Dell
Industry competitors by product: Gateway, Compaq, Hewlett-Packard, and IBM are Dell's top competitors. Dell sells directly to consumers via the Internet and telephone. Dell's product is build to order computers including desktops, workstations, network servers, and laptops. Dell offers a wide range of optional peripherals such as monitors, cable, video, modems, and data storage. Dell also includes several vendor options such as Kingston Technology, Microsoft, 3COM, Cisco Systems. Dell is the world leader in direct sales of computers.Gateway sells desktops, laptops, workstations and servers via the Internet and telephone. Gateway has introduced their "country stores" offering consumers 'a first hand look' of their products. Gateway is #2 in the direct sales computer market. Gateway's chairman and founder, Ted Waitt owns 44% of the company and his brother, Norm owns 8% of Gateway.Currently, Compaq is the #1 PC maker in the world with about 12% of the market and is the third largest computer firm in the world. Compaq offers a similar product line to Dell with one difference, Compaq is available in department /computer stores such as Best Buy. Compaq also offers their customers the option to configure/purchas
" The Direct relationships will enable Dell to link their value chain back to their product design via manufacturing. In this manner, Dell is able to meet the needs of customers ranging from bleeding to leading edge technologies. Dell has also launched a supply-chain integration initiative that promises to extend their "direct" business model backward into the value chain to further reduce inventory levels and increase the velocity of both information and product flow. These pages are customized, password-protected extranet sites that Dell creates for its corporate and public-sector customers such as Ford Motor and Shell Oil. In the near future, the system will be tied to all of Dell's suppliers' factories throughout the world. Dell has several well-established supplier/vendor relationships and intends to capitalize on these relationships through innovative uses of the Internet. Founded in 1984 with $1,000, Dell had an unprecedented idea in the personal computer industry: bypass the middleman. The price drop begins to slow as newer and faster PCs are introduced. One example of this is Dell Computer's entry into the server market, with its PowerEdge 2200. It appears that Michael Dell has found an excellent pace for Dell from the innovative uses of technology to the impeccable timing of transition from one product to the next, Dell Computer is driving forward at a neck breaking speed and shows no signs of slowing. Dell is attempting to reduce the number of direct substitutes through its; "Premier Pages. Dell is one of many companies to produce IBM compatible clones. The high price tag instantly identifies this option as the bleeding edge. Dell 's brand recognition is high and this fact might hinder a new entrant.
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