Minneapolis, June 9 (Bloomberg) -- Dell Computer Corp.
doesn't expect a repeat of the ''unusually big'' first-quarter drop in prices for its personal computers in coming quarters because demand remains strong, an executive said.
However, if price cuts for computer parts like semiconductors lead to lower PC prices, Dell intends to maintain sales growth by using the lower prices to attract more customers, Vice President of Finance James Schneider said at the annual Piper Jaffray Inc. investors conference in Minneapolis.
The No. 2 U.S. PC maker behind Compaq Computer Corp. said last quarter that the average price of its PCs dropped 9 percent from the previous quarter. That led to investor concern that Dell may not be able to keep up growth in sales and earnings, which both increased more than 50 percent in the first quarter.
If we have any component cost declines, we will quickly pass that along to our customers and use it to increase market share,'' Schneider said.
Schneider also said Dell, which controls about 8 percent of the PC market worldwide, would focus on international expansion.
The company is opening a plant in China before the end of the year, and it's considering building a plant in South America, he said.
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