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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: hpeace who wrote (16275)	2/2/1998 10:54:00 PM
From: Loki	Read Replies (1) \| Respond to of 97611

hpeace... Glad to hear about purchasing organization. To be profitable: 1-3 1. INCREASE PRICE - Presently not possible with competition Only possible with proprietory products or service 2. REDUCE/MAINTAIN EXPENSES - Lean distribution channel (DEC a concern) 3. REDUCE COSTS - Common components in products JIT, TQM, QA, etc. Good Purchasing ******* The pieces are coming together.... Loki

To: hpeace who wrote (16275)	2/3/1998 5:03:00 PM
From: John Biddle	Read Replies (1) \| Respond to of 97611

I agree that both DEC and Tandem will be able to take advantages of Compaq's strengths, one of which is their great purchasing capability. That, and learning from Compaq how to make the PC more efficiently, is what will enable DEC to make good PCs cheaply. Combine that with the higher margin direct sales approach and you can make even more money than now. And if you can appeal to a second section of the market (people and businesses that prefer to buy direct) you can sell a lot more PCs than ever before as well.