Case Study: (1) Dell Computer Corporation : The Beginning Story

How many of us know the name of Michael Dale? But we all know the name of the Dell computer. In the world of computer manufacturing in the present world it is a giant company, a reliable brand name. But do we know the origin of it? Let’s go back.

Michael Dell is the father of the Dell Company whose success began in the dormitory room of the University of Texas in the 5th. Michael Dell is only 5 years old, which means he is still a teenager. He started his own business, Dell Computer Corporation, with just $ 5 to make. He did not finish his formal education but he knew how to do business. Within just five years, he transformed his company into one of the world’s largest personal computer producers. He arranged for the employment of four people in the first year of the establishment, and then sold personal computers and accessories to Dell’s annual sales of $ 1 million. And nowadays, Dell products are easily available in most of the world.

When Michael Dale was a boy, he learned about computers and became proficient in technical aspects. The business idea was enough. He thought a computer maker would get $ 20 when a buyer buys a computer for $ 5, so there is a profit involved. A computer dealer gets $ 5. But why? Dale questions himself. Does the seller add anything extra to the manufacturer’s product? Dell itself does not seem to draw the conclusion to this question.

Then Michael Dell figured out another way to sell computers. For the first few years, she sold her products directly to consumers. He used to advertise his products directly for sale (by telling people about his computer via flyer), telemarketing (informing the customer about his product via telephone), and selling by salespeople (he himself appeared to large corporate customers).

Now the question is, did Dell learn through business education how to succeed? Not in the field of general thought. He is a good communicator, a creative, creative thinker and a hard worker. Basically, these things make him a successful businessman, despite having no formal education on the business. His business success is the lesson of big business schools today. But he is fortunate enough to live in a place like America where anyone has the freedom to start a business. He thought that the business would go down, that he had the idea that he would do something new by surpassing the conventional retail business concept and apply it in reality.

At the very beginning of the organization, Dell made it clear that he would not build IBM’s clone computer. He wanted something more realistic and thought he would design and build his own Dell machine accordingly. And he did. At present, Dell is maintaining its own propriety in the personal computer world.

Generally, the product from the computer manufacturer’s factory goes to the distributor. From there it goes to the retailer and it is changed from the retailer to the consumer. But Dell-produced Dell computers go directly from the factory to the consumer. There is no other middleman or distribution channel in the middle. Dell has been launching its own website since 4 years and has been selling products to buyers through it.

Despite his success in the market, he has never heard criticism. He has to hear that he does not want to delegate responsibility to others, but more to control himself. Even so, some people have quit high salaries and secured jobs just to work with him. To such people, Michael Dell is a hard worker, has a vision of his own, and above all, is a world-class business leader.

INC January 5 Michael Dell was voted Best Entrepreneur by Magazine Vote. Michael Dale is a burning example of what a businessman can do in a free business environment.

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