Dell Company

Introduction Dell, the number one PC manufacturer in the world, offers a full line of desktops and notebook PCs, servers, switches, networking hardware, handheld computers, printers, and some software. The company also began developing other products as well in recent times, including third-party built plasma TVs, printers, and Pads, after dropping the name "Computer" from "Dell Computer."

Products and Services

      Dell offers a variety of pre-configured product lines targeted to specific end-users. These include servers, workstations, storage tools, notebooks, and hand holds, two lines of desktops, and software and peripherals. Dell offers Ready Ware to system purchasers. With Ready Ware, purchasers can choose applications software from the Dell Ware catalog, at discounted prices, and have the software preinstalled at the factory. In addition to hardware, Dell offers several services, including Web hosting, Internet access, and wireless services. Other services include: Dell Talk online discussion forum, the "Ask Dudley" natural language search engine, the Dellnet.com portal site, and e-learning and consulting services (www1.us.dell.com).

Place

Dell has provided a user friendly website that allows consumers to research the product lines. Most consumers of PC's are already technologically savvy and have access to the Internet to research and purchase computer equipment. These Kiosks provided consumers the ability to work with a sales representative to answer any questions regarding a potential purchase. DELL has changed their marketing strategy to expand into retail stores such as Wal-Mar (Thurbin, pp 12-90)t. DELL found that while consumers could test their products they could not purchase them and take them home from the Kiosks. This new move will allow business partners to take on the cost of demonstrating and selling the products. Consumers will be able to view demonstrations, ask questions, and purchase DELL products from vendors (Thompson and Strickland, pp 30-189).

Price

Price should reflect the perceived value of a product or service to a customer. “Pricing decisions should take into account profit margins and the probable pricing response of competitors. Pricing includes not only the list price, but also discounts, financing, and other options such as leasing. Evaluating competitor cost versus the product value provided when determining the pricing for a product is critical to any pricing strategy. Consumers may be willing to pay more for a product though they will need to perceive the product is worth more. For example, a consumer may pay more for a vehicle that is considered to be reliable even though the completive ...