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Nature of the Firm

question 39

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Nature of the Firm. Dell Computer Corp. designs, develops, manufactures, markets, services and supports a wide range of computer systems, including desktops, notebooks and network servers, and also markets software, peripherals and service and support programs. They are the world's leading direct computer systems company and one of the top five computer vendors in the world.
A. Critics of Dell argue that the company is "merely" a retailer bringing together computer manufacturers and customers. Would Ronald Coase agree that this is a shortcoming of Dell?
B. In what way must Dell be efficient if it is to enjoy long-term success?


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