoft and Intel, the two companies responsible for
Dell's dominance in the PC business. During that time, Dell acquired Alienware, which introduced
several new items to Dell products, including AMD microprocessors. To prevent cross-market
products, Dell continues to run Alienware as a separate entity, but still a wholly owned subsidiary.

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DELL 2.0 AND DOWNSIZING
Dell announced a change campaign called "Dell 2.0," reducing the number of employees and
diversifying the company's products. While chairman of the board after relinquishing his CEO
position, Michael Dell still had significant input in the company during Rollins' years as CEO.
However, with the return of Michael Dell as CEO, the company saw immediate changes in
operations, the exodus of many senior vice-presidents and new personnel brought in from outside
the company. Michael Dell announced a number of initiatives and plans (part of the "Dell 2.0"
initiative) to improve the company's financial performance. These include elimination of 2006
bonuses for employees with some discretionary awards, reduction in the number of managers
reporting directly to Michael Dell from 20 to 12, and reduction of "bureaucracy." Jim Schneider
retired as CFO and was replaced by Donald Carty, as the company came under an SEC probe for its
accounting practices.
On April 23, 2008, Dell announced the closure of one of its biggest Canadian call-centers in Kanata,
Ontario, terminating approximately 1100 employees, with 500 of those redundancies effective on the
spot, and with the official closure of the center scheduled for the summer. The call-center had opened
in 2006 after the city of Ottawa won a bid to host it. Less than a year later, Dell planned to double its
workforce to nearly 3,000 workers add a new building. However, these plans were reversed, due to a
high Canadian dollar that made the Ottawa staff relatively expensive, and also as part of Dell's
turnaround, which involved moving these call-center jobs offshore to cut costs. The company had
also announced the shutdown of its Edmonton, Alberta office, losing 900 jobs. In total, Dell
announced the ending of about 8,800 jobs in 2007–2008 — 10% of its workforce.
By the late 2000s, Dell's "configure to order" approach of manufacturing—delivering individual PCs
configured to customer specifications from its US facilities was no longer as efficient or competitive
with high-volume Asian contract manufacturers as PCs became powerful low-cost commodities. Dell
closed plants that produced desktop computers for the North American market, including the Mort
Toper Manufacturing Center in Austin, Texas (original location) and Lebanon, Tennessee (opened in
1999) in 2008 and early 2009, respectively. The desktop production plant in Winston-Salem, North
Carolina received $280 million USD in incentives from the state and opened in 2005, but ceased
operations in November 2010. Dell's contract with the state required them to repay the incentives for
failing to meet the conditions, and they sold the North Carolina plant to Herbalife. Most of the work
that used to take place in Dell's U.S. plants was transferred to contract manufacturers in Asia and
Mexico, or some of Dell's own factories overseas. The Miami, Florida facility of its Alienware
subsidiary remains in operation, while Dell continues to produce its servers (its most profitable
products) in Austin, Texas. On January 8, 2009 Dell announced the closure of its manufacturing
plant in Limerick, Ireland with the loss of 1,900 jobs and the transfer of production to its plant in
Lodz in Poland.

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2013 BUYOUT

The founder of Dell, Michael Dell, said of the buyout "I believe this transaction will open an exciting
new chapter for Dell, our customers and team members". Dell rival Lenovo reacted to the buyout,
saying "the financial actions of some of our traditional competitors will not substantially change our
outlook". Meanwhile, HP stated that Dell's traditional product innovation might suffer as a result of
the buyout.
The buyout price represents a small premium over the current stock price, and much lower than the
stock's all-time high of $65 USD per share reached during the dotcom bubble in 2000, as well as its
July 2005 price of $40 USD which was the high-water mark of the post-dotcom era. The price of
$13.65 per share represented a 25% premium to the stock price, but far below the 52-week high of
$18.36, and more than 76% off its all-time high. Several major institutional shareholders have voiced
opposition, including Southeastern Asset Management and Mason Hawkins. Michael Dell owns the
largest single share of the company's stock and was part of negotiations to go private, however he is
offering only $750 million of his own money for a deal that will involve almost $16 billion in new
debt. T. Rowe Price, which has the third largest holding, also objected to the low price of the
proposal. Southeastern Asset Management, the largest shareholder of Dell stock with about 8.5%, is
opposed to the deal at the per share price of $13.50 to $13.75 as they value the company at $23.72 a
share. Southeastern also complained that the overseas funds aren't offered to sweeten the buyout
offer.
Typical leveraged buyouts have been viewed as tools of vulture capitalists. Ordinarily, the buyer
seeks to break up the firm and lay off workers, or bring greater efficiency and new management to a
troubled firm. The Dell leveraged buyout is unusual because the driving force behind the deal was
not a vulture capitalist, but rather, Michael Dell, who was already the Chairman and CEO, founder,
and largest shareholder of the firm. Unlike most leveraged buyouts that aim to wrest management
control away from incumbents, the Dell deal intends to keep the same leadership team in place. The
main aim of Dell's leveraged buyout is to rejigger the company’s financial structure. By going
private, Dell would be able to radically restructure its legacy PC business and build up its enterprise
solutions and cloud computing, without worrying about the impact on its quarterly results and its
stock price. Gartner has warned that this may include Dell leaving the PC market entirely.

In March 2013, the Blackstone Group and Carl Icahn expressed interest in purchasing Dell. In April
2013, Blackstone withdrew their offer, citing deteriorating business. Other private equity firms such
as KKR & Co. and TPG Capital declined to submit alternative bids for Dell, citing the uncertain
market for personal computers and competitive pressures, so the "wide-open bidding war" never
materialized. Analysts said that the biggest challenge facing Silver Lake would be to find an ―exit
strategy‖ to profit from its investment, which would be when the company would hold an IPO to go
public again, and one warned ―But even if you can get a $25bn enterprise value for Dell, it will take
years to get out. ‖
In May 2013, Dell joined his board in voting for his offer. The following August he reached a deal
with the special committee on the board for a raised price of $13.75 plus a special dividend of 13
cents per share, as well as a change to the voting rules. The offer was accepted on September 12 and
closed on October 30, 2013, ending Dell's 25-year run as a publicly traded company.

After the buyout the newly private Dell offered a Voluntary Separation Programme that they
expected to reduce their workforce by up to seven percent. The reception to the program so exceeded
the expectations that Dell may be forced to hire new staff to make up for the losses.

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Acquisitions
For more details on this topic, see List of Dell ownership activities.
• In 2006, Dell acquired Alienware, a manufacturer of high-end PCs popular with gamers.
• The company acquired Equal Logic on January 28, 2008, to gain a foothold in the iSCSI
storage market. Because Dell already had an efficient manufacturing process, integrating
Equal Logic's products into the company drove manufacturing prices down.

