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Like Wal-Mart in retailing, Dell has established a way of doing business that has given it a price edge no rival can easily match. While most others in the PC industry have been awash in red ink, the business that Michael Dell started in his dormitory at the University of Texas has churned out steady profits.
“Dell is not a high-tech company,” says David Gibson, a professor at the same university who studies innovation. “It probably has the most efficient business model in the world, but the key to that success is its sales model and logistics efficiency.”
The unstoppable Dell machine has already made an impression well beyond PCs: the same hyper-efficient model has been applied to computer servers and printers and is being pushed into televisions and other consumer electronics...
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