Compaq is hoping to get bigger by thinking smaller: company zeroing in on the small business and home computer market
Article Abstract:
Compaq Computer Corp, which once marketed almost exclusively to large corporations, is taking aim at the small-business and home markets. Compaq made its first move towards these markets in Jun 1992, when it rolled out its ProLinea line of low-cost PCs. Still, most ProLineas are still sold to corporate users. As a result, Compaq is now planning a thorough shake-up of the way it sells PCs. The company has signed scores of retailing contracts with warehouse clubs, consumer electronics chains such as Service Merchandise and Circuit City Stores Inc and other mass merchants. Industry analysts note that Compaq trails other clone makers in entering the mass-merchandising market, and could alienate the firm's traditional corporate buyers. Compaq also plans to develop dazzling new consumer electronics products, such as hand-held electronic organizers.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1993
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Compaq plans big operation for mail orders
Article Abstract:
Compaq plans to debut a full-scale mail-order operation with the mailing of more than 1 million catalogues in mid-Mar 1993. Mail-order is one of the fastest-growing segments of the personal computer industry. The company's announcement has touched off a war of words between Compaq CEO Eckhard Pfeiffer and Chairman Michael S. Dell of archrival Dell Computer Corp. Compaq Senior VP Ross Cooley predicts that the operation, which will be able to handle 10,000 phone calls a week, may generate $170 million in revenues for 1993, or about one-tenth of the company's 1992 revenues. Industry analysts say Compaq will have to allay the fears of dealers who fear losing business to the new effort.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
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