In 2009, Dell acquired Perot Systems, a technology services and outsourcing company, mainly
active in the health-sector, founded by former presidential hopeful H. Ross Perot

• In 2009, Dell acquired Perot Systems, based in Plano, Texas, in a reported $3.9 billion deal,
and amalgamated into Dell Services. The acquired business provided Dell with applications
development, systems integration, and strategic consulting services through its operations in
the U.S. and 10 other countries. In addition, the acquisition of Perot brought a variety of
business process outsourcing services, including claims processing and call center
operations.
• On February 10, 2010, the company acquired KACE Networks a leader in Systems
Management Appliances. The terms of the deal were not disclosed.
• On August 16, 2010, Dell announced plans to acquire the data storage company 3PAR. On
September 2, Hewlett-Packard offered $33 a share for 3PAR, which Dell declined to match.
• On November 2, 2010, Dell acquired Software-as-a-Service (SaaS) integration leader
Boomi. Terms of the deal were not disclosed.
• In February 2011, Dell completed the acquisition of Compellent extending the storage
solution portfolio.
• In August 2011, Dell completed the acquisition of Force10 networks changing the name in
Dell Force10. By acquiring this company Dell now has the full Intellectual property for their
networking portfolio, which was lacking on the Dell PowerConnect range as these products
are powered by Broadcom or Marcell IM.
• On February 24, 2012, Dell acquired backup and disaster recovery software solution
provider AppAssure Software of Reston, VA.AppAssure delivered 194 percent revenue
growth in 2011 and over 3500% growth in the prior three years. AppAssure supports
physical servers and VMware, Hyper-V and XenServer. The deal represents the first
acquisition since Dell formed its software division under former CA CEO John Swainson.
Dell added that it will keep AppAssure‘s 230 employees and invest in the company.
• In March 2012, USA Today said that Dell agreed to buy SonicWall, and the acquisition was
completed May 9, 2012. A company with 130 patents, SonicWall develops security
products, and is a network and data security provider. 
• On April 2, 2012, Dell announced that it wants to acquire Wyse, global market-leader for
thin client systems
• On April 3, 2012, Dell announced that it acquired Clarity Solutions. Clarity, a company
offering services for application (re)hosting, was formed in 1994 and has its headquarters in
Chicago. At the time of the take-over approximately 70 people were working for the
company.

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• On July 2, 2012, Dell announced that it was buying Quest Software. The acquisition was
completed on September 28, 2012
• On November 16, 2012, Dell announced it was acquiring Gale Technologies, a provider of
Infrastructure Automation Products. Gale Technologies was founded in 2008 and is
headquartered in Santa Clara, California.
• On December 18, 2012, Dell announced it was acquiring Credant Technologies, a provider
of storage protection solutions. Credant is the 19th acquisition in four years, as Dell had
spent $13 billion on acquisitions since 2008 and $5 billion in the past year alone.
• On March 24, 2014, Dell announced it was acquiring StatSoft, a global provider of analytics
software, in order to bolster its Big Data solutions offering.

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Dell facilities
Dell's headquarters is located in Round Rock, Texas. As of 2013 the company employs about
14,000 people in central Texas and is the region's largest private employer, which has 2,100,000
square feet (200,000 m2) of space. As of 1999 almost half of the general fund of the City of
Round Rock originates from sales taxes generated from the Dell headquarters.
Dell previously had its headquarters in the Arboretum complex in northern Austin, Texas. In
1989 Dell occupied 127,000 square feet (11,800 m2) in the Arboretum complex. In 1990, Dell
had 1,200 employees in its headquarters. In 1993, Dell submitted a document to Round Rock
officials, titled "Dell Computer Corporate Headquarters, Round Rock, Texas, May 1993
Schematic Design." Despite the filing, during that year the company said that it was not going to
move its headquarters. In 1994, Dell announced that it was moving most of its employees out of
the Arboretum, but that it was going to continue to occupy the top floor of the Arboretum and
that the company's official headquarters address would continue to be the Arboretum. The top
floor continued to hold Dell's board room, demonstration center, and visitor meeting room. Less
than one month prior to August 29, 1994, Dell moved 1,100 customer support and telephone
sales employees to Round Rock. Dell's lease in the Arboretum had been scheduled to expire in
1994.
The company sponsors Dell Diamond, the home stadium of the Round Rock Express, the AAA
minor league baseball affiliate of the Texas Rangers major league baseball team
By 1996, Dell was moving its headquarters to Round Rock. As of January 1996, 3,500 people
still worked at the current Dell headquarters. One building of the Round Rock headquarters,
Round Rock 3, had space for 6,400 employees and was scheduled to be completed in November
1996. In 1998 Dell announced that it was going to add two buildings to its Round Rock complex,
adding 1,600,000 square feet (150,000 m2) of office space to the complex.
In 2000, Dell announced that it would lease 80,000 square feet (7,400 m2) of space in the Las
Cimas office complex in unincorporated Travis County, Texas, between Austin and West Lake
Hills, to house the company's executive offices and corporate headquarters. 100 seniors.

15
executives were scheduled to work in the building by the end of 2000. In January 2001, the
company leased the space in Las Cimas 2, located along Loop 360. Las Cimas 2 housed Dell's
executives, the investment operations, and some corporate functions. Dell also had an option for
138,000 square feet (12,800 m2) of space in Las Cimas 3. After a slowdown in business required
reducing employees and production capacity, Dell decided to sublease its offices in two
buildings in the Las Cimas office complex. In 2002 Dell announced that it planned to sublease its
space to another tenant; the company planned to move its headquarters back to Round Rock once
a tenant was secured. By 2003, Dell moved its headquarters back to Round Rock. It leased all of
Las Cimas I and II, with a total of 312,000 square feet (29,000 m2), for about a seven-year
period after 2003. By that year roughly 100,000 square feet (9,300 m2) of that space was
absorbed by new subtenants.
In 2008, Dell switched the power sources of the Round Rock headquarters to more
environmentally friendly ones, with 60% of the total power coming from TXU Energy wind
farms and 40% coming from the Austin Community Landfill gas-to-energy plant operated by
Waste Management, Inc.
Dell facilities in the United States are located in Austin, Texas; Plano, Texas; Nashua, New
Hampshire; Nashville, Tennessee; Oklahoma City, Oklahoma; Peoria, Illinois; Hillsboro, Oregon
(Portland area); Winston-Salem, North Carolina; Eden Prairie, Minnesota (Dell Compellent);
Bowling Green, Kentucky; Lincoln, Nebraska; and Miami, Florida. Facilities located abroad
include Penang, Malaysia; Xiamen, China; Bracknell, UK; Manila, Philippines Chennai, India;
Hyderabad, India; Noida, India; Hortolandia and Porto Alegre, Brazil; Bratislava, Slovakia;
Lodz, Poland, Panama City in Panama, Dublin and Limerick, Ireland and Casablanca, Morocco
The US and India are the only countries that have all Dell's business functions and provide
support globally: research and development, manufacturing, finance, analysis, and customer
care.

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Manufacturing
From its early beginnings, Dell operated as a pioneer in the "configure to order" approach to
manufacturing—delivering individual PCs configured to customer specifications. In contrast,
most PC manufacturers in those times delivered large orders to intermediaries on a quarterly
basis.
To minimize the delay between purchase and delivery, Dell has a general policy of
manufacturing its products close to its customers. This also allows for implementing a just-in-
time (JIT) manufacturing approach, which minimizes inventory costs. Low inventory is another
signature of the Dell business model—a critical consideration in an industry where components
depreciate very rapidly.
Dell's manufacturing process covers assembly, software installation, functional testing (including
"burn-in"), and quality control. Throughout most of the company's history, Dell manufactured
desktop machines in-house and contracted out manufacturing of base notebooks for
configuration in-house. However, the company's approach has changed, as cited in the 2006
Annual Report, which states, "We are continuing to expand our use of original design
manufacturing partnerships and manufacturing outsourcing relationships." The Wall Street
Journal reported in September 2008 that "Dell has approached contract computer manufacturers
with offers to sell" their plants. By the late 2000s, Dell's "configure to order" approach of
manufacturing—delivering individual PCs configured to customer specifications from its US
facilities was no longer as efficient or competitive with high-volume Asian contract
manufacturers as PCs became powerful low-cost commodities.
Assembly of desktop computers for the North American market formerly took place at Dell
plants in Austin, Texas (original location) and Lebanon, Tennessee (opened in 1999), which have
been closed in 2008 and early 2009, respectively. The plant in Winston-Salem, North Carolina
received $280 million USD in incentives from the state and opened in 2005, but ceased
operations in November 2010, and Dell's contract with the state requires them to repay the
incentives for failing to meet the conditions. Most of the work that used to take place in Dell's
U.S. plants was transferred to contract manufacturers in Asia and Mexico, or some of Dell's own

