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Technology Stocks : Dell Technologies Inc.

DELL 127.22

+3.8%

Nov 24 3:59 PM EST

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To: VICTORIA GATE, MD who wrote (52452)	7/19/1998 11:09:00 PM
From: HDC	Read Replies (1) of 176387

VG, Just because Vanstar's numbers have dropped does not mean that Dell's must also given that they are in the same markets. It appears to me that the reason Vanstar's sales and profits have declined is due to the fact that they are up against Dell. Dell is the survivor of this market and is profitable. The other big 3 PC mfgrs have been promising build-to-order for almost a year. This fact is lost on the writer of the article. Even if the other mfgrs successfully implement a bto model, they still must sell their PC's through the wholesaler-reseller channel. These middlemen must have a markup. This leads to Dell's direct selling advantage and to profits. I personally hope that the other PC mfgrs can be at least partially successful at bto. I would be a welcome relief to see EVERYONE finally making some money in this business again. Regards, Duncan

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