Jacky.
interesting points, but please consider the following
"But, ASP is going to plunge, if not already begun, at least 15-20% per year as users continue to embrace sub-$800 computers" (p.s. how can I italicize your quote to make it easier to read)
which users are you talking about, the 800 ASP range is true for the first time consumer which is a market segement that dell does not even compete in. 90% of Dell;s sales are to large business. the other 10% of dells sales are to second time buyers. both of these customer segments (i.e. corp and second time consumer) are typically not interested in a MMX machine with 16MB RAM, they want pII, 64MB, fast graphics etc etc
"Can you tell me how Dell is going to outgrow bigger competitors?"
this is a real simple one, all they have to do is keep doing what they have been doing over the past three years, according to IDC and qtrly financials from CPQ and DELL, dell has been growing at 3-4X times the industry and 2-3X times CPQ. Dell will continue to get its unfair share of mkt share due to genreal mkt consolidation(i.e. the big get bigger) and also due to weaker (alebit larger) competitors (aka CPQ and IBM)
does this make sense?
jason |
