The Dell Company E-Business Essay Example | Topics and Well Written Essays - 2000 words

The Dell Company E-Business - Essay Example In order to analyse the organization of Dell Company, its micro environment need to be evaluated with the help of Porter’s five Forces. It is one of the most recognised analytical tools utilised in maximum organizations among others. Bargaining power of the Suppliers: the bargaining power of the suppliers is extremely high and so the organization of Dell Company had to communicate with varied suppliers in order to attain the raw materials.Bargaining power of the buyers: the bargaining power of the buyers is also quite high in this segment due to the presence of numerous competitors such as IBM, Apple Inc, Acer etc. As a result, the level of switch over costs of the customers is also extremely high that may hinder the growth and dominance of the organization of Dell in the market to a considerable extent. Therefore, in order to retain the level of sustainability and supremacy in the market, the organization of Dell desired to offer inventive products and services to its custome rs. This might increase the loyalty and consistency of the organization in the market among many others. Threat of new entrants: the threat of new entrants is also quite high in this sector due to effective government policies and lower economies of scale. Due to which, the organization of Dell had to offer high concentration over research and development. This might prove effective in developing newly inventive product lines so as to attract a wide range of customers towards the brand that may enhance its profitability.