Dell’s Core Competency

Dell’s Present and Future Supply Chain Management – Potential Risk to Core CompetencyDell’s Present and Future Supply Chain Management – Potential Risk to Core Competency

Component Supplier

Component Supplier

Component Supplier

Component Supplier

Dell Inc.Customer Orders

PC directly through DellOr

Dell Builds and Ships to 3rd Party

VendorOr

Customer purchases PC

through Dell Stores

Customer

Orders and Buys PCDirect from Dell

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

Raw Materials Supplier

3rd Party Vendor

Sells Dell PCs

Dell Stores

Customer buys PCDirect from Dell Store

PC Market Growth and Decline

PC Game industry

2006 sales of $970 million Record 1 day sales with release of World

of Warcraft “Burning Crusade” title in 2007 (2.4 million in a 24 hr period)

Examples of VR interfaces

Extreme reality http://www.youtube.com/watch?v=a5DCvIyipXQ

Augmented reality personal display glasses

Examples of VR

Cloud Computing

www.themegallery.com

6

Emerging Markets

www.themegallery.com

7

This is the best Blue Ocean space for Dell