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Technology Stocks : Dell Technologies Inc.
DELL 134.50+0.4%1:42 PM EST

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To: stockman_scott who wrote (170666)8/20/2002 11:27:33 AM
From: stock bull  Read Replies (1) of 176387
 
Hi Stockman,

Re: <<Dell to use dealers to sell personal computers-WSJ>>

I must confess, I don't know how this will work. By definition, a white box is usually sold by the mom and pop pc stores and built to the customers specifications.

Given this, how will Dell participate in this market? Do they expect the mom and pop shop to take a customer's order and then have Dell fill the order. This will cut into the shops profit margins. Or, is Dell going to sell "kits" to the shops. These kits will contain mother boards, power supplies, drives, etc. and all the other components needed to build a pc? If either case, this business model makes no sense at all.

I would appreciate hearing your take on this approach.

Stock Bull
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