Dell Did Not Do Mobile At All Likely To Drag The Performance Advantages Of Legs
Former boss to squeeze into the PC
Mobile
What the market did not advantage, not only will not help their recovery, they may drag the performance of legs.
Dell to enter the mobile phone market is really a. November 23, Dell released the first mobile phone in Beijing, products Mini3i. Since two years ago, before Dell airborne
Motorola
Executive Vice President Ron? Jialikesi responsible for its consumer business, the Dell will develop smartphone rumors to come and go, and eventually talk turned into reality, or beyond the author’s expectations. Because the mobile phone market has been crowded, while the oldest old PC to squeeze in the market, what advantage did not.
1. Dell in the consumer market, junior, with little experience. Dell’s consumer business unit was established two years ago to enter the retail market. Currently 80% of Dell’s revenue also focused on corporate customers. Dell
IT
Manufacturers, not consumers
Electronic
Manufacturers. Traditionally, supply chain management, cost control and direct sales channels in experience, is Dell’s strengths which are basically not suitable for mobile phones and other consumer electronics business.
2. The lack of brand. Dell’s long-term in the IT market, establish low-cost, high-cost brand image, may not apply to mobile phone users. And enterprise customers focus on durable, easy to use and cost-effective bias require different reason is that consumers pay more attention to individuation and emotional needs, while Dell is very simple and very civilians?? This move corporate customers, especially low-end customers But the public does not speak the consumers. Dell handset official retail price is 3980 yuan, but also the image of the Dell does not match with the civilian population is difficult for consumers to accept.
3. The lack of R & D accumulation. In March this year, there were foreign media reports: As Dell’s nothing new smart phone prototype, leading to Dell smartphone postponed. Although two years ago, Dell founder Michael? Dell back as CEO, Dell started pay more attention to product design, and recruited a large number of designers, but its investment in R & D has been less than rivals such as HP. Design will result in the accumulation and investment products difficult to attract enough customers, the cost has no advantage.
4. Dell is too “hard.” Now, the entire mobile phone market, the competitive environment is undergoing profound changes, only the “hard” not “soft” less and less competitive. With the Apple iPhone, BlackBerry and other companies with “terminal + application” integrated model popular, the traditional application of only selling products to provide mobile phone manufacturers do not suffer an unprecedented competitive pressures, Motorola and other handset makers have been the traditional declining; phone market boss
Nokia
Also has recognized the need to bundle mobile applications and services to attract users attention, and begin transition to the Internet. Dell also to mobile phones if the identity provider to enter the market, it seems behind the times. Moreover, if Jinmai phone hardware, or computer and sell the same profit as thin as paper.
In fact, Dell has introduced the system had a PDA WindowsMobile-based products Axim, but failed; Dell also introduced a
MP3
,
LCD TV
And other consumer electronics products, but in the end because it dragged down overall profit margins have to shrink or exit. Because the consumer electronics competitive level as much as computer products, profit margins are not higher than IT products.
So why Dell’s venture into mobile phone market? The reason is that performance has been stagnant the past two years, was the largest personal computer maker Dell, has now slipped to third place. Dell in the search for “East West, light does not shine.” Dell recently released as of October 30 has the third-quarter results poor performance: net profit down 54% year on year,
Sell
Volume down 15% year on year, significantly lower than Wall Street expected. However, several factors based on the above, Dell does not enter the cell phone will not only help recovery, they may drag the performance of the hind legs.
But Dell is not the situation itself is unclear, Dell choose to emerging markets such as China and Brazil to promote the nature of cell phones more to explore the way, if unsuccessful, it will immediately stop out of the market.
I am an expert from China Manufacturers, usually analyzes all kind of industries situation, such as wholesale instant coffee , quick fap.