re "Copying DELL's business model"
Stock Bull,
You said. "However, we should keep in mind that Dell has no legal protection on their model...as in copyrighted or patented.
WRONG!!! DELL has a fair number of patents, including 33 this year:
exchange2000.com
I do not know how many of them are integral to the success of DELL's model, but I'm certain that copying DELL's process is not as simplistic as you (or a number of airhead analysts have proclaimed). Say, just for instance, that in order to emulate DELL's model, another company must pay to DELL one or more licensing fees. They will have to find economies elsewhere to offset their increased costs and continue to be cost competitive.
And you said, "So, if Cpq, Hp, Ibm and the others were willing to take the disruptions into account, they could implement Dell's business plan."
I believe that they have been trying to do just that for nearly a year. How long do you think their shareholders are going to hold still for these kind of 'disruptions'?
And you finished, "What do you think would happen to Dell if the other pc makers were to implement the model?"
Simple answer: they've been trying. they can't. By the time they get to where DELL is, the dust will already be settling on the road DELL took to tomorrow. I think that the only real hope for any of them to do it is to buy GTW. Then they could maintain their current customer and channel base, while modernizing and broadening GTWs offerings, gradually shifting their weight to GTW until they reach a viable channel/BTO balance.
DELLish, 3. |
