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To: JKC who wrote (36924)4/7/1998 2:16:00 PM
From: Chuzzlewit  Respond to of 176387
 
JKC, I really don't know about those alleged price wars. I did a totally unscientific marketing research trip this weekend, and visited four local (Seattle-Tacoma) retailers of Compaq -- The Good Guys, Circuit City, CompUSA and Costco. The findings:

1. I didn't see many of those cheap machines around, and consumer interest definitely seemed to be centered around the higher priced machines.

2. I didn't see any price advantage of the PII machines sold at retail over Dell's prices.

3. When I asked how Compaq's sales were doing, the clerks said they were poor compared to other brands.

Based upon these observations it's difficult for me to see how this pricing environment putting pressure on the local box shops. This is totally anecdotal eveidence. Draw conclusions at your own risk.

Regards,

Paul



To: JKC who wrote (36924)4/7/1998 4:56:00 PM
From: jbn3  Respond to of 176387
 
re your These price wars will kill many smaller clone manufactures that hold 75% of the market. These smaller clones do eat away at some of the local business market since that can service their local market. But who would you buy CPQ or a no name clone with CPQ prices so low?

True. Look at your listings of local computer stores. How many of them have been there 2 years, 5 years, 10 years? How many of them are you sure will be there next year, in 3 years? For business purposes , IMO it is much better to spend a bit more initially in acquisition costs, but to guarantee yourself absolutely that the machine will work as intended, compatibly with any other machines on your network, incorporating compatible software, from a company that you are sure will be there next year and the next.... and if your extra cost includes a super 3-year on-site service guarantee and 24-hour round the clock service support, then you are way ahead going with a DELL or (even) a CPQ. If an employee's machine is down, how much productivity is lost in one day? --a week? Anyone remember when the Army bought a lot of Zeniths...

Reliability of service and the supplier is important, just as the reliability of the equipment is. Polls consistently rate DELL highest.

DELLish, 3.