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 : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Lizzie Tudor who wrote (176126)9/5/2008 11:08:29 AM
From: TigerPaw  Read Replies (2) | Respond to of 176387
 
I don't think their model works with laptops actually

It once did, when they made their own laptops.

That was about the time Kevin Rollins brought his MBA theories to the company. Dell was having occasional troubles with the laptops getting too hot. Rollins crunched some numbers that showed it would be cheaper to buy laptops from Sony than to increase the R&D budget to solve the problems or to further automate the factories. Rollins was rewarded by becoming a member of the triumvirate, and he began proposing outsourcing everything possible.

Of course that was just the first market that Dell abandoned to the cheapest bidder. In hindsight it was the high-water mark for Dell, although their most profitable year was a couple years later.

TP