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Non-Tech : CompUSA (CPU) -- Ignore unavailable to you. Want to Upgrade?

To: TH who wrote (3016)	10/25/1999 3:11:00 PM
From: AJ Berger	Respond to of 3187

CPU needs to develop a complimentary business model to ever win at this business. It needs to take the best of B&M and Internet resellers, and have them both compliment each other, not run them seperately. Drugstore.com and CVS Pharmacy's are a perfect example. CVS and the .com both have many low end consumers and non perscription product, but .com has a wider variety, and newest products not yet in traditional distribution, which is easy to support online; while the B&M focuses on movers, and special price items natural to impulse buying. As for the High end perscriptions, the B&M is best for the initial or short term perscription and advisement, while the .com takes over and give volume and repeat discounts for continuously filled orders and to large health care plan members. Even size is distinguished, as B&M's do better with large heavy items like laundry detergent, which would be too expensive to ship from the Net, while the Net can sell smaller easy to ship items, which may otherwise be miscounted or shoplifted in a regular B&M. I am confident that such a model can be developed for CPU, however the management continues to skirt this obvious reality. The day they face this new age marketplace, I would also jump into this stock with both feet.