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Technology Stocks : Dell Technologies Inc.

DELL 122.46

-8.5%

3:59 PM EST

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To: rudedog who wrote (58343)	8/15/1998 12:26:00 PM
From: jim kelley	Read Replies (3) of 176387

Dog, Re: The CPQ subzero Manufacturing It looks like you are wrong about CPQ manufacturing all their PC's. The high inventory turns are probably due to the mechanism I described earlier. "The rate of inventory turns over the last couple of quarters at Compaq are 100 times for consumer sales," says Winnitzki. Compaq, which outsources manufacturing to Taiwan and has streamlined distribution, is trying to move toward Dell's direct-sales model, so excess inventories don't weigh down profits. Other PC manufacturers also are heading in this direction.

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