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Technology Stocks : Compaq

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To: Harry Landsiedel who wrote (29955)7/27/1998 9:56:00 PM
From: Night Writer  Read Replies (2) of 97611
 
Harry,
Read the article posted by Victoria Gates on INTC thread posted here. It might be the same article. The PC has reached Commodity status in the retail markets when the same employee working for a contractor assembles just about all the major brands.

Retail warrantee, or maintenance service will always be difficult. The customer is not happy in the first place because something went wrong with a complex machine. Compaq has an opportunity to redefine retail service to mean a positive up front repeatable service. Added value for the retail customer! What a novel idea. Alta Vista combined with millicent could be that service.

From a stock holder's point of view, it would be a repeating retail service that would make a profit. A service used not just once but repeatedly. An attractive service people would be willing to pay for. Safe cyber money. Wall Street Journal articles for $.01 a minute, or real time quotes for $1 an hour, or $5 for the day. Not to mention net catalogs doing real internet transactions rather then using 800 numbers to take orders. Can you imagine the expense reduction they would enjoy.

I still won't give my credit card number on the net to buy any thing. What if it is lost? I can't go to a cyberspace lost and found and get it back.

Larger profit margins have to be made on more sophisticated commercial systems, and the services to set them up and maintain them. The margin on services may begin to look more attractive then the margin on hardware. Unless you have a killer system that no one else has, and everybody wants it.

Ya, I like my Compaq investment.

NW

PS Didn't somebody already try this? <g>
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