Presented by ARVIND KUMAR

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 DELL VISION STATEMENT
According to MICHAEL DELL :-

Its the way we do business. It's the way we interact

with the community. It's the way we interpret the
world around us-- our customers needs, the future of
technology, and the global business climate. Whatever
changes the future may bring our vision -- Dell Vision
-- will be our guiding force.

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 DELL MISSION
Dell's mission is to be the most successful Computer
Company in the world at delivering the best customer
experience in markets we serve. In doing so, Dell will meet
customer expectations of:
1. Highest quality
2. Leading technology
3. Competitive pricing
4. Individual and company accountability
5. Best-in-class service and support
6. Flexible customization capability
7. Superior...
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 COMPANY DESCRIPTION
Dell Computer Corporation, incorporated in October 1987, is a
computer systems company and a provider of computing products
and services.

The Company's primary product offerings include enterprise

systems, notebook computers and desktop computer systems. The
Dell line of high-performance computer systems includes Power
Edge servers, Powernap server appliances, Power Vault storage
products, Power Connect networking products, Dell Precision
workstations, Latitude and Inspiron notebook computers, and
OptiPlex, Dimension and Smart step desktop computers.

The Company also markets and sells Dell/EMC storage products

under a long-term strategic relationship with EMC Corporation.
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 (cont.):

The Company provides targeted services for consulting,

deployment and support, as well as an extensive
selection of peripheral hardware, including hand-held
products, and computing software.

The Company conducts operations worldwide through

wholly owned subsidiaries. Sales outside the United
States accounted for approximately 35% of the
Company's revenues during the fiscal year ended
February 1, 2002 (fiscal 2002).

Two types of customers: Relationship and Transactional

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REVOLUTIONIZED INDUSTRY
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 (cont.):
1980 purchased first computer and takes it apart
1984 Registers Dell Computer Corporation
1987 International subsidiary in UK
1988 Initial IPO $30 million
1989 Accumulates excess inventory
1990 First to sell through retail Computer USA, Best
buy, wal-mart
• 1994 Launches latitude note book setting new on
battery life
• 1996 introduce power edge server for small and medium
server market
• 1998 solidifies internet market $ 12 million per day from
customer. Setup supplier network
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 BUSINESS STRATEGIES
1. Lower cost: avoid dealers markup and pass the saving to
customer

2. Customized system: customers get exactly what they wants.

3. Lower inventory: 4 days of supply in inventory, and ability to

4. incorporate the latest technologies into products

5. Save time: takes only 36 hours to manufacture

6. Easy for customers to order: either log on www.dell.com .

7. Aggressive pricing strategy to maximize market share

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 EXICUTIVE SUMMARY
Original Purchase: 500 shares @ $55.75 on 12th march
09
Sales growth rate from previous 5 years: 32.61%

Dell stock is fairly priced, if not slightly overvalued.

However, the Company keeps grabbing market shares,
and the quarterly numbers continue to improve. Also,
its financial strength has been excellent

Bottom Line: A great company richly priced. It’s worth

holding but look somewhere else for better return.
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 QUARTERLY INCOME STATEMENT
DOLLARS IN MILLIONS

11/2/08
(EXPECT PER SHARE 2/1/09 8/2/09 11/2/09 5/3/09
VALUE)

TATAL REVENUE 7468 8061 80668459 9144

GROSS PROFIT 1313 1416 1391 1515 1662

OPERATING INCOME 544 594 590 677 758

NET INCOME 429 456 457 501 561

BASIC NORMALIZED 0.164 0.175 0.1760.194 0.217

EPS

DILUTED NORMALIZED 0.1570.17 0.171 0.189 0.213

EPS
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 Competitors in PC Industry

TOP FIVE PLAYERS:

U.S. PC market Share
1. Dell
2. Compaq
3. HP OTHERS
DELL
25%
4. Gateway 40%

5. IBM

COMPAQ
13%
IBM GATEWAY HP
6% 7% 9%

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 (cont.):
Competitors in PC Industry
WORLD WIDE TOP 5 PLAYERS

COMPANY SHIPMENT MARKET SHARE GROWTH FROM

(MILLIONS) 3Q 2009

DELL 9.23 13.8% 10.8%

COMPAQ 7.23 10.4% -31.1%

IBM 5.18 6.6% -17.2%

HP 3.00 6.4% -24.6%

NEC 2.95 3.4% -27.5%

OTHERS 18.17 59.4% -7.8%

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 (cont.):
Competitors in PC Industry
Worldwide PC market share

DELL
14%
COMPAQ
10%

OTHERS IBM
60% 7%
NEC HP
3% 6%

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 WORLD WIDE PC MARKET SHARE
1. HP

2. DELL

3. ACER

4. LENOVO

5. TOSHIBA

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WORLD WIDE SEQUENTIAL MARKET SHARE

1. HP

2. DELL

3. ACER

4. LENOVO

5. TOSHIBA

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 US PC MARKET SHARE

1. DELL

2. HP

3. GETEWAY

4. TOSHIBA

5. APPLE

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 US SEQUENTIAL MARKET SHARE

1. DELL

2. HP

3. GETEWAY

4. TOSHIBA

5. APPLE

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 DELL WW FINANCIAL PERFORMANCE
Liquidity Growth
 Generated  Units +25%
$1.1B in Cash  Y/Y Share
from
Operations
 $11.9B in Cash
and
$ Gain
 +26% WW
 Revenue
Investments* $11.5B*
Profitability
 Gross margin = 18.2%
 Revenue = 9.6%*
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 DELL WORLD WIDE PRODUCT PERFORMANCE

Personal
Workstations
SERVERS
• Dell #2 • Dell #1
• DESKTOP • 23.2% share • 49.8% share
( 1 in US, 31.8% share)
• Dell # 1
• 19.4 share

• NOTEBOOK
• Dell #2
• 16.1% share 20
 DELL MARKET STRATEGY
If customer demand changes, ask WHY?…
Challenge them to understand why?
(understand the underlying economics from the
standpoint of capital, supply chain, technology,
market trends).
Don’t perfume the pig: Don’t make something
appear better than it is.
If you accept status quo as good enough, you are
managing in the rear view mirror.
If we have a problem we have to fix it. We know if
we don’t, someone else will.
Elevate a win to company wide accomplishment
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 DELL: A BUILD-TO-ORDER PC SUPPLY
CHAIN
KEY PLAYERS IN THE PC SUPPLY CHAIN:-

 Component Manufacturers :-
The suppliers of high-tech components, such as
microprocessors

 Distributors :-
They generally supply to corporate resellers and other
distributors.

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 (cont.):

DELL: A BUILD-TO-ORDER PC SUPPLY

CHAIN
Corporate resellers :-
The corporate resellers or systems integrators
generally buy systems directly from manufacturers
and install these systems at their corporate clients.

Retailers :-
These are essentially the stores that sell
computers to the end users. The end users are
home or small office users
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DELL INSPIRON

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WOULD YOU LIKE TO BE THE BRAND
MANAGER FOR THIS BRAND ?

YES
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 WHY ?
Me as a brand manager of dell :-

I think there are also lessons for established

businesses in Brand new in terms of the ability to
translate a single person's creativity into a
scalable capability and into powerful demand-
side connections with consumers.

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Thank you

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