Dells Cost Too Much
2007-02-05
Salon has an article by Andrew Leonard that explains Dell's failure in China (oh yes, they bombed there).
As Simon Ye and Annie Chung at Gartner Research called it four days later, Dell -- the low cost leader in most of the world -- was run out of the market by companies willing and able to produce computers at a much lower price.
There can only be one lowest-cost provider. And if that is your whole company's market advantage, then you better not be beaten on price. Next, the Chinese will duplicate the rest of Dell's business in the rest of the world and eventually most of the computer industry will go the way of the car industry.
If I were Apple I'd be licensing Mac OS X -- but only to the Chinese.
As Simon Ye and Annie Chung at Gartner Research called it four days later, Dell -- the low cost leader in most of the world -- was run out of the market by companies willing and able to produce computers at a much lower price.
There can only be one lowest-cost provider. And if that is your whole company's market advantage, then you better not be beaten on price. Next, the Chinese will duplicate the rest of Dell's business in the rest of the world and eventually most of the computer industry will go the way of the car industry.
If I were Apple I'd be licensing Mac OS X -- but only to the Chinese.
The Bagelturf site welcomes Donations of any size