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Dell computer corporate case study
Dell computer corporate case study
Dell computer strategic case study
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Comparison and Contrast between Two Chapters
This paper will compare and contrast two CEOs that led technology companies through difficult times. Michael Dell CEO and founder of Dell Computers and Andy Grove former CEO and cofounder of Intel each provided quality leadership as their companies faced challenges in the fast-paced computer technology industry. This paper will introduce each man and describe their contributions to their company and the field of management, resistance they encountered, similarities in their professional lives and how they differed. The information about these two success CEOs comes from Jeffrey Krames (2003) book What the Best CEOs Know: 7 Exceptional Leaders and Their Lessons for Transforming Any Business.
Introduction of Business Professional and their contributions
Michael Dell founded Dell Computer in 1984 and grew it into one of the largest computer manufacturers in the world. Dell Computer’s success resulted in Michael Dell being the highlighted as “youngest CEO of a Fortune 500 company” (Krames, 2003, p.58). Michael Dell’s guiding principle is to focus on the customer. This principle routinely guided his leadership decisions including computer design and development decisions, the organizational structure of the company and in how Dell Computer used the Internet.
Andy Grove cofounded Intel in the late 1960s and helped it become the leading memory chipmaker and then the leading microprocessor chip manufacturer in the world. Andy Grove’s leadership through two significant challenges resulted in drastic change to the company that resulted in their continued success. Through these challenges, Andy Grove realized that companies face Strategic Inflection Points (SIP) or times when the company will ...
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...e also impacted by Moore’s Law, a prediction by Grove’s cofounder Gordon Moore, that “the power of the computer chip would double every 18 months” (Krames, 2003, p.136). This true concept resulted in rapid change in the computer industry causing Dell Computer and Intel to consistently change as technology changed.
Each man contributed significantly to their company’s success based on their own philosophies. They provided excellent insight to leadership paradigms and organizational challenges within the fast moving computer industry. Both men made positive impacts on the computer industry. It is fair to say, that the industry may not look the same today if it wasn’t for these to exceptional leaders.
Works Cited
Krames, Jeffrey A.. What the Best CEOs Know : 7 Exceptional Leaders and Their Lessons for Transforming Any Business.
: McGraw-Hill Professional Publishing,
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Although Steve and Bill are competitors, there are similarities between Steve Jobs and Bill Gates. Both of them are the most successful CEO’s in the world. Though they were college dropouts, but they still achieved a lot of success in their own way. Steve was a very innovative man. As the English proverb goes by “ Have no fear of perfection - you will never reach it.” by Salvador Dali. No matter how many times he failed, he could develop things from his own idea and turn them into a successful product. In 1979 Apple’s first product was introduced, people like it very much because of its simplicity and innovative ideas. Later on in year 1980, the company showed a tremendous performance, where its share rose by 32% (Messa, 1998). Similarly, Bill Gates was also like that, but just that Steve was in a company which makes hardware prod...
Michael Dell founded Dell Computer Corporation in 1984 with a simple vision and business concept – that personal computers can be built to order and sold directly to consumers. Michael believed his approach had two advantages: (i) by passing distributors and retail dealers eliminated the markups of resellers, and (ii) building to order greatly reduced the costs and risks associated with carrying large stocks of parts, components and finished goods. Its build-to-order and sell-direct approach proved appealing to growing numbers of customers in the mid 1990s as global PC sales rose to record level. In 1998, it was already the 3rd manufacturer in the United States with a 12% share of PC market and a nearly 6% share worldwide. The company’s fastest growing market for the past several quarters was Europe. Even during the Asia economic woes in the early 1998, Dell’s sales in Asia rose 35%. Its sales at the Internet Web site were about $5 million a day and expected to reach $1.5 billion annually by the year-end 1998. Since 1990, Dell’s stock price had exploded from 23 cents per share to $83 per share in May1998 with a 36,000% increase and was the top performing big company then.