ptb, please look at june 1992. cpq cut the price of pcs from 4000 to 1800. also, since I've been in this business since the beginning. pc's use to run 7-10k. and , explain why cpq can sell so many of the retail units this last qtr. Price of the unit you quoted was the same price and still make so much money. and, the business pcs have been alittle of $1000 for maybe 6 months and cpq continues to make great profit.
My point is, you haven't followed the industry long enough and are unfamiliar with it.... You also, have no industry research reports that outline the guts of things. for cpq the price drops come from the vendors and by dropping cost and cycle time out of the processes like thier new ditum of 100% EDI on all supply vendors. Cpq's price drops just casues other pc mffg'ers to weaken and drop out and thus cpq gets more market share.
did you know that the business pc I buy cost about 1000-1100 for the last 9 monhts... there hasn't been a change. so, why is cpq screaming up the last nine months by selling me pcs this cheap.
question: what does market research say the avg price of a p166 has fallen from the last yr. and the p200???? give me the research please???? also, how many pcs have you purchased in the last 3 months. Please give me the margin dealers make on at least 5 of cpq's retail units. If you can answer allot of this raw data then at least I know you have some of the facts, but are just misinterpreting them<gg> also, explain why cpq's gross margins have gone from around 22% to 27.4% with all the price drops happening. Okay???? give me some facts here. Your turn to give me answers to tough questions but they are easy if you have any raw research data?????? |