17
factories overseas. The Miami, Florida facility of its Alienware subsidiary remains in operation,
while Dell continues to produce its servers (its most profitable products) in Austin, Texas.
Dell assembled computers for the EMEA market at the Limerick facility in the Republic of
Ireland, and once employed about 4,500 people in that country. Dell began manufacturing in
Limerick in 1991 and went on to become Ireland's largest exporter of goods and its second-
largest company and foreign investor. On January 8, 2009, Dell announced that it would move
all Dell manufacturing in Limerick to Dell's new plant by January 2010.
Dell opened plants in Penang, Malaysia in 1995, and in Xiamen, China in 1999. These facilities
serve the Asian market and assemble 95% of Dell notebooks. Dell Inc. has invested estimated
$60 million in a new manufacturing unit in Chennai, India, to support the sales of its products in
the Indian subcontinent. Indian-made products bear the "Made in India" mark. In 2007 the
Chennai facility had the target of producing 400,000 desktop PCs, and plans envisaged it starting
to produce notebook PCs and other products in the second half of 2007.
Dell moved desktop and PowerEdge server manufacturing for the South American market from
the Eldorado do Sul plant opened in 1999, to a new plant in Hortolandia, Brazil in 2007.

Products

18
19
• Scope and brands
Dell's tagline 'Yours is Here', as seen at their Mall of Asia branch in Pasay City, Philippines
The corporation markets specific brand names to different market segments.
Its Business/Corporate class represent brands where the company advertising emphasizes long
life-cycles, reliability, and serviceability. Such brands include:

• OptiPlex (office desktop computer systems)


• Dimension (home desktop computer systems)
• Vostro (office/small business desktop and notebook systems)
• N Series (desktop and notebook computers shipped with Linux or FreeDOS installed)

20
• Latitude (business-focused notebooks)
• Precision (workstation systems and high-performance notebooks),
• PowerEdge (business servers)
• Power Vault (direct-attach and network-attached storage)
• Force10 (network switches)
• Power Connect (network switches)
• Dell Compellent (storage area networks)
• EqualLogic (enterprise class iSCSI SANs)
• Inspiron (budget desktop and notebook computers)
• XPS (high-end desktop and notebook computers)
• Alienware (high-performance gaming systems)
• Dell EMR (electronic medical records)

• Dell's Home Office/Consumer class emphasizes value, performance, and expandability.


These brands include:
Venue (Tablets Android / Windows)

Dell's Peripherals class includes USB key drives, LCD televisions, and printers; Dell monitors
includes LCD TVs, plasma TVs and projectors for HDTV and monitors. Dell Ultra Sharp is
further a high-end brand of monitors.
(MP3 player; discontinued August 2006), Dell PowerApps (application-based servers), and Dell
OptiPlex (desktop and tower computers previously supported to run server and desktop operating
systems).
• Technical support
Dell routes technical support queries on products for the professional market according to
component-type and to the level of support purchased:

21
1. Basic support provides business-hours telephone support and next business-day on-site
support/ Return-to-Base, or Collect and Return Services (based on contracts purchased at point
of sale)
2. Dell ProSupport provides 24x7x365 telephone and online support, a selection of 4 or 6-hour
onsite support after telephone-based troubleshooting, and a Mission Critical option with two-
hour onsite support, for customers who choose the highest level of support for their most critical
hardware assets.

In addition, the company provides protection services, advisory services, multivendor hardware
support, "how-to" support for software applications, collaborative support with many third-party
vendors, and online parts and labor dispatching for customers who diagnose and troubleshoot
their hardware. Dell also provides Dell ProSupport customers access to a crisis-center to handle
major outages, or problems caused by natural disasters. Dell also provide on-line support by
using the computer's service-tag that provides full list of the hardware elements installed
originally, purchase date and provides the latest upgrades for the original hardware drivers.
Dell's Consumer division has 24x7 phone based and online troubleshooting in the United States
and Canada. In 2008, Dell redesigned services-and-support for businesses with "Dell 0", offering
customers more options to adapt services to fit their needs.

Commercial aspects

• Organization
The board consists of nine directors. Michael Dell, the founder of the company, serves as
chairman of the board and chief executive officer. Other board members include Don Carty,
William Gray, Judy Lewent, Klaus Luft, Alex Mandl, Michael A. Miles, and Sam Nunn.
Shareholders elect the nine board members at meetings, and those board members who do not
get a majority of votes must submit a resignation to the board, which will subsequently choose
whether or not to accept the resignation. The board of directors usually sets up five committees
having oversight over specific matters. These committees include the Audit Committee, which
handles accounting issues, including auditing and reporting; the Compensation Committee,

22
which approves compensation for the CEO and other employees of the company; the Finance
Committee, which handles financial matters such as proposed mergers and acquisitions; the
Governance and Nominating Committee, which handles various corporate matters (including
nomination of the board); and the Antitrust Compliance Committee, which attempts to prevent
company practices from violating antitrust laws.
Day-to-day operations of the company are run by the Global Executive Management Committee,
which sets strategic direction. Dell has regional senior vice-presidents for countries other than
the United States, including David Marmonti for EMEA and Stephen J. Felice for Asia/Japan. As
of 2007, other officers included Martin Garvin (senior vice president for worldwide
procurement) and Susan Sheskey (vice president and Chief Information Officer).

• Marketing

Dell advertisements have appeared in several types of media including television, the Internet,
magazines, catalogs and newspapers. Some of Dell Inc's marketing strategies include lowering
prices at all times of the year, free bonus products (such as Dell printers), and free shipping to
encourage more sales and stave off competitors. In 2006, Dell cut its prices in an effort to
maintain its 19.2% market share. However, this also cut profit-margins by more than half, from
8.7 to 4.3 percent. To maintain its low prices, Dell continues to accept most purchases of its
products via the Internet and through the telephone network, and to move its customer-care
division to India and El Salvador.
A popular United States television and print ad campaign in the early 2000s featured the actor
Ben Curtis playing the part of "Steven", a lightly mischievous blond-haired youth who came to
the assistance of bereft computer purchasers. Each television advertisement usually ended with
Steven's catch-phrase: "Dude, you're getting' a Dell!"
A subsequent advertising campaign featured interns at Dell headquarters.
A Dell advertising campaign for the XPS line of gaming computers featured in print in the
September 2006 issue of Wired. It used as a tagline the common term in Internet and gamer
slang: "FTW", meaning "For the Win". However, Dell Inc. soon dropped the campaign.

23
Dell released new advertising created by Working Mother to support the Inspiron and XPS lines.
The ads featured music from the Flaming Lips and Devo who re-formed specially to record the
song in the ad "Work it Out". Also in 2007, Dell began using the slogan "Yours is here" to say
that it customizes computers to fit customers' requirements

Dell partner program


In late 2007, Dell Inc. announced that it planned to expand its program to value-added resellers
(VARs), giving it the official name of "Dell Partner Direct" and a new Website.
Dell India has started Online Ecommerce website with its Dell Partner www.compuindia.com
GNG Electronics Pvt Ltd termed as Dell Express Ship Affiliate(DESA). The main objective was
to reduce the delivery time. Customers who visit Dell India official site are given option to buy
online which then will be redirected to Dell affiliate website compuindia.com.

