Dell Established Its Company Primarily with Direct Telephone-And Internet-Based Sales

question 347

Multiple Choice

Dell established its company primarily with direct telephone-and Internet-based sales.In terms of Dell's global expansion strategy,which of the following statements is most accurate?

• A)Dell sells its computers via word of mouth,which is the most powerful method for consumer electronics.
• B)Dell partners with each country's largest department stores and sells its computers in the small appliance department.
• C)Dell issues its own credit card through multinational banks,making it possible for customers who would not normally qualify for credit to do so.
• D)Dell distributes its products through individual sales associates who reach out to customers with a first-hand experience at their doorsteps.
• E)Dell maintains the exact same U.S.strategies that brought it this far because it sees no reason to "mess with success."

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Definitions:

Natural Monopolist

A single firm that can supply a good or service to an entire market at a lower cost than could two or more firms, leading to a natural monopoly situation.

LRAC Curve

The Long-Run Average Cost curve, showing the lowest average cost at which a firm can produce any given level of output in the long run when all inputs are variable.

Patents

Legal documents granting an inventor exclusive rights to produce, use, and sell an invention for a certain period of time.

Research And Development

The investigative activities a business or government engages in to improve existing products and procedures or to lead to the development of new products and procedures.