DELL looking out for Numero Uno aka Adding insult to injury!!!WOW!!!
PAL:
Say have you all see this report from new.com??? Say where is Eddie Kim when you need him?????<vbg> He said Dell's ASP is dropping faster than CPQ or something, my A%$ (asset)!
Excerpts.
Dell looks out for No. 1
By Michael Kanellos
Staff Writer, CNET NEWS.COM
August 18, 1998, 4:00 a.m. PT
With its strong market growth, stable margins, and growing brand name cach‚, Dell Computer appears to have a chance to take the No. 1 position in the U.S. PC market, although observers caution the window of opportunity will stay open for only so long. ............ QUOTE SNAPSHOT
In the second calendar quarter, Dell's unit shipments grew by 72 percent over the same quarter a year ago, more than seven times faster than the market and faster than Compaq Computer, IBM, or Hewlett-Packard, according to International Data Corporation. ...... Interestingly enough, the company's growth trajectory comes at a time when the average price of a Dell PC is still higher than those from competitors. ..........
Still, that compares favorably to an average selling price of $2,200 for HP and Gateway systems and $1,800 for Compaq, which was effected the most by inventory problems. Other analysts roughly confer on these figures.
Adding insult to injury, Dell's gross margins stands at a relatively high 22.3 percent, Kumar said, because of its build-to-order manufacturing capabilities.
A concerted, albeit expensive, marketing push could vault Dell past Compaq to become the chief supplier in U.S. PCs, said Dataquest's Miller. But is that really a goal anyone wants to aspire to?...
Full report at:
news.com |