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Technology Stocks : Dell Technologies Inc.

DELL 129.98

-6.2%

Dec 12 9:30 AM EST

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To: Patrick E.McDaniel who wrote (853)	12/5/1996 11:50:00 PM
From: jim kelley	of 176387

Patrick, regarding retail sales channels.... I have been thinking about the nature of what is happening and looking at some of the retail operations. Frankly, even CompUSA does not impress me and it is a lot better than Circuit City or the Good Guys. Tandy is the worst the worst I have seen. I think that these stores are going to have to change the way they are doing business or get out of the business. I think that GATE and DELL have a viable business model. They will get a lot of business from these retail chains. the retailers are not neccessary. Sometimes, it is good to go to a store which has a lot of competing products to see them and compare them. This helps one formulate more clearly what they need to buy. In the latter case, the store is in a good position to close the sale if it has a good price. But generally, you can get it cheaper thru a direct marketeer. If I am right the market is changing and a lot of the retail stores that are behind the times are going to get hit. Possible short candidates. Just some thoughts, Jim K.

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