Michael S. Dell, the 44th richest person in the world in 2011, exemplifies how a successful business person is like. His company, Dell Inc., sells supports computers and related products and services, is doubtfully entrepreneurial that its innovative customer based operating method generates a great amount of wealth to the company.
Michael Dell founded the company with $1000 at the age of 19, and in 1992 his company was already ranked in Fortune magazine’s list of top 500 corporations. The rapid growth of company demonstrated the entrepreneur’s success and made him a millionaire in a short period.
In 1996 Dell started to focus on selling computers online. It allows customers to choose whatever they like on the website and receive them through delivery. The customization reduces inventory and costs for Dell and earns customer loyalty simultaneously. Since people get what they want, they are willing to pay more. Dell Inc. reported in 2001 about $1 million in sales per day from dell.com.
Entrepreneurs always intend to change the world. Dell’s customer-based strategy alters the way people think about direct business model. It creates efficiency both for the customer and the company.
