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    In the world of IT, there is a group of companies that have consistently generated profitable returns on capital, as measured by the Price-to-Book Ratio (P/B), through their extraordinary investments in research and development, quality products and innovative services. This group is not new, nor are their methods. They include IBM, Intel, Microsoft, and Sun Microsystems. (See Figure 1). Dells is the fourth on the list of this quartet and it is quite a success story of its own. The Company’s first CEO,

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    In 1985, IBM launched the IBM PC, which revolutionized the computer market. However, it created the problems that were present up to now. This led to IBM to face the shortage of funds in the second quarter of 1990. IBM had to sell off its IBM PC, which had created a backlog of 2,000 units in their computer division. However, in 1992, IBM faced a disaster with its computer division. The sales of its computers fell, and its earnings decreased from $6.7