Compaq Message Board - Msg: 1738556

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Technology Stocks : Compaq

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To: D.J.Smyth who wrote (3961)	7/10/1997 4:57:00 PM
From: Bill Fischofer	of 97611

Doing things when you don't "have to" is called leadership. It shows CPQ isn't resting on its laurels. Rather, it continues to drive aggressively forcing others to respond to its initiatives. The price cuts are only the surface actions. ODM is much deeper. While some will call it marketing hype, I see it as the start of CPQ's major move into mass customization as their business model. Very soon corporations won't have to choose from a limited selection of models dreamed up by CPQ's planners. Rather they'll create their own configurations designed by the customer to suit that customer's exact needs. Company X will no longer buy a Compaq model. They'll buy a Company X model which is designed from the ground up and preconfigured to snap seamlessly into Company X's network from the moment it is unpacked, plugged in, and powered on. Not only will this dramatically reduce Company X's cost of ownership, it will also give CPQ an unbeatable advantage in marketing to Company X since it will be intimately familiar with Company X's exact business needs. This is what business leadership on the cusp of the 21st century is all about. CPQ has it, which is why you shouldn't concern yourself with daily stock price fluctuations.

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