SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Compaq
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Chuzzlewit who wrote (50045)2/27/1999 2:13:00 AM
From: Night Writer  Read Replies (1) of 97611
 
Chuzzlewit,
Agree with you on the channel inventory observation for retail PC sales. However, where Compaq got into trouble last year was on business PC inventory problems. If analysts have these two channels confused this year, they have made a bad mistake.

As I understand it, the retail PCs are easy to cleared out with sales in January. Not all retail buyers are that hot on having the latest technology versus a bargain.

Business units were difficult to clear due to rapid advancements and higher cost. This was compounded by a rapid decrease in component prices. Newer better commercial PCs were less expensive then inventory setting in warehouses. Commercial buyers were not so willing to purchase older PCs without deep discounts that created a loss on each sale. The rapid price drop in component prices was a unique event. However, it is the commercial product inventory that needs to be closely monitored not the retail units.
NW
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News