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To: BelowTheCrowd who wrote (300)5/9/2002 9:30:14 PM
From: Jerome  Read Replies (1) | Respond to of 4345
 
Mike...>>>like Wal-Mart has the ability to create their own brand if they want to. <<<<

Very unlikely....and probably never.

If Wal-Mart put their brand on a white box pc then they would have to stand behind it. If it went bad they would have repair it or replace it. They would have to have tech support for it. If the customer got to hate the product they would likely hate any Wal-Mart branded product.

There is little enough margin in computers with out the extra hassel. If you look at the computers at Sam's club and at Wal-mart you will notice that the prices are cheap, BUT the product is somewhat dated. The only advantage of buying from Wal-Mart is that there is no shipping charge.

Wal-Mart has the best situation now. 1) Demand low prices from the supplier. 2) Get free ad money to advertise the product. 3) If the customer returns it for whatever reason ( no questions asked) the supplier eats it.

How could they improve on that model?

JMO...Jerome