In a tough year, Dell stands out

Article Abstract:

Dell Computer Corp continues to do well in spite of the harsh conditions that prevail in the computer industry. Dell's profits increased 90 percent in 3rd qtr 1991, and sales were up 68 percent. Sales are up 59 percent for the first nine months of 1991. Sales in 1990, which were $546 million, were up 41 percent from 1989. According to Dell's founder and chairman, Michael S. Dell, the only secrets of his company's success are these: stay in touch with customers, make superior products and offer ongoing support. In fact, Dell's dedication to on-site service and technical support is expensive for the company, which has been forced to raise prices. Other lean and hungry companies might use Dell's own tactics to take market share away for themselves. Dell is not unaware of its potential weaknesses: Dell is moving aggressively to counter the strategies of both larger and smaller companies.

Management, Computer industry, Profits, Dell Inc., DELL, Customer service, Company Profile, Management Style, Profit, Support Services

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Are many salespeople stumped?

Article Abstract:

When the microcomputer revolution began, early customers had to put up with salespeople who lacked expertise and sometimes gave misinformation. Although in recent years people selling computers and software have been better informed, the rapid pace of technology is now leaving some behind. As more powerful systems, more complicated software, and new multiprocessing and communications technologies enter the market, salespeople are unable to keep up with advances on all fronts. Some are beginning to specialize and focus their expertise on one type of platform, software or market. Dealers must recognize the importance of training their salespeople to be competent and courteous, or they will lose business to discount mail order computer suppliers.

Wholesale trade, Selling, VARs (Value added resellers), Training, Wholesale Dealer/Distributor, Value-Added Resellers, Specialization

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Want more power? Pull out a chip and put in a faster one; Compaq is the latest company to offer PC's that can be improved by swapping parts

Article Abstract:

Compaq Computer Corp introduced four 'upgradable' microcomputers in the week of Sep 16, 1991, breaking with tradition by pricing the machines aggressively. Compaq's new product line is known as the Deskpro/M series. The 'M' stands for modular. Compaq's new products include: the Deskpro 386/25M, at a base price of $3,099; the Deskpro 486s/16M, for $3,699; the Deskpro 486s/25M, for $3,699; and the Deskpro 486/33M, which costs $4,799. Upgradable systems constitute the latest trend in the computer industry. Such systems are specifically designed to make it easy to replace an aging component with a modular part that incorporates advanced technology.

Compaq Computer Corp., CPQ, Marketing Strategy, Modularity, Software architectures, Upgrading, Pricing Policy

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