>>>I throw it back to you, kemble, wbm, any dell staunch supporter...other then the obvious, what has michael dell stated the future of dell to be, that would take them into a non pc centric world. reports out this morning that in a few years hand held devices will numerically outstrip pc's as the form of internet connection. read rudedog posts to darrell smith on wireless....dell not showing anything concrete. if they don't defend the share price at this point, they never will>>>
I believe Michael has said its up to the market to decide
Dells' price, which implies he (they) don't mess with it by
overstating potential profits from new ventures etc.
For progress, Dell chose to produce larger assemblies for
which his buildings are designed and his people are trained.
And in some cases the laptops are subcontracted to other companies,
although Dell does assemble some now.
His competition has been IBM, CPQ, HWP, EDS. Taking on the big boys and winning. Thats not easy.
Why would MSD at the same time, take-on Ericy , Nokia, Philips, COMS, etc? There will be fierce competition and mark-downs
on the smaller mass market items. And no guaranteed profits.
Its fairly clear what Dell sees in the future, 4 areas
each with potential to add $10 to revenues as mentioned here
several times.
Solid contracts, build to order,leasing with up-dating agreements, service agreements and no sales to stores in sight.
Gigabuys will be a store for the 'other guys' products.
22 % gross profit, perhaps 8% net.
Analysts look at Rev and Net, paying little attention to the
companys vision or the stability of the business being generated.
Summary. Yeah, well hey, Dells price stinks at this time.So do
whats right to make money however possible.
Sig
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