Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: sjemmeri who wrote (6216)	3/6/1999 2:29:00 AM
From: Bob Rudd	Read Replies (1) \| Respond to of 78478

Steve: Limited selection on PC's is kind of a plus for retailers...A contributor to Best Buys success was cutting way back on selection. Those puppies depreciate faster that ripe tomatoes. This is part of the problem with CPU's business model - The inventory depreciates far faster than other categories of retail goods. The diversified stores dodge the bullet by just carrying key items...easier to get turns even if you miss a few sales. If, however, the price depreciation slows as has occurred in memory recently [Big chunk of PC cost], then CPU is at less of disadvantage. The cost of offering broader selection would lessen markedly. This might at some point be part of a solid value case for CPU. I agree with Shane that these stores offer consumers needed alternative and that many folks just prefer to go local rather than order on the net.