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Dell Case Essay

887 words - 4 pages

Introduction and Company background

The purpose of this case study is to analyze the new product scenario and provide a written report.

Dell Computers was founded by Michael Dell in 1984 and has its head offices in Round Rock, Texas. (Benedetto, 2012, p. 165) Michael Dell has a very simply philosophy, selling computer systems directly to customers, Dell could best understand their needs and efficiently provide the most effective computing solutions to meet those needs. This direct business model eliminates retailers that add unnecessary time and cost, or can diminish Dell's understanding of customer expectations. (Dell Inc. - Company Profile, Information, Business Description, History, ...view middle of the document...

A recent study of the home/small business PC market found that most customers considered two important nonprice attributes when selling a PC: flexibility and performance. (Benedetto, 2012, p. 165) This will be an addition to an existing product line, about 26% of new products. (Benedetto, 2012, p. 14) According to the book, Phase 4 is a very important phase in the new products process. Phase 4 is the development phase, focusing on technical tasks and marketing tasks. We will be focused against these as well in this stage first starting with technical tasks: specify the full development process and its deliverables. Undertake to design prototypes; test and validate prototypes against protocol; design and validate production process for the best prototype, slowly scale up production as necessary for product and market testing. (Benedetto, 2012, p. 30) The second that we will be focusing against will be the marketing tasks, prepare strategy, tactics, and launch details for marketing plan, prepare proposed business plan and get approval for it, stipulate product augmentation ( service, packaging, branding, etc.) and prepare for it. (Benedetto, 2012, p. 30)

Perceptual Map

Market researcher’s use perceptual mapping to compare products (and potential products) based on the perceptions of customers. The purpose of a perceptual map is to identify the images that consumers have of and the reactions they have to brands, products, services and other market offerings. This information can help a business identify potential new products during the product development process. (Wiley, 2012) In this particular comparison we are looking at two essential key nonprice attributes of the top 4 major brands. According to the book the positions are on scales of -2 to +2. (Benedetto, 2012, p. 166) It seems that...

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