Criticisms of marketing of laptop security


In 2008, Dell received press coverage over its claim of having the world's most secure laptops,
specifically, its Latitude D630 and Latitude D830. At Lenovo's request, the (U.S.) National
Advertising Division (NAD) evaluated the claim, and reported that Dell did not have enough
evidence to support it.
In addition to showcasing products, the stores also support on-site warranties and non-warranty
service ("Dell Solution Station"). Services offered include repairing computer video-cards and
removing spyware from hard drives.
On February 14, 2008, Dell closed the Service Center in its Dallas NorthPark store and laid off
all the technical staff there.

Retail Stores

As of the end of February 2008, Dell products shipped to one of the largest office-supply
retailers in Canada, Staples Business Depot. In April 2008, Future Shop and Best Buy began
carrying a subset of Dell products, such as certain desktops, laptops, printers, and monitors.

24
Since some shoppers in certain markets show unwillingness to purchase technological products
through the phone or the Internet, Dell has looked into opening retail operations in some
countries in Central Europe and Russia. In April 2007, Dell opened a retail store in Budapest. In
October of the same year, Dell opened a retail store in Moscow.
In May 2008, Dell reached an agreement with office supply chain, Officeworks (part of Coles
Group), to stock a few modified models in the Inspiron desktop and notebook range. These
models have slightly different model numbers, but almost replicate the ones available from the
Dell Store. Dell continued its retail push in the Australian market with its partnership with Harris
Technology (another part of Coles Group) in November of the same year. In addition, Dell
expanded its retail distributions in Australia through an agreement with discount electrical
retailer, The Good Guys, known for "Slashing Prices". Dell agreed to distribute a variety of
makes of both desktops and notebooks, including Studio and XPS systems in late 2008. Dell and
Dick Smith Electronics (owned by Woolworths Limited) reached an agreement to expand within
Dick Smith's 400 stores throughout Australia and New Zealand in May 2009 (1 year since
Officeworks — owned by Coles Group — reached a deal). The retailer has agreed to distribute a
variety of Inspiron and Studio notebooks, with minimal Studio desktops from the Dell range

Competitors.
major competitors include Hewlett-Packard (HP), Acer, Fujitsu, Toshiba, Gateway, Sony, Dell's
Asus, Lenovo, IBM, MSI, Samsung and Apple. Dell and its subsidiary, Alienware, compete in
the enthusiast market against AVADirect, Falcon Northwest, VoodooPC (a subsidiary of HP),
and other manufacturers. In the second quarter of 2006, Dell had between 18% and 19% share of
the worldwide personal computer market, compared to HP with roughly 15%.
In late 2006, Dell lost its lead in the PC-business to Hewlett-Packard. Both Gartner and IDC
estimated that in the third quarter of 2006, HP shipped more units worldwide than Dell did.
Dell's 3.6% growth paled in comparison to HP's 15% growth during the same period. The
problem got worse in the fourth quarter, when Gartner estimated that Dell PC shipments declined
8.9% (versus HP's 23.9% growth). As a result, at the end of 2006 Dell's overall PC market-share
stood at 13.9% (versus HP's 17.4%).

25
IDC reported that Dell lost more server market share than any of the top four competitors in that
arena. IDC's Q4 2006 estimates show Dell's share of the server market at 8.1%, down from 9.5%
in the previous year. This represents an 8.8% loss year-over-year, primarily to competitors EMC
and IBM.
Imitators take less risk because they will start with an innovator's product and take a more
effective approach. Examples are IBM with its PC against Apple Computer, Compaq with its
cheaper PC's against IBM, and Dell with its still-cheaper clones against Compaq.
As a large provider of computer products and services across both the business and computer
sectors, Dell Inc. competes most closely with Hewlett-Packard Company and Lenovo. Dell also
competes with IBM Corporation in the business hardware and software arenas, as well as with
Apple Inc and many other makers of consumer PCs. Like Hewlett-Packard (HP), Lenovo and
IBM, Dell provides business products that include computer servers, data storage devices, PCs
and enterprise software. Also like these business rivals, Dell sells printers, networking hardware,
monitors and other computer peripherals, and cloud-based information technology services.
IBM, however, essentially left the consumer computing sector in 2004 upon selling its PC
business unit to Lenovo. Like Hewlett-Packard (HP), Lenovo and IBM, Dell provides business
products that include computer servers, data storage devices, PCs and enterprise software. Also
like these business rivals, Dell sells printers, networking hardware, monitors and other computer
peripherals, and cloud-based information technology services. IBM, however, essentially left the
consumer computing sector in 2004 upon selling its PC business unit to Lenovo. In August 2012,
when the company's stock was still publicly traded, Dell announced financial results for the
fiscal 2013 second quarter that showed growth in the server, networking and service markets but
steep sales declines in Dell's mobile products. At the end of 2012, Dell officially left both the
smartphone and Android mobile device markets. Just as Dell started to move toward a larger
business sector emphasis, however, Lenovo began

26
expanding beyond its triumphs in the business and consumer PC markets with successful
attempts to copy Apple's steps into consumer phones and tablets. Meanwhile, in October 2014,
Hewlett-Packard split itself into two divisions: Hewlett-Packard Enterprise, for business
computing products, and HP, for consumer computing products.

Environmental record
Dell committed to reduce greenhouse gas emissions from its global activities by 40% by 2015,
with 2008 fiscal year as the baseline year In November 2011, Dell ranked 2nd out of 15 listed
electronics makers (increasing its score to 5.1 from 4.9, which it gained in the previous ranking
from October 2010).
Dell was the first company to publicly state a timeline for the elimination of toxic polyvinyl
chloride (PVC) and brominated flame retardants (BFRs), which it planned to phase out by the
end of 2009. It revised this commitment and now aims to remove these toxics by the end of 2011
but only in its computing products.In March 2010, Greenpeace activists protested at Dell offices
in Bangalore, Amsterdam and Copenhagen calling for Dell ‘s founder and CEO Michael Dell to
‗drop the toxics ‘and claiming that Dell ‘s aspiration to be ‗the greenest technology company on
the planet was ‗hypocritical ‘. Dell has launched its first products completely free of PVC and
BFRs with the G-Series monitors (G2210 and G2410) in 2009.
In its 2012 report on progress relating to conflict minerals, the Enough Project rated Dell the
eighth highest of 24 consumer electronics companies.

Green initiatives
Dell became the first company in the information technology industry to establish a product-
recycling goal (in 2004) and completed the implementation of its global consumer recycling-
program in 2006. On February 6, 2007, the National Recycling Coalition awarded Dell its
"Recycling Works" award for efforts to promote producer responsibility. On July 19, 2007, Dell
announced that it had exceeded targets in working to achieve a multi-year goal of recovering 275
million pounds of computer equipment by 2009. The company reported the recovery of 78

27
million pounds (nearly 40,000 tons) of IT equipment from customers in 2006, a 93-percent
increase over 2005; and 12.4% of the equipment Dell sold seven years earlier.
On June 5, 2007, Dell set a goal of becoming the greenest technology company on Earth for the
long term. The company launched a zero-carbon initiative that includes:
1. Reducing Dell's carbon intensity by 15 percent by 2012
2. Requiring primary suppliers to report carbon emissions data during quarterly business reviews
3. Partnering with customers to build the "greenest PC on the planet"
4. Expanding the company's carbon-offsetting program, "Plant a Tree for Me"

The company introduced the term "The Re-Generation" during a round table in London
commemorating 2007 World Environment Day. "The Re-Generation" refers to people of all ages
throughout the world who want to make a difference in improving the world's environment. Dell
also talked about plans to take the lead in setting an environmental standard for the technology
industry and maintaining that leadership in the future.

Criticism
In the 1990s, Dell switched from using primarily ATX motherboards and PSU to using boards
and power supplies with mechanically identical but differently wired connectors. This meant
customers wishing to upgrade their hardware would have to replace parts with scarce Dell-
compatible parts instead of commonly available parts. While motherboard power connections
reverted to the industry standard in 2003, Dell continues to remain secretive about their
motherboard pin-outs for peripherals (such as MMC readers and power on/off switches and
LED's).
In 2005, complaints about Dell more than doubled to 1,533, after earnings grew 52% that year.
In 2006, Dell acknowledged that it had problems with customer service. Issues included call
transfers of more than 45% of calls and long wait times. Dell's blog detailed the response: "We're
spending more than a $100 million — and a lot of blood, sweat and tears of talented people — to

28
fix this." Later in the year, the company increased its spending on customer service to $150
million. Despite significant investment in this space, Dell continues to face public scrutiny with
even the company's own website littered with complaints regarding the issue escalation process.
On August 17, 2007, Dell Inc. announced that after an internal investigation into its accounting
practices it would restate and reduce earnings from 2003 through to the first quarter of 2007 by a
total amount of between $50 million and $150 million, or 2 cents to 7 cents per share. The
investigation, begun in November 2006, resulted from concerns raised by the U.S. Securities and
Exchange Commission over some documents and information that Dell Inc. had submitted. It
was alleged that Dell had not disclosed large exclusivity payments received from Intel for
agreeing not to buy processors from rival manufacturer AMD. In 2010 Dell finally paid $100
million to settle the SEC's charges of fraud. Michael Dell and other executives also paid
penalties and suffered other sanctions, without admitting or denying the charges.
Dell India today said it is leading the domestic PC market with 23.1 percent share across
segments in the first quarter of 2014, ahead of Lenovo, HP and Acer.
Dell has 33.1 percent share in Indian notebook market in the first quarter, said an IDC report.
In the PC market, the market share of HP was 24.1 percent, Lenovo 14.9 percent and Acer 10.9
percent in the first quarter of the calendar year.
Dell has 21.4 percent share in the consumer and small business segment. Dell also leads the
Small Business segment with an overall share of 26.2 percent (No.1 in notebook with 61.0
percent and desktop with 15.4 percent).

29
Market segmentation, plan and SWOT Analysis

SWOT Analysis.
Earlier this year, CEO Michael dell announced a $24.4 billion private buyout of the company,
led by the consortium of investors that include Mr. dell, Microsoft and private equity firm silver
lake management. In light of this development, our marketing team chose to contemplate the
operation future of Dell by comparing recently complied pre-buyout SWOT analyses and
revising them by incorporating project and potential consequences of the buyout. Two such
analyses, prepared in late 2012 by Market line and global Data, were accordingly consulted for
perspective during the preparation of this report.

30
Strengths:
Although the massive sale of Dell implies optimism on the part of it buyers, the purchase
constitutes a considerable gamble and raises question about the long-term growth of the
company. Nevertheless, it returns to privet ownership with several assisting hands. Statistics
aggregate by global Data indicate that Dell ‘s operating efficiency has most recently been
increasing. while the company’s operating income increased by26.42%(from $3,505m to$4,431)
between fiscal 2011 and 2012, its net profit also increased by 32.52%(from $2,635m to$3,492m)
during the same period (2012, p.2). Dell ‘s long history of effective supply chain management is
one reason for this advantage stance
Dell ‘s considerable market share and diverse product portfolio are additional testaments to its
history of acute long-term investment strategies. That portfolio extends well into the enterprise
computing market-an industry focused on proceeding networking, computing and storage
solution to businesses- which is projected to grow worldwide at grate pace than the consumer PC
industry. For instance, according to research group market line Dell already the command the
third largest share of the world-wideserver market. In the final quarter of 2012, the company held
its rank as third largest PC manufacturer, retain 1%of the market. DELL willing relinquished
some of the marketing 4th quarter, in order to focus on investment in both enterprise and tablet
computing bid).
In late 2012, dell released two tablets to coincide with the unveiling of Microsoft ‘s windows 8
operating system. Those tablets are subject of this marketing plan. Even before the buyout, the
future fortune of Dell and Microsoft wereentwined, since both companies are currently
dependent upon windows, its related software and hardware used to host it. Despite introducing
its own tablet to the market, Microsoft CEO Stevebellmen has indicated his company’s strong
support for other devices manufacturer(OEM) bundling those devise with window RT and
windows 8. Possible plan for shared venture help to explain the investment of Microsoft in dell.

Weakness:
The unmistakable elephant in the room for dell is the debt that will inaugurate the company’s
return to private ownership. This debt constitutes s a considerable risk on the part of the
investing

31
consortium. With an absence of liquidity and lender confidences in the company low, Dell will
likely need to make do with the resources currently at its disposal. Leveraging those resources
effectively enough to slough off the onus of massive interest will be necessary to maintain and
enhance the long-term completeness and profitability of the company. even without public
shareholder shaking pitchfork, dell will need to demonstrate significant innovation and generate
substantial revenue to retain its influence and relevance.
Although it has recognized the declining consumer PC market as a potential liability, and has
strategically withdrawn from the lowest-budget segment of that Markey, this decision marks a
begrudging exodus from ailing industry in which Dell has proven an expert. Dell and and the
investors backing it, can only hope to capitalize on firm ‘s recent purchase of companies with
connection to the enterprises computing industries.

Opportunities:
In the area computing the popularity and sales of tablets remains strong Microsoft shoes on sing
of abandoning its promotion of windows 8 for use on those devices. Both companies are well-
positioned to capitalized on the growth of the enterprises tablet computing market, where the
hand –held devices typically offer a lower cost mobile alternative to laptop and desktop
computers. As previously noted, future hardware –software partnership between Microsoft and
Dell are expected by analysts. Those expectation extend beyond B2C to B2B models,
particularly in the development of software created the companies that Dell purchased prior to
the firm’sbuyout. Quest software, gale technologies and celerity solutions are just a few of the
many acquisition that Dell will need to effectively leverages in order to profitably emerge from
their self-imposed sequestration.

Threats:

Manage spectators believe that dell ‘s announced buyout is calculated reaction to the of the firm
‘s core historical market, consumer PCs. This is undoubtedly true by the firm still has several
―cash flow products positioned in that market, meaning that both slumping that sell and shifting
product focusthreaten to reduce the firm’s revenue. Looking elsewhere, the two-principal market
of opportunity for

32
dell, tablet, enterprise computing, are characterized by ferocious completion among powerfully
positioned containers. Even without the I pad in the equation, Microsoft and Dell must fight to
convince many iOS and android accustomed smart phone user that windows 8 in the OS they
should be running on their tablets. Dell must also compete with the other top IT suppliers most
notably Hellerparker, IBM and Oracle and numerous starters for significant share of the
enterprise of the computing market. Many of those competitors are better positioned financially
to market the water. Dell ‘s margin for a strategic error, on the other hand, is slim. Since it will
soon become weighted by debt, if Dell take a calculated plunge but fined itself into deep to
resurface, it’s unclear who (if anyone) could or would risk diving into rescue the firm.

33
Market segmentation of Dell in India
Segmentation means to divide the marketplace into parts, or segments, which are
definable, accessible, actionable, and profitable and have a growth potential.
Definition: Segmentation means to divide the marketplace into parts, or segments,
which are definable, accessible, actionable, and profitable and have a growth potential.
In other words, a company would find it impossible to target the entire market, because
of time, cost and effort restrictions. It needs to have a 'definable' segment - a mass of
people who can be identified and targeted with reasonable effort, cost and time.
Once such a mass is identified, it has to be checked that this mass can actually be
targeted with the resources at hand, or the segment should be accessible to the
company. Beyond this, will the segment respond to marketing actions by the company
(ads, prices, schemes, promos) or, is it actionable by the company? After this check,
even though the product and the target are clear, is it profitable to sell to them? Is the
number and value of the segment going to grow, such that the product also grows in
sales and profits?
Description: Segmentation takes on great significance in today's cluttered marketplace,
with thousands of products, media proliferation, ad-fatigue and general economic
problems around the world markets. Rightly segmenting the market place can make the
difference between successes and shut down for a company.
• Segmentation allows a seller to closely tailor his product to the needs, desires,
uses and paying ability of customers. It allows sellers to concentrate on their
resources, money, time and effort on a profitable market, which will grow in
numbers, usage and value.

