Strategic Management for Dell

In its earlier operation, the success of the Dell company has been based on the two aspects that helped it to gain a competitive advantage in the market. The first aspect was in its product model. While most of its competitors remain with the earlier production model where they would manufacture computers ready for sale, Dell utilized the post-Fordism model of production in which products were tailored to the needs of the consumers. The end of the production process for other competitors acted as the starting point of production for Dell. This was an important process that helped it to keep track of the manufacturing process and ensured that the company had the control of the process right from the start to the time the product was delivered to the consumer. It was a production process that is lead by the descriptions of the consumers. However, this had an effect on lowering the innovative part of the company. While other companies worked to develop computers that assumed new features, Dell remained to wait for the customer description in order to tailor-make the products. (Darlin, 2006)
The other aspect of growth for the company was the price advantage that it had over the other competitors. In this case, the production model which ensured that the company had fewer expenses when it came to inventory control and therefore was able to market its product less. The marketing strategy for the company also helped to eliminate middlemen in the process and delivered the product right from the company to the customer. This also reduced the price of its product.
These are two of the strategies that the company should be working on in the new strategy. They are strategies which helped it to grow and which can also help it to acquire a large segment of the market again. Which are the specific areas that the companies need to address in its new strategy
There is a number of areas that the company will need to emphasize on in order to reclaim its market and to prosper in growth. These areas include the production process, marketing and meant penetration and diversification.
Production process
There are minor changes that need to be made in the production process. While the production process has helped the company to cut a competitive edge in the market, it has not been effective in helping it to address the various changes that arise in the operating environment. The production strategy was useful in the beginning when the level of completion was low but it has been losing its effectiveness with time owing to changes taking place in the environment. The production process was sensitive to the market the production cost and it helped to deliver products on time to the consumers. This shows that it helped to meet the demands of the consumer in having products made to their demand and to suit their tastes.
But the competitors have been working on new strategies to beat this model while not copying the Dell production model. They have been banking on the production of styled computers with many enhancement which is new to the consumers.