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Technology Stocks : Hewlett-Packard (HPQ)
HPQ 24.83+1.3%3:59 PM EST

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To: BelowTheCrowd who wrote (238)5/8/2002 11:59:25 PM
From: Dave B  Read Replies (1) of 4345
 
Michael,

I would agree. CompUSA's standard threat was always that they would introduce their own brand, which could be assembled by any "white box" manufacturer. From time to time they have done it as a "low end" machine, but they definitely have the ability to effectively create a brand from nowhere and push it hard. The (typically unsophisticated) buyer in that environment would probably be at least somewhat responsive.

I just read in today's Merc that HP is planning on keeping both names in the PC market to make it look as if there is competition, and to continue to control the 80% of retail that HP/CPQ split before. It's amazing to me that they think the retailers are that stupid. It'll be interesting to see how the retailers respond.

Dave
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