Book Review

As a teenager, Michael Dell pestered his parents for an Apple II computer, and then promptly took it apart. To see. Today, he owns Dell, America's top computer maker. Known for its famous "direct sales model", Dell is better credited for working ahead of the curve on computer commoditisation""which has shifted profit margins from the machine itself to efficiency in sourcing inputs and reaching the box from assembly line to someone's desk in the desired configuration. In this, the Internet seems made-to-Dell's-order. Computer market economics too. With input costs falling fast and consumers' needs fragmenting, the fastest just-in-time guy who doesn't mix up the orders wins. Thanks to low-inventory, high-volume pricing. Like retail""and Dell is ahead.

---

HOW DELL DOES IT

Steven Holzner
Rs 385
vi+234 pages
Tata McGraw-Hill