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

To: Ken Beal who wrote (76278)	11/3/1998 6:12:00 AM
From: nihil	Respond to of 176388

Ken, there is no question but that you are right -- Dell's success means that the sites of Dell's facilities automatically grow faster than average. Since Dell has been in a growth business, its location decisions contribute to local growth. Of course, Dell -- like a rational profit seeking company, chooses the most profitable sites for its plants. This does not necessarily mean the lowest costs or the best distribution site, but is a combination of cost and revenue. This is the solution to a big mathematical program for the World. Of course, if Dell makes a mistake and locates in an unstable place that erupts in war, it could be in trouble. With Dell's marketing system, it must watch its delivered cost for big, bulky boxes. I don't know how China is going to work out -- I suspect a number of plants will be needed fully to develop these markets (China is not a single market), rather than concentrating every thing in one area (as in Texas).