34
• Marking Mix of Dell

• Dell is one of the leading Consumer durables brand. The marketing mix of dell
talks about the way in which dell has improvised to gain a competitive position.

➢Product:

• Dell believes that, „Marketing is not about providing products or services it is


essentially about providing changing benefits to the changing needs and demands
of the customer‟.

• Dell provides a wide variety of both business class and home/consumer class
products and services.

• Dell designs, develops, manufactures, markets, sells, and supports a wide range
of products that in many cases are customized to individual customer
requirements.

• A few examples of products for individual and professional customers are Dell
Precision workstations, OptiPlex desktops, Dimension desktops, and Inspiron
and Latitude notebooks.

➢Price:

• Pricing strategies usually change as the product passes through its life cycle,
because there is constrains on the company’s freedom to price a product at
different stage.

• The main objective of Dell is to produce the low price and profitable PC for the
customers.

• For the above reason Dell’s product pricing reflects the affordability of the local
consumers.

• Because Dell products are so customizable, the price is largely dependent on the
options and services added to the product.

• Dell is undercutting competitors in price to rapidly gain market share.

35
➢Place:

• Place is also known as channel, distribution, or intermediary. It is the mechanism


through which goods and/or services are moved from the manufacturer / service
provider to the user or consumer.

• Dell has been able to affect the location strategy aspect of its marketing
campaign.

• As Dell’s products are always available at the nearest dealer’s customers develop
trust for the “local Dell” thereby achieving the objective of gaining their trust in
Dell products and services, and forming a large and diversified consumer base.

➢Promotion:

• Another one of the 4 P‟s is promotion. This includes all the tools available to the
marketer for „marketing communication‟.

• Dell in the past have not concentrated on extensive marketing campaigns but
these revolutionaries in 1999 when Dell changed its tactics by engaging in
extensive marketing campaigns.

• Dell markets its products primarily by advertising on television and the Internet,
advertising in a variety of print media, and mailing or emailing a broad range of
direct marketing publications, such as promotional materials, catalogs, and
customer newsletters.

Dell has recently started promoting its products through retailers like Best Buy, Staples,
Wal-Mart, GOME, and Carrefou

36
CHAPTER 3

37
RESERCH METHODOLOGY

Present chapter deals with the methodology adopted to fulfill the objectives of the present
study. The study was conducted in the thane district of Maharashtra. Present chapter is
divided into following sub-head.

1. Sampling technique

2. Collection of data and method of enquiry

3. Period of enquiry

4 Analytical tools

3.1 Sampling Technique

3.1.1 Selection of State and District

The Maharashtra was selected purposively for the present study. The thane district was
selected purposively for the present study.

3.1.2 Selection of Respondents

Judgment/purposive sampling was used to select the respondents. The 100 respondents were
selected for the present study. The criteria for selection of respondents was, that only those
customerswere selected those are purchasing dell devices

38
3.2 Data Used for Study

Present study was based on the primary data. The data was collected from the respondents
using pre-tested schedule.

3.3 Analytical Tool

3.3.1 GARRETT Ranking

Garrett ranking has used to rank the factors influencing the customers’ choice for store it is
the rank given for its item the individual and it is the number of items ranked by the
individuals.

3.3.2 Likert Scale

Likert scale is simply a statement which the respondent is asked to evaluate according to any
kind of subjective or objective criteria, generally the level of agreement and disagreement is
measured. Likert scaling is a bipolar scaling method, measuring either positive or negative
response to a statement.

3.2 Statement of the Problem:

39
It is very important for any company to know how the customers perceive their products,
services or the organization as a whole. It is the customer’s perception which influences the
products and services of the organization. If the organizations make an attempt to find the
customers perception then, it can alter its products accordingly and offer to its customers. In
this study we are attempting to understand the customer perceptions so that the store can
improve upon in the areas where the customers do not have good perceptions. Ascertaining
customer’s perception becomes very complicated when it comes to retailing,

Types of research

Experiments
People who take part in research involving experiments might be asked to complete various tests
to measure their cognitive abilities (e.g. word recall, attention, concentration, reasoning ability
etc.) usually verbally, on paper or by computer. The results of different groups are then
compared. Participants should not be anxious about performing well but simply do their best.
The aim of these tests is not to judge people or measure so-called intelligence, but to look for
links between performance and other factors. If computers are used, this has to be done in such a
way that no previous knowledge of computers is necessary. So, people should not be put off by
this either.

Surveys
Surveys involve collecting information, usually from fairly large groups of people, by means of
questionnaires but other techniques such as interviews or telephoning may also be used. There
are different types of survey. The most straightforward type (the ―one shot survey‖) is
administered to a sample of people at a set point in time. Another type is the ―before and after
survey‖ which people complete before a major event or experience and then again afterwards.

HYPOTHESIS

A foremost statistical mechanism for decision making is the hypothesis test. The concept of
hypothesis testing lies at the heart of inferential statistics, and the use of statistics to “prove” or

40
“disprove” claim hinges on it. With hypothesis testing” business researcher is able to structure
problem in such a way that they can use statistical evidence to test various theories about the
business phenomena. Business application of statistical hypothesis testing run the gamut from
determining whether a production line process is out of control to providing conclusive
evidence that a new management leadership approach is significantly more effective than an
old one.

“Hypothesis is an assertion made by the researcher that relates the researcher to the set of
facts that are investigated by the researcher through certain test.”

The main concentration of the research is based on how dell can grab the Chinese PC market.
The hypothesis of the research is Dell computers have failed in the Chinese market, because of
the lack of knowledge of consumer demand and the marketing environment over there. The
researcher will try to find out the answer of the question such as why has the Dell computers
failed to attract the Chinese PC market? So now how can they overcome this problem? It is also
very important to find out answer to these questions if Dell again want to create a space in the
Chinese market what all changes is required to be done, what kind of strategy it has to follow
now.

H0: Feature is not more attracting quality in devices?

H1: feature is more attracting quality in devices?

Interviews

Interviews are usually carried out in person i.e. face-to-face but can also be
administered by telephone or using more advance computer technology such as
Skype. Sometimes they are held in the interviewee ‘s home, sometimes at a more
neutral place. It is important for interviewees to decide whether they are
comfortable about inviting the researcher into their home and whether they have a
room or area where they can speak freely without disturbing other members of the
household.

41
The interviewer (which is not necessarily the researcher) could adopt a formal or
informal approach, either letting the interviewee speak freely about a particular
issue or asking specific pre-determined questions. This will have been decided in
advance and depend on the approach used by the researchers.

Questionnaires

Questionnaires are a good way to obtain information from a large number of people and/or
people who may not have the time to attend an interview or take part in experiments. They
enable people to take their time, think about it and come back to the questionnaire later.
Participants can state their views or feelings privately without worrying about the possible
reaction of the researcher. Unfortunately, some people may still be inclined to try to give socially
acceptable answers. People should be encouraged to answer the questions as honestly as possible
so as to avoid the researchers drawing false conclusions from their study.

