Dell tries to crack South America

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Mind Map on Dell tries to crack South America, created by pauibrahim on 22/09/2014.
pauibrahim
Mind Map by pauibrahim, updated more than 1 year ago
pauibrahim
Created by pauibrahim about 10 years ago
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Resource summary

Dell tries to crack South America
  1. Dell it's a US computermaker, who now wants to expand to South America using a Brazilian base.
    1. This company will start making computers at a new factory in a city, called Eldorado
    2. Buenos Aires, Rio de Janerio, Sao Paulo and Santiago are the regions where most of the computer-using populance is concentrated and Dell hopes to serve all these markets.
      1. Dell's plan: aircraft from Miami will land (carrying computer components that will be sent straight to Dell's factory) with parts deliveres from suppliers in Brazil, they will be assambled to order, packed and deliveres to costumers across the continent.
        1. This is a challenge for Dell, because is not only to mount an effective market, but also manage a complex logistics system and deal with the problems of unreliable road and airtransport networks.
      2. Dell currently exports computer to a few Latin American countries such as Mexico and Colombia.
        1. But has never sold to markets in Argentina or Brazil.
          1. Latin America bought 5 million PCs and demand is growing at 15 per cent a year
            1. Brazil, the region's largest market, only 3-4 per cent of the population owns a PC.
        2. Dell decides to locate in Brazil because it is the region's biggest market and because the government gives computer companies substantial tax incentives as part of its plan to develop local high technology industries.
          1. Air transport and delivery systems are tolerably efficient in south eastern Brazil and parts of Uruguay, Chile and Argentina. Dell may still find it's struggling to co-ordniate operations and sales over a vast region.
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