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

To: StockMan who wrote (16441)	2/3/1998 5:32:00 PM
From: John Biddle	Read Replies (1) \| Respond to of 97611

Consider this if a sales channel can only sell one but not the other brand product, then its a waste. If each sales channel can sell both brands then there is a conflict. Agree with second half, not with first. Why do you see it as a waste? Dell and Gateway do well selling only (or very nearly only) direct. Compaq has done quite well selling only, or nearly only, indirect. By using different names, building different brand identities, etc. two different groups of customers can be reached where only one group was reached before. This is a good thing. Building a new name from scratch would probably be too expensive, but the DEC name already exists, is going to continue, and is well known. It can be leveraged quite successfully, I think.