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CHAPTER 4

43
CLASSIFICATION AND TABULATION OF DATA
1.What do you think about Devices/Gadgets?

Response No. of Respondent Percentage


Informative 60 60
Entertaining 20 20
It Irritating 5 5
Awareness 15 15

Total 100 100

No. of Respondent

15%

5% Informative
Entertaining
It Irritating
20% 60%
Awareness

Interpretation: The above analysis shows that about 60% of people think the gadgets and the
devices are more informative and rest 20% people considered it as Entertaining and rest followed
by the same as mentioned.

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2. For what main purpose you are using Devices/Gadgets?

Response No. of Respondent Percentage


Informative 30 30
Entertaining 10 10
Learning 20 20
Commercial work 40 40
Total 100 100

No. of Respondent

30% Informative
40%
Entertaining
Learning
Commercial work
10%

20%

Interpretation: The above analysis shows the responses of the people in regards to its usages as
mentioned in the diagram.

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3. What Subject influence you to Buy /Suggest in Selecting Devices?
Response No. of Respondent Percentage
Entertainment 20 20
Official work 40 40
Home use 10 10
Learning 30 30
Total 100 100

No. of Respondent

20%
30% Entertainment
Official work
Home use
Learning
10%
40%

Interpretation: The above analysis shows the percentage of influence of people in regards to
buying process of the gadgets.

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4. Which Company Devices you could like to Suggest?
Response No. of Respondent Percentage
Dell 70 70
Lenovo 10 10
HP 10 10
Acer 10 10
Total 100 100

No. of percentage

10%
10% Dell
Lenovo
10%
HP
Acer
70%

Interpretation: The above analysis shows the suggestion of the computer devices of particular
company by the people.

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5. Which mode influence you to buy the Devices/ Gadget?
Response No. of Respondent Percentage
Online 55 55
In-store 20 20
Authorized companies 25 25
Total 100 100

No. of Respondent

25%
Online
In-store
55%
Authorized companies
20%

Interpretation: The above analysis shows the influence of buying devices which is mostly by
Online followed by Authorized and In-Store as mentioned in the diagram.

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6. Which is the most trust worthy Sellers would you like to suggest?
Response No. of Respondent Percentage

Online seller 30 30
In-store seller 20 20
Authorized seller 50 50
Total 100 100

No. of Responndent

30%
Online seller
50% In-store seller
Authorized seller

20%

Interpretation: The above analysis shows the most trust worthy seller which would be suggested
which is about 50% via Authorized seller and 30% via online and rest 20% via In-store seller.

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7. Who provides Best Services as per your Experience?
Response No. of Respondent Percentage
Dell 40 40

Lenovo 15 15
HP 30 30
Acer 15 15
Total 100 100

No. of Respondent

15%
Dell
40%
Lenovo
HP
30%
Acer

15%

Interpretation: The above analysis shows the experience of the best seller which is 40% via Dell
followed by the rest as mentioned in the above diagram.

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8. Do you think Information Technology is much more important and necessary in our Day-to-
Day Life?
Response No. of Respondent Percentage

Yes 90 90

No 10 10

Total 100 100

No. of Repondent

10%

Yes
No

90%

Interpretation:The above analysis shows the importance of the Information Technology in our
day to day life.Among the same 90% it is considered as must in our daily life.

51
9. Before buying any gadgets/devices whom you like to be Suggest?
Response No. of Respondent Percentage
By Online 40 40
By Relative 10 10
By Friends 20 20
By Advertising 30 30
Total 100 100

NO. of Respondent

30% By Online
40%
By Relative
By Friends
By Advertising
20%
10%

Interpretation: The above analysis shows the suggestion of the devices and the gadgets before
buying the same. Among the same the mostly is via online and followed by the rest as mentioned
in the diagram.

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10. How do you choose your Devices/Gadgets?

Response No. of Respondent Percentage


Brands 20 20
Feature 40 40
Price 40 40
Total 100 100

No. of respondent

20%

40% Brands
Feature
Price

40%

Interpretation: Most of the people’s preference for Devices selection is considered through
features (40%) Brand (20%) and price(40%).

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11. What is your most attracting quality in devices?

Response No. of Respondent Percentage


Looks 30 30
Feature 40 40
Price 30 30
Total 100 100

No. of respondent

30% 30%
Looks
Feature
Price

40%

Interpretation: The above analysis shows the most attracting quality in devices which is 40% via
Feature followed by 30%via look and price.

12.Do you think new entrants will have an effect on your mindset for your selected devices?

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Response No. of Respondent Percentage

Yes 80 80

No 20 20

Total 100 100

No.Respondent

20%

Yes
No

80%

Interpretation: In today’s competitive marketing the rival companies come up with new and
innovative technology in day-to-day life, these innovation technologies make the product more
durable and useful that’s why these innovative products may impact on consumers mind and
may change the perception and buying behavior of consumer.

55
13.Do you think Brand positioning in devices has an effect on the standard of living of the
people?

Response No. of Respondent Percentage

Yes 60 60

No 40 40

Total 100 100

No. of Respondent

40%
Yes
No
60%

Interpretation: Form the above analysis it can be seen that there is the possibility that brand
status may does impact on consumers mind. The Higher standard of people will go for Branded
Product as they can effort but Middle class and Lower standard of people go as per their
Budget.

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14. How is your preference towards brands towards I.T Companies?

Response No. of Respondent Percentage

Good 55 55

Average 45 45

I don’t Prefer Brand 0 0

Total 100 100

No. of Respondent

0%

Good
45%
Average
55%
I don’t Prefer Brand

Interpretation:The Brand of any product does the impact on the survival of the product in the
Market. The Branded product may easily Survive as branded name it has so the Brand does the
impact on the consumers mind and effect positively on the survival of the product.

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15. Which Brand of devices do you find more attractive?
Response No. of Respondent Percentage
Dell 34 34

Lenovo 25 25
HP 28 28
Acer 30 30

Total 100 100

No. of Respondent

26% 29% Dell


Lenovo
HP
Acer
24% 21%

Interpretation: As per the ratio analysis the most of the people find Dell Is the more attractive
Devices compare with other. Dell has much more shares as per the ratio compare with other as
the offer much Better convenience to their customer- Internal and External and also to their
Dealers. Dell also offer much better service to their Buyers that make attentive to the
customers.

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16. Which I.T Companies devices provides the best comfort Zone according to you?
Response No. of Respondent Percentage
Dell 27 27
Lenovo 20 20
HP 27 27
Apple 26 26
Total 100 100

No. of Respondent

10%

32% Dell

25% Lenovo
HP
Apple

33%

Interpretation: The Comfort Zone for the customers is the prior responsibilities of any
Manufactures or dealers they should make that product which make comfortable to their
customer. As Dell devices is available in every electronic store and even online and provide best
service consumer or user as compare with others I.T companies and also the user Interface of
Dell as support windows operating which is also Friendly compare with Apple, that’s why Dell
has much more Buyer as Compare with other I.T companies.

