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

To: The Phoenix who wrote (66889)	9/23/1998 1:35:00 PM
From: Chuzzlewit	Read Replies (1) \| Respond to of 176387

Gary, I'm not arguing with the goal, it is the transition that is the sticking point. Suppose you have two brands, A and B that are sold to small businesses through retail outlets. But brand A decides to pull up stakes for the business market and sell direct. But the retail outlet is the one that targets the consumer with ads. Now it will be carrying only brand B business machines. Who will the small business customer buy from? In the long run company A's decision to sell direct may be correct, but the potential for huge intermediate losses may prove to be a sufficient deterrent. That's why they haven't adopted this approach. And that's why they are going to the "colocation" and BTO kiosk approach. TTFN, CTC