No fewer than eight players have arrived already and more are on the horizon, with negotiations understood to be under way with the likes of Dawson, Real Madrid's Ricardo Carvalho and Inter Milan goalkeeper Julio Cesar.
On Dawson's potential switch to Loftus Road, Hughes said: "At the moment it is not where I'd hoped it would be. It may change. Obviously we've still got days left until the window closes so it might be revisited, but at the moment it is not in a place we think we can progress. There was an issue with personal terms."
Hughes was less forthcoming when asked about moves for previous Champions League winners Carvalho and Cesar.
"There is a lot of speculation about players that we're interested in or supposedly interested," Hughes said. "Some jumped the gun somewhat in terms of that one (Carvalho), but we're looking at quality players that can enhance the squad."
On the prospect of bringing in Cesar to provide competition for Rob Green, he added: "Well, it was my intention to bring two keepers in because we possibly wanted to give the option to the likes of Brian Murphy to go out on loan somewhere."
One player that looks set for the exit door is former captain Joey Barton.
"I think I mentioned that Marseille had expressed some interest but it hadn't really developed in terms of emails being exchanged and so forth," Hughes said.
"I think it is a little bit further down the road. It still might be a possibility but I haven't had an update in the last couple of days so I am not quite sure where we are with that."