Business Analysis

Business Analysis Part III

Name

MGT521

January 16, 2012

Instructor

Business Analysis Part III

Deciding whether or not to invest in Dell Inc. requires critical and creative thinking. Research provides a greater understanding of business trending in order for stakeholders to make educated decisions regarding personal and business investments. The following study is designed to aid the author, a mutual fund manager, in making a fundamental investment decision. Key components of the subsequent business analysis include a detailed SWOT analysis, a glance at internal and external stakeholders' needs, and the overall fiscal health of DELL in relation to the leading competitors in the computer technology's ever-changing industry.

SWOT Analysis

"SWOT Analysis is a useful technique for understanding your Strengths and Weaknesses, and for identifying both the Opportunities open to you and the Threats you face" (Mind Tools Ltd, 2011, SWOT Analysis, para. 1). The subsequent paragraphs represent a snapshot of Dell from an internal and external perspective.

Strengths

Operational efficiency. Resourceful manufacturing is an integral component of an efficient operation. Dell (2011) stated, "From the warehouse floor to product delivery, mobility solutions provide access to information in real time and help automate operations, ultimately creating a seamless, error-proof work environment" (Times of India, 2011, para. 1).

DELL will have no debt at spinoff. According to Brand (2011), the disjointing of Dell's corporate business divisions, Dell and Dell Solutions, means zero debt for DELL upon development. Therefore, the newly defined entity is more easily leveraged and less inclined to accrue disadvantageous debts.

A pioneer of notebooks. – Dell is a leader in the market for notebook technologies and has forged a direct path to success. “Dell is one of the pioneers of notebook computers, and most profitable laptop patent portfolios in the world." (Barak, 2011, Devices,...