Design Con 2015

A Private Buyout Won't Cure What Ails Dell

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tech4people
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Supply Network Guru
Re: Windows 8 hasn't helped Dell
tech4people   1/21/2013 2:21:37 PM
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Houngbo,

I highly recommend you read the much heralded book-Innovators Dilemna by Clayton Christensen.

Its a brilliant,Brilliant book and talks about this very issue-How can a company which at one point of a time,reinvent itself when the Technology cycle changes.

The author clearly points out in the Book there are only Three strategies available to the company.

One)Keep up with whatever is current and is in the In-thing(where Dell has clearly failed so far).

Two)Fade into obsolence(which Dell does'nt want to)

and

Three)Keep yourself at the Top of your game in the area in which you excel-Even if it means being Numero Uno in a Shrinking market;its not really a bad strategy to keep Revenues Flat in a shrinking market.

For instance look at AOL's Dial up business.

 

 

Hospice_Houngbo
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Re: Windows 8 hasn't helped Dell
Hospice_Houngbo   1/21/2013 11:36:04 AM
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@tech4people

"They had sales of 57 Billion Dollars in 2012;a significant chunk of that came from PCs;it means somebody's still buying PCs right?"

Of course we will continue to use PCs for most of our computing tasks and Dell PCs will still sell well for the next few years. But this might not be enough for the company to secure substantial revenues in the future.

tech4people
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Supply Network Guru
Re: down but not out
tech4people   1/21/2013 11:25:23 AM
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Jordan,

I agree entirely with your sentiments here!

tech4people
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Supply Network Guru
Re: Windows 8 hasn't helped Dell
tech4people   1/21/2013 11:09:59 AM
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Houngbo,

I disagree

I don't think Dell's Days are over.

Sure their days of Hyper-Growth are over but that does'nt mean they can't(and won't) remain a Company with Steady sales.

In My opinion they need to work hard to improve in the Smartphone and Services space but still fight to retain control over the Declining but still massive PC space.

They had sales of 57 Billion Dollars in 2012;a significant chunk of that came from PCs;it means somebody's still buying PCs right?

How about being the First and Most important choice for anyone who wants to buy a PC?

Don't you think that will strengthen the company?

tech4people
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Supply Network Guru
Re: I love Dell PC
tech4people   1/21/2013 10:57:18 AM
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Bolaji,

Count me in as another Dell Fan!!!

I agree with your critical points here;especially the fact that they Don't have any Superstar Products.

But to say that the solution is "just " Great Design beats it-I feel that Dell has a very strong Future(as a listed company) if they provide great quality,reliable Products at a Good Price to consumers(including in the Tablet and Smartphone space).

Look what happened to Apple today-Its not having the Iphone 5 has protected them from Declining Sales-Has it?

 

Bolaji Ojo
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Re: down but not out
Bolaji Ojo   1/17/2013 6:06:44 PM
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JordanHoong, Thanks for the comment. It reminds me of one fact I had been pondering since, and that is this: Dell is still a big company with $60 billion in annual sales. You don't get to be that big without having done something right! Dell may be struggling now but it has the opportunity to bounce back. I don't think it needs to be taken private, though, since it will only compound the problems it has.

Hospice_Houngbo
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Supply Network Guru
Windows 8 hasn't helped Dell
Hospice_Houngbo   1/17/2013 7:55:55 AM
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Windows 8's poor market performance has not helped Dell to make a come back and apparently Dell is failing to keep up with the time. Can we say that Dell's best day may be over? 

Hospice_Houngbo
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Supply Network Guru
Re: I love Dell PC
Hospice_Houngbo   1/17/2013 7:47:39 AM
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@_hm,

As Bolaji said, there is no doubt about the quality of Dell's products. But computing nowadays and in the future is more about mobility (smartphones, tablets) than PCs. A company that only speaks PC will not survive in this mobility era.

JordanHoong
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Stock Keeper
down but not out
JordanHoong   1/16/2013 9:17:20 PM
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I agree with you and I know that Dell has been trying to get on the boat of smartphones and tablets but it hasn't really took off. I can't really tie Dell to anything exciting except that they provide cost competitive PC's. Having said that, even though that they are not offering the gadgets that everybody wants-smartphone,smart TV's,tablets & etc..but they are still one of the main players offering PC's which everybody needs. No matter how tablets sales skyrocket, we can never replace the good old laptops....at least for the time being.   

Barbara Jorgensen
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Dell
Barbara Jorgensen   1/16/2013 1:29:44 PM
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I agree that the quality of Dell's products isn't the issue. The fact that all PCs are of good quality now means Dell is no longer a standout. But neither is HP, at least in PCs. I wonder if Dell's BTO model still has some life in it in regard to customization. For instance, what if Dell configured your laptop/PC for you before it shipped?

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