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Dell Buyout: Good News For SMB Customers?
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Michael Endler
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Michael Endler,
User Rank: Author
9/19/2013 | 7:12:25 PM
re: Dell Buyout: Good News For SMB Customers?
After the shareholder vote, Michael Dell talked about delivering new
technologies (big data, cloud, etc) at low cost, just like the company used to do
with PCs. I take this to mean it will focus on bringing SMBs the kind
of products that IBM and HP are bringing to bigger customers; that is, Dell will work from the middle out, just as it has been doing for a while.

The midmarket has the most customers, but as Kevin alluded in the article, there's a problem: Dell will have trouble selling SMBs on some of this stuff, and Dell will be stuck with really low margins (if not losses) from many of its businesses. If Michael Dell has been waiting for the last year to break free from Wall Street, then perhaps he has a plan ready to go. Even with the PC market unraveling, the company has done a lot to redefine its portfolio, and I don't see why Michael Dell would invest so much of his own money if he didn't have an even more dramatic transformation envisioned. But Dell's recent quarterly reports also speak for themselves. Dell will have to convince some skeptics, as several of the comments in this thread demonstrate.
Laurianne
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Laurianne,
User Rank: Author
9/18/2013 | 1:54:59 PM
re: Dell Buyout: Good News For SMB Customers?
Dell wants to win midsize businesses on cloud related offerings and services of many kinds. Why the focus on services? Same reason as IBM and HP. That's where the profit margins are.
moarsauce123
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moarsauce123,
User Rank: Ninja
9/18/2013 | 11:38:26 AM
re: Dell Buyout: Good News For SMB Customers?
I agree, Dell's biggest problems are their shoddy product and service quality. I work with Dells on a daily basis and they are constantly dropping like flies. A lot of my time is spent on exchanges, transferring user data, and a lot of paper work. I think everyone would be willing to spend a few bucks more per device to get better quality...if it wasn't that Dell is already ridiculously overpriced.
I can build better systems myself for half the price of what Dell asks for and the warranty is at times even better. But nobody gets fired for buying Dell.
DDURBIN1
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DDURBIN1,
User Rank: Ninja
9/17/2013 | 8:29:42 PM
re: Dell Buyout: Good News For SMB Customers?
So no more quarterly reports and poof all Dell's problems are fixed. I don't think so. Wall street reporting has nothing to do with business strategy and execution. Dell is no longer an innovator like Apple or Samsung. At one time you could count on Dell to be first on the market with the latest Intel technology, now Dell lags. Dell is no longer inexpensive like Asus or Acer. At one time you could count on Dell to deliver the latest technology at the lowest cost because of lower overhead costs via direct online sales verses retail distribution. In many cases Dell prices are now more than retail. Dell no longer provides products/solutions customizable by customers. Since moving manufacturing to China customizations are limited. Basically all the advantages once propelling Dell are now gone. Going private ain't go'na fix that.


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