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CHAPTER 5

60
ANALYSIS & INTERPRETATION OF DATA

Dell Inc., one of the world ‘s largest computer manufacturers in the world, has developed its
business in a unique way, by selling equipment directly to customers around the globe. The
company was founded in 1984, and has grown from its original base in Texas, USA, into a key
international player in the computer industry.
Dell Computer Corporation has been extremely successful generating a 13 billion empire only
within 13 years of operation in computers market.
This research is to analysis the Marketing Strategy of Dell Inc., and also to know the behavior of
Consumer toward the Dell and Other I.T companies. This data also picturized the competitor of
dell and also their market strategy they use. The data report is collected from online and also
from field research.
At the core, Dell remains focused on customers ‘technology needs, both in the consumer and
commercial space to deliver a complete end-to-end Dell Client Solutions experience. This
includes creating a robust range of products to be the ultimate productivity companion for
customers, along with solutions that enable companies to securely manage their data and service
offerings like ProSupport Plus that deliver a seamless user experience. With the vision to deliver
technology solutions in markets from Tier 1 to Tier 5, Dell is espousing the cause of enhancing
technology awareness and accessibility, encouraging customers to recognize the role technology
can play in them achieving their full potential. In the Commercial Notebook segment, Dell
attained the No.1 position with a unit shipment share of 32.5% in Q2CY15. With a 6.6% Y-o-Y
growth in the commercial notebooks space, Dell gained 16% Y-o-Y in units share in Q2CY15.
In the Workstation market, Dell maintained its No.1 position with a 47.6%-unit share in
Q2CY2015, according to IDC ‘s Asia Pacific Quarterly Workstation Tracker, Q2 2015 (August
2015 release). This position comes as an extension of the lead the company has upheld in the
Workstations business for the last three consecutive quarters.
Dell ‘s workstation business saw an 11% Y-o-Y growth in unit shipment, and a 3.7% Y-o-Y
increase in unit share.

India is one of the fastest growing markets for Dell. Over the last few quarters, the company has
been taking calculated steps to augment market outreach and customer relationships in the
Commercial PC market. A quarter marked with intensive outreach to customers to ensure
sustained conversations and enduring relationships, as well as consistent partner engagement to
energize the channel to collaborate and serve customers; acted as key contributors to the
Commercial business performance.
Dell Inc., serve the best service to the customer and try to satisfy their customer along
with making the best market share in global market. In Dell India, with a huge market share
enjoying best goodwill compare with other I.T manufacturing companies. This data may make
you aware about the competitors of dell and market stability in suburbs.

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CHAPTER 6

62
CONCLUSION & RECOMMONDATION

CONCLUSIONS

Only proper execution of this plan can soundness of its strategy be logically evaluated. That
strategy entails rising consumer awareness of Del tablets and their potential for both
productivity and entertainment. Success of the marketing plan will be measured using market
share and sales metrics, in order to track the progress of the marketing objectives. The
perception of value is essential to Dell in all its product and services but is particularly crucial in
the hyper- completive industry of tablet computing. Dell has built a brand synonymous with
usability and affordability. The XPS 10 and latitude 10 tablets exemplify those virtues, and this
marketing plan will effectively communicate the fact prospective customers.

RECOMMENDATION
From a quantitative analysis, it is easy to see which development path should be chosen
by Dell in choosing which battery should be placed into its upcoming personal computer product
launch. In looking at the sensitivity analysis and expected profit margins it is clear that a more
flexible approach should be instituted in developing the Latitude series PC.
The reasons behind recommending this option stem from more than just a numerical analysis.
While there are obviously some drawbacks to each of the development processes under
consideration, we believe the benefits of the dual development process greatly exceed the risk
associated with the other options by the greatest margin. For example, if Sony ‘s final results
indicate that the Lion technology is stable and ready for mass production, Dell will have an
architectural platform ready to incorporate this new technology allowing for the company to
achieve a first mover advantage within the PC market. Additionally, the company will also be
able to strategically outpace the competition by locking in a contract for exclusive rights to the
limited supply of Lion technology, thereby excluding their competition from competing along
this parameter. With a growing demand for extended battery life due to changes in PC market
conditions, this technology could result in a huge economic payoff. Also, by leaving both battery
options available longer into the product development cycle, Dell can eliminate the risk and
uncertainty associated with trying to predict future market preferences and demands.
Typically, most company’s product development lifecycles become unnecessarily extended
while market analysts and product designers try and gather information as to what exactly the
market conditions will look like at product launch. Because commitments are made so early on
in the product development lifecycle, and become costly to change later in the process, most
companies feel this step is necessary to reduce product launch risk. This risk can be mitigated
however by delaying important decisions, like which battery to install, until later in the
development process when designers can accurately know what the current market conditions
are.
While this is a fundamental shift in how to approach the development process, both empirical
and historical evidence has already suggested that companies who have the ability to make

63
changes close to product launch show a positive correlation to increased customer satisfaction
and firm performance. IBM ‘s product launch of their first personal computer is a perfectly
relevant industry example as to why product flexibility is critical towards establishing market
dominance. At the time of the launch of the first PC, IBM had to choose whether to utilize a
cassette based method of data storage, or move forward with floppy disk technology. Instead
of making the choice for the customers, IBM let the customers make the choice by designing
their system to be compatible with both options. As a result, IBM ‘s product launch was an
enormous success and they were able to utilize real market data to determine that the future
technical direction of the company would be to pursue floppy disk technology. Since Dell is in
essentially the same position with its battery dilemma, they could borrow the lessons learned
at IBM and apply it to their current situation by choosing the more flexible dual development
process

SO AS PER THE STUDY ALTERNATIVE HYPOTHETISIS IS ACCEPTED (H1) AND NULL


HYPOTHETISIS IS REJECTED

64
CHAPTER 7

65
BIBLIOGRAPHY

Books:

• Philip Kotler, Kevin Keller, Marketing management, SAGE Publication


• Kotler, P. and Armstrong, G, Principles of Marketing,

Online search:
https://en.wikipedia.org/wiki/Dell

http://www.dell.com/learn/in/en/incorp1

http://www.businesstoday.in/current/corporate/dell-ranks-one-pc-vendor-in-commercial-
segment-idc/story/217245.html

http://www.slideshare.net/KamranSabir1/dell-case-study-38859569?related=2

https://en.wikipedia.org/wiki/Marketing_plan

http://www.businessdictionary.com/definition/innovation.html#ixzz3lcqf32xO

http://www.investopedia.com/ask/answers/052015/who-are-dells-main-competitors.asp

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CHAPTER 8

67
ANNEXUTRE

Name: -
Age group (yrs.)
Below 18 yrs.
18-25 yrs.
25-40 yrs.
40-55yrs
Above 55

Gender
Male
Female.

1. What do you think about Devices/Gadgets?


 Informative
 Entertaining
 Its irritating
 Waste of Time
2 For what main purpose you are using Devices/Gadgets?
 Informative.
 Entertaining.
 Learning.
 Commercial work.

3. What Subject influence you to Buy /Suggest in Selecting Devices?


 Entertainment.
 Official work.
 Home use.
 Learning.

4. Which Company Devices you could like to Suggest?


 Dell

68
 Lenovo
 H.P
 Acer
5. Which mode influence you to buy the Devices/ Gadget?
 Online.
 In-stores.
 Authorized companies store.

6. Which is the most trust worthy Sellers would you like to suggest?
 Online sellers
 In-stores Sellers.
 Authorized sellers.

7. Who provides Best Services as per your Experience?


 Dell
 Lenovo.
 H.P
 Acer
8. Do you think Information Technology is much more important and necessary in our Day-to-
Day Life?
 Yes.
 No.

9. Before Buying any gadgets/Devices Whom you like to be Suggested?


 By Online
 By Relative.
 By Friends.
 By Advertising.

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10. How do you choose your devices/gadgets?

 Brand

 Features

 Price

11. What is your most attracting quality in devices?

 Looks

 Features

 Technology

12. Do you think new entrants will have an effect on your mind set for your selected devices?

 Yes

 No

13. Do you think Brand positioning in devices has an effect on the standard of living of the
people?

 Yes

 No

14. How is your preference towards Brands in I.T Companies?

 Good

 Average

 I don’t prefer Brand

15.Which Brand of devices do you find more attractive?

 Dell

 Lenovo

 HP

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 Acer

16. Which I.T Companies devices provide the best comfort zone according to you?

 Dell

 Lenovo

 HP

 Acer

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