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Dell Proves Innovative, Registers Market Share GrowthIn less than two years, the company managed to regain a top position on the market share list |
By Ionut Arghire, Windows Editor
16th of June 2008, 14:30 GMT
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Back in 2006, one Dell notebook blew up at a conference in Japan, making the firm "enjoy" bad publicity and a rapid decline on its market share. Other companies, including Hewlett-Packard
and Acer, managed to take the lead over Dell's falling. In 2006, it lost significant share on the notebook market, the area benefiting from the highest growth in the industry.
Dell underwent significant changes at the senior management levels, turned to reseller and retail channels to regain growth in sales and began emphasizing on quality control and innovations, actions that brought the company back on the game.
Displaysearch unveiled its latest market analysis according to which Dell registered a significant growth of 15.1 percent on its worldwide notebook market share during the last quarter. The company managed to regain the second position on the top, climbing over Acer, but still behind HP, and registered a 45 percent growth for its worldwide notebook shipments on a year-over-year basis. Dell's success in the notebook sales field is stronger than anyone else's, except for Lenovo, which managed to grow 58% on the year-over-year notebook sales, and to own half of Dell's market share.
The fact that Dell made a lousy impression during 2006 announced some problems for the Round Rock, Texas-based company. Its latest actions, the launch of its first, formal, broad-based channel program six months ago and the efforts it makes into innovating its notebook lineup prove that things are on the good path again.
There might be questions in whether Dell is an Innovator or not, especially because it managed to win business only on price the last years. Yet, Dell was the first to make available preloaded modern Linux both on desktops and notebooks, while other OEMs were watching from the sidelines, and also the first tier-one PC maker to go straight for Web 2.0 with its IdeaStorm Web site. These, along with the fact that the company is one of those that embraced alternative technology (not like it was with AMD processor), let us see that Dell has changed a lot from the company that made its way to the top back in the 90s.
Although on a climbing path, things are not too certain for Dell yet. One bad quarter or a period of panic caused by falling numbers could mean steps back for the company. For now, it is going up. That is a good sign.
According to Displaysearch, Acer could easily regain the second position if it becomes a little aggressive, but we could bet that Dell won't give up that easy. The notebook market has become increasingly competitive, and the company got some channel partners that can give it a hand into the battle.
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