Tuesday, February 12, 2013

Dell Computers

Dell Computers

The word Dell comes from Michael Dell - a boy in college who had a great idea - sell computers on the internet - and let people choose the components.

Michael Dell in 1989
Michael Dell in 1989

Dell actually revolutionized the modern marketing methods. Brilliant. The new business model was praised by all experts !!

Beginning with "door-to-door" type sales in 1984 Michael Dell set up a website (seen  below in 1996) - and the computers were sold on the internet - people chose exactly what they wanted.

Dell took their money up front - then had the system build - shipped it to them - and paid the components much later.



Dec. 21 1996
"A personalized solution for every customer—that's the Dell way of doing business. In the Dell Store you can customize the computer you want with only a few clicks of the mouse—one more advantage of buying direct from the manufacturer.



  • To purchase a single computer, simply configure a personal system, add it to your shopping cart and follow the directions to purchase.
  • You can also select and buy multiple systems by adding each one to your shopping cart.
  • Security is an important consideration in conducting commerce on the Internet. Dell uses industry standard security technology. Click below for more information.
    Enjoy your visit and remember that customer assistance is always available at 1-800-213-DELL."

  • Born in 1965 Dell was convinced in January of 1984 - that the potential cost savings of a manufacturer selling PCs directly had enormous advantages over the conventional indirect retail channel. Dell then registered his company as "PC's Limited". 
    Operating out of a condominium, the business sold between $50,000 and $80,000 in upgraded PCs, kits, and add-on components.
    In May 1984 - Dell incorporated the company as "Dell Computer Corporation" and relocated it to a business center in North Austin. The company employed a few order takers, a few more people to fulfill them, and, as Dell recalled, a manufacturing staff "consisting of three guys with screwdrivers sitting at six-foot tables". The venture's capitalization cost was $1,000.

    Criticism

    In the April 2011 issue of Mother Jones, a timeline of Michael Dell's life is detailed in American Magnate: Michael Dell: How a homegrown geek outsourced, downsized, and tax-breaked his way to the top. 
    The article juxtaposes Dell's spending on luxurious homes and private jet travel with his pursuit of tax breaks and tax holidays and Dell Computer's eventual offshoring of jobs overseas after receiving the incentives for setting up shop locally.[34]

    Michael Dell
    Michael Dell in 2011 (all photos from the Internet)
    We guess he is explaining the truth worth of what he sells now in 2013 = zero



    Unfortunate Dell Evolution


    We do not want to re-invent the wheel - please read this article for a great history of Michael Dell´s true evolution >>
    "Recently, Dell Inc. has been better known for gobbling up federal contracts and pulling financial shenanigans to line its executives' pockets—all while exploiting tax loopholes, outsourcing production, and laying off American workers."



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