Friday, May 23, 2008

Struggling Dell?

Dell Inc. is closing its manufacturing facility in Austin, Texas. check this article.
http://www.marketwatch.com/news/story/dell-close-texas-plantweigh-sale/story.aspx?guid=%7B0DF2ADF8-453A-4B08-BC32-74E75CFA0389%7D

The article starts by labelling Dell as a 'struggling computer maker.' This is the first time I have seen the adjective 'struggling' being used to describe Dell. The makers of Dell had a merry time because of absence of legacy supply chain that allowed them to sell products directly. While direct sale was good for the commercial segment, retail consumers were never the major target of Dell. Now, with commercial spend on a tight leash Dell has no option but to look out and attract retail consumers. This is easier said than done.

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