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Technology Stocks : HWP -- Hewlett Packard -- Ignore unavailable to you. Want to Upgrade?


To: The Vinman who wrote (2049)4/27/1998 11:34:00 PM
From: Steve Holmes  Read Replies (2) | Respond to of 4722
 
HP the largest PC Retailer at all cost?

I'm concerned with Hp's declaration to become the largest PC seller. If they are not offering a superior product, they can only overtake Compaq, IBM and Dell with price competition. They claim not to suffer the same inventory problems as Compaq, but as a previous SI message indicated, they will still have to deal with Compaq's price cutting. They may have a better distribution system than some of the others, but their business model is losing focus.

Also, it seems that the PC sales could sneak around and hurt printer sales for HP. Other PC makers may retaliate and form their own alliances with other printer companies. Former customers will become competitors.