Published by MBA Skool Team, Last Updated: January 23, 2022
SWOT analysis of Dell analyses the brand by its strengths, weaknesses, opportunities & threats. In Dell SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.
SWOT Analysis is a proven management framework which enables a brand like Dell to benchmark its business & performance as compared to the competitors. Dell is one of the leading brands in the IT & Technology sector.
The article below lists the Dell SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Dell SWOT Analysis:
For Dell, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.
The strengths of Dell looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Dell :
1. Dell has reliability and excellent customer service along with strong brand loyalty
2. The company has a direct model approach which provides Dell a way to interact to customers directly, thereby providing them the way for cross selling to their other products
3. The company has more than 150,000 employees worldwide
4. Online & offline customization of Dell products helps customers to configure their products as per the needs
5. Acquisitions have strengthened Dell's position in the global market
6. Dell Pro-Support is an excellent service feature providing customer service 24x7 for the entire year
7. Strong advertising & branding make it a popular laptop & PC brand
8. Dell products are widely available via their own website, e-commerce platforms as well as leading consumer electronics retail stores
9. The annual revenue of the company is more than $90 billion
10. Dell was one of the first IT companies to have a global recycling program of IT equipment & computer peripherals
The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Dell SWOT Analysis:
1. Market share growth is slow due to intense competition in the segment
2. Limited number of Dell Stores, as main business is done online, can be an issue for some customers.
The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Dell SWOT Analysis:
1. With increase in e-commerce the online retail stores of Dell provide them better framework to tap new business
2. The direct approach model of Dell would help them there existing to sell the other IT products, so new product development opportunity is for the company
3. Dell can target low priced tabs to capture emerging markets & rural areas
4. Tie-ups with research institutes, schools, colleges etc can further boost the company's business
The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Dell are as mentioned:
1. With the increase in innovation in the market the computer systems are becoming outdated, so Dell should constantly come out with new products
2. People need the quality products at low price which was Dell strength due to it’s customize solution, but now its competitors are coming up with products in same price range
3. Technological advancement constant, hence breakthrough innovation is essential
4. A global brand like Dell is affected by global economic policies, currency fluctuations etc.
There are several brands in the market which are competing for the same set of customers. Below are the top 5 competitors of Dell:
Dell offers customization of products as per customer
People looking for customized laptops & PCs
Home Users, Governmental institutions, Large Corporate and Students from urban sector
Customer’s choice of PC / laptop and customer’s tailored service provider
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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