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Technology Stocks : eMachines (Nasdaq: EEEE) going public!
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To: Yak-attack who wrote (25)4/28/2000 1:06:00 PM
From: SFJayhawk   of 122
 
E-Machines is a perfect example of judo marketing.

Much like the Japanese car manufacturers in the early 70's, E-Machines is entering the PC space by attacking the low end market. The Dells and Gateways of the world will gladly let them have this low margin area....much like the Big three automakers let the Japanese have this space! EEEE has made a nice dent in the lower end market share and now they are starting to move into the mid level with their $899 entries. Watch...this strategy has played out many times in the past..often with much success. Small, nimble companies, such as E-Machines are using the weight of the competition against them. Taking over areas that they can no longer play in, due to the fact that the market is so transfixed with things like Average Selling Price and margins. If you start from the low end, you have nowhere to go but up! ...AMD has proven this with chips. Best of luck EEEE shareholders. This poster does not hold a position.
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