Thursday, May 11, 2006

For those who thought computers were more complex than televisions

Pull Quote:
Wal-Mart's entry into a category can raise alarms because the retailer's persistent price-cutting pressures competitors' profit margins. It has been blamed for bankruptcies in sectors ranging from groceries and toys.

Gee, that's a nice way to put it. Must have come straight from the company's press release.
But analysts said it was unlikely that Wal-Mart would pose much of a threat to the likes of Dell Inc., which mastered the made-to-order computer model and offers a much wider selection. They also noted that Dell makes most of its money selling computers to businesses rather than individuals.

But if I were running Gateway or HPQ, I might be a bit more worried.


Post a Comment

<< Home