Direct to Customer Interaction through eBusiness
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The document discusses Dell's direct-to-customer approach, which bypasses traditional sales channels and focuses on custom order fulfillment, resulting in lower prices and earlier payments. It contrasts 'make and sell' with 'sense and respond' business models, highlighting Dell's strategy of producing goods based on customer demand rather than pre-manufactured inventory. Additionally, it explains the advantages of Dell's model, including flexibility in production and enhanced customer service.
Direct to Customer Interaction through eBusiness
- 1. Direct to Customer Interaction UpekhaVandebona upe.vand@gmail.com
- 2. Bypassing of traditional sales and distribution channels to reach consumers directly Michael Dell
- 4. Built on a vision of customer responsive order fulfillment. Gives customers the ability to order custom configurations of PCs online This vision requires a flexible supply chain management.The frictionless flow of information through the supply chain is central part of Dell’s vision.
- 5. Uses direct sales approach with no middleman. All customer service is done via the web helping to cut costs. Receives money before product is shipped.
- 7. Briefly explain the differences between the “make and sell” and “sense and respond” approaches in business. (25 Marks)
- 8. 2014 -4. (a) Briefly explain the differences between the “make and sell” and “sense and respond” approaches in business. (25 Marks) Make and Sell –The company will produce the goods and sell it to the customers Sense and Respond – identify the customers and their patterns and sense what they want and produce it to them before hand
- 9. Dell Computer Company uses a Direct-to- Customer approach in doing business where there are no middlemen.The company also makes-to- order rather than sell pre-manufactured products. Briefly explain five (5) advantages of this approach. (20 Marks)
- 10. 2013 -4. (d) Dell Computer Company uses a Direct- to-Customer approach in doing business where there are no middlemen.The company also makes-to-order rather than sell pre-manufactured products. Briefly explain five (5) advantages of this approach. (20 Marks) • Can sell at lower prices • Build to customer order • Receive payment earlier • Speed up new product release cycles • Use customer data to provide customized value added service
- 11. 2012 -4. a) Briefly explain the validity of the e- Business Models in today’s context and the differences in old and new Business strategies. (20 Marks) 2009 -4. (b) (30 Marks) 2010 -4. (a) (20 Marks) Compare and contrast the traditional business models and eBusiness models in today’s business environment.
- 12. Compare and contrast the two concepts Mass Production and Mass Customization. Explain how eBusiness can help to implement these concepts. (30 Marks)
- 13. Mass customization • Differentiating a product for a specific customer • Possible to add and/or change functionalities of a core product or to build fully custom enclosures from scratch 2010 -2. b) Compare and contrast the two concepts Mass Production and Mass Customization. Explain how eBusiness can help to implement these concepts. (30 Marks)
- 14. Mass production (Traditional Factory Approach) • Production of large amounts of standardized products • Assembly line production (automacy) • Mass production is capital intensive and energy intensive • Machine use is high proportion to workers • Mass production line is expensive as usage of robots • The probability of human error and variation is also reduced because of machine use • A reduction in labor costs • Inflexible because it is difficult to alter a design or production process after a production line is implemented