Thursday, February 22, 2007

Business Week analyzes Dell

In a BW analysis of what's led to Dell's recent issues culminating in Michael Dell's return to the CEO position, their venture into printers is mentioned. In "Where Dell Went Wrong" BW writers Nanette Byrnes and Peter Burrows comment on Dell's expansion into markets outside their core made-to-order PC business (in direct contrast to advice from legendary business thinker Clayton Christensen). The writers note:
After a promising start in printers, moving quickly to No.3, the most recent quarterly data from research firm IDC shows Dell's market share at 3.6%, down from 6.2% the previous year.

Among other interesting tidbits is the use of the "h" word -- "hubris" -- in describing Dell's over-confidence in their business approach. Highly recommended reading!

No comments: