Dell PC used to be the second brother in the Chinese market, with sales at the top and a high market share in the Chinese market. However, the recent news that Dell plans to implement "de-Chinaization" has caused dissatisfaction among Chinese consumers. Dell plans to move production lines to Vietnam, India and other places, and no longer use chips and other components made in China. This move was not only interpreted as Dell's smashing of China's jobs, but also a collective boycott by domestic users, which exacerbated Dell's plight in the Chinese market.
As Chinese consumers continue to resist Dell's "de-Dellization" initiative, Dell's sales in the Chinese market have declined significantly. In the eyes of consumers, Dell's computers do not have unique core technologies, and mainly rely on processors from Intel and AMD, memory from manufacturers such as Samsung, SK hynix, and Micron, as well as the Windows operating system. Consumers have more choices when it comes to buying a computer, including Lenovo and market-leading brands such as Huawei, Shenzhou, Xiaomi, and Honor. Therefore, Dell's departure is not regretted by consumers. In the first quarter of this year, Dell's sales in the Chinese market increased by 451%, accelerating the decline in its market share. In the second quarter, Dell's sales continued to decline by 52%, and in the third quarter**36%, its market share has fallen to about 9%, falling to fourth place. If this trend continues, it is expected that by the fourth quarter, Dell will drop out of the top five competition and will be reduced to "other brands". It is worth noting that Wu Dongmei, global vice president of Dell, only refuted the rumors of "de-Chinaization" after Dell's sales continued to decline, but it is still doubtful whether such a response can restore consumers' confidence in the Dell brand.
Dell's "de-Chinaization" has not only caused it huge losses in the Chinese market, but also provided new opportunities for the Chinese market. The Chinese consumer boycott of Dell computers has opened up room for other competing brands to grow. Among them, Huawei, as a local Chinese brand, has emerged in the global market and has also achieved great success in the Chinese market. Huawei is not only the No. 3 brand in the Chinese market, but also has gradually won the trust of consumers in the Chinese market for its high-quality, innovative and cutting-edge computer products. It is worth mentioning that Huawei's efforts in the computer field began before Dell's "de-Chinaization", and its product quality and brand influence have been continuously enhanced, which has gradually eroded Dell's share of the Chinese market. In addition, other brands such as Lenovo, Shenzhou, Xiaomi, Honor, etc. have also performed well in the Chinese market, gradually filling the gap left by Dell's "de-Chinaization".
Although Dell is facing huge challenges in the Chinese market, the entire Chinese computer market still has broad development space and prospects. At present, with the continuous advancement of technology and the change of people's work and lifestyle, the demand for computer equipment is still great. In particular, with the increasing demand for high performance, portability, and intelligence, emerging fields such as gaming PCs, thin and light laptops, and 2-in-1 devices are showing rapid growth. In addition, with the popularization and application of 5G technology, emerging technologies such as artificial intelligence and the Internet of Things will also drive the increase in demand for computer equipment. As a result, the Chinese market is still a treasure trove for global computer brands.
The failure of Dell's "de-Chinaization" campaign not only hit the Chinese market hard, but also provided new development opportunities for Chinese local brands. Although some consumers will choose other brands because of the lack of core technology in Dell computers, the Chinese market is still full of opportunities and challenges. In today's Chinese market, local brands such as Huawei are performing strongly, and their market share is growing steadily, while brands such as Lenovo, Shenzhou, Xiaomi, and Honor are also emerging in the competition. With the development of science and technology and the change of people's needs, the computer market will continue to develop and usher in more opportunities in the future. The Chinese market has a large consumer base and technological innovation power, and has the ability to attract investment and competition from global brands and enterprises. For Dell, despite its defeat in the Chinese market, it is not too late to turn back, and it should strengthen its cooperation with Chinese manufacturers and re-examine its strategy in the Chinese market in order to revive the brand.