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

To: JRI who wrote (49809)	7/5/1998 4:45:00 PM
From: Lee Lichterman III	Read Replies (1) \| Respond to of 176387

I agree CPQ, HP, IBM will never be DELLs. I also think GTW has strayed in the wrong direction. You all seem to be doing the same as many and ignoring one little guy that is IMHO the best candidate to be the next DELL. I have traded it only for a couple weeks at a time and am not in it right now but have been watching closely. MUEI has fired (retired) their old inept CEO and brought in a new team of leadership. They have the old sidekick of MD who helped bring DELL where they are today from where MUEI is now and the old head of CPQ's inventory control, note CPQ's problems since he left. MUEI has cut their inventory log from months to 10 days within 2 months of the new CEO's arrival (he was only the COO from March until recently) and now as CEO he can continue the turn around. MUEI will never quite be a DELL due to their spending more on R&D but is that really a bad thing in these times and if it is, I am sure they will change that. I am not advocating the purchase at this time, but since this discussion was on who to watch as a DELL competitor, they seem the closest to me for the near future. The others discussed so far are in a different league with their models, mixes etc. MUEI is turning into a DELL clone with some temporary growing pains. The next few months will be interesting to see how the changes pan out. Go DELL (nice flag on the chart so far, any guesses on when the run will resume?)

To: JRI who wrote (49809)	7/5/1998 7:12:00 PM
From: Chuzzlewit	Respond to of 176387

John, I too was surprised by the GTW announcement increasing their retail store presence. I wonder if this decision is somehow tied in with their ownership of the Amiga line. In any event, I think it is a great mistake, and I also think your comments are right on target. I too thought GTW had a great shot at becoming a serious desktop and notebook competitor. At the very least this decision will result in a drastic reduction in their return on capital because it will tie up lots of capital in assets like stores and leasehold improvements. And you are correct again in your conclusion that this strategy, if successful, would pose no threat to Dell. Sometimes I wonder whether the top brass at some of these companies is capable of independent, analytical thought. I would have thought that the lessons of the marketplace were clear enough so that the mistakes would not be repeated. Were I to enter the retail market I would simply have some floor models for the customer to try, but the machines would still come direct from the factory. In essence you would pay the retailer a commission, but no one would be saddled with carrying unsold inventory. I won't be going to the annual meeting. For me, the only attraction to these things is the opportunity meet many of the wonderful people who take the time to share their thoughts on this thread. Other than that, I find these things boring. Thanks for your kind words concerning my commentary on the "financial law of averages". I'm always amused at how often otherwise intelligent people succumb to those meretricious arguments. TTFN, CTC