Recent observations demonstrate that dwarf elliptical (dE) galaxies in clusters, despite their faintness, are likely a critical galaxy type for understanding the processes behind galaxy formation. Dwarf ellipticals are the most common galaxy type, and are particularly abundant in rich galaxy clusters. The dwarf to giant ratio is in fact highest in rich clusters of galaxies, suggesting that cluster dEs do not form in groups that later merge to form clusters. Dwarf ellipticals are potentially the only galaxy type whose formation is sensitive to global, rather than local, environment. The dominant idea for explaining the formation of these systems, through Cold Dark Matter models, is that dEs form early and within their present environments. Recent results suggest that some dwarfs appear in clusters after the bulk of massive galaxies form, a scenario not predicted in standard hierarchical structure formation models. Many dEs have younger and more metal rich stellar populations than dwarfs in lower density environments, suggesting processes induced by rich clusters play an important role in dE formation. Several general galaxy cluster observations, including steep luminosity functions, and the origin of intracluster light, are natural outcomes of this delayed formation.

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