Can Michael revive Dell?
So, Michael is back in top position at Dell, or is he? Did Michael ever leave Dell.. Not really!
Dell is not failing becuase of the newly ex. CEO, no, really! Dell is failing due to a misstep after a misstep over the last few years.
The main misstep is customer service. Dell and Rollins thought that they can pocket some more money rather than create a good customer service. In the process, they created a brand name so cheap that it ryhmes with "Government Cheese"; if you have money, you would never buy it!
A second misstep is the freaking cheap A$$ design they created. I had to change my power adapter on my DELL laptop 3 times and that is not because the power adapter died (the power adapter is about $100 each). It was because the power socket keeps breaking. My CD/DVD ROM keeps loosing contact during operation! My only USB port is also broken. And forget about the laptop look. Ask Dell customers what motivates them to buy another one of these pieces of gargabe.
A third misstep, listening to Rahul! It looks like Rahul advised Dell to sign up to use AMD Chips while he himself signed up for C2D. The result: Dell no longer was getting the preferred customer service from Intel. The mistake was not signing up AMD, it was timing and genuinity. Dell signed up AMD at a time when investors became pissy and at the time when C2D started seeing the light. The move to AMD chips was to please investors and mask the problem longer.
The 4th misstep is keeping with the same old business model without update. Michael: customers have evolved and their number 1 priority is not saving $$ anymore. Many customers want an elegant design as the computer is becoming personal! It may have to be hip or match with rest of furniture. Many customers would like to "dink" with a laptop before they decide they want to buy it and they can not do that with it on the internet only, can they? But they can touch an HP laptop!
So, how can Michael save Dell? Well, he can not! Not with the same old mentality at least. You can not teach an old dog new tricks. He is part of the problem.
But here is my advice: Dell needs to provide a better customer service, rethink the design of their systems, and complement their internet model with Dell stores. Now, you see why Dell can not revive Dell?
posted by IT Kitty Cat at 11:50 AM
5 Comments:
Interesting perspective,
I think Charlie from the INQ plagarized this blog yesterday
6:47 PM
"Dell is doomed, doomed I say!
Or not"
I think you are referring to the article with that above title. Yeah it seems he did.
6:49 PM
Simple answer is "No way in Hell will Dell revive Dell!"
Why? He is the reason dell is where it is now..
5:15 PM
The life cycle of Dell's business model is over. Dell has to recreate their business model. They have to raise their price and morph into the next Samsung.
11:14 PM
Dell can't maintain a price edge over small builders or big box vendors any more.
And when a small builder can customize a system for a particular client, have it built within a few hours, and even retrieve data from old hard drive or install old hard drives wheras Dell can't....what edge does Dell offer?
Christ, the Dell name conjures images of plastic pieces of junk with a failure rate of 20% (I actually called and checked this last summer). What percentage of small vendor PC builders release machines that don't work? 0%.
The only reason Dell will survive is because businesses can order 500 machines from them and save a bundle and have them all within a small amount of time.
This deal with AMD only further solidifies the image of cheapness of the Dell name. AMD has always been a 'cheapie' brand, not because they're any poorer of quality these days, but because in the 90's they sucked and had to set their prices lower than Intels.
Now, almost a decade later, the label still haunts AMD, and thusly haunts Dell. What a stupid move by Dell! And AMD! 1+1=0 really. They'd have done better without each other.
8:16 AM
Post a Comment
<< Home