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Technology Stocks : Intel Corporation (INTC)
INTC 49.33+6.1%2:21 PM EST

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To: Amadeo Zevi who wrote (2172)7/12/1996 8:13:00 PM
From: Chia-Bin Wang   of 186894
 
Regarding Pentium price cutting:

In my opinion, Intel shouldn't release any schedule of price reduction. It should not be a plan but a surprise. Why? If I know Intel is going to reduce the price next week, would I consider buying a PC this week?
In the contrary, if I'm thinking about having a PC or maybe not. Suddenly I find out the price become more affordable, won't I buy?
People buying somethings most of time is not because they must to do so. It's because they think it's worthy to buy instead of not buying. Price cutting is a good approach to stimulate market sales, but I'm skeptical about its effect on IC vendors.
Remember a few years ago it was system companies having inventory problems. Now it becomes chipmaker's nightmare.
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