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A great marketing strategy pays off
Dell Computers has become a byword in its industry for efficiency and reliability, and it is one of the great American success stories. The strategy of manufacturing computers ordered by customers directly through the Internet has helped the company outperform its competitors. There is no need for Dell to maintain an expensive inventory of assembled computers in warehouses, and costs are further reduced by just-in-time delivery of parts to the factory when needed to fill specific orders. These production, distribution, and marketing practices provided a 10% cost advantage over competitors that used more traditional practices , enabling Dell to make a profit on far slimmer margins. While Dell competes primarily on the basis of price, the made-to-order marketing strategy in combination with flexible manufacturing techniques also makes it possible to satisfy customers with different needs
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