Current events in the computer industry

Success of last year Dell has created a wave of efforts to direct response competition influential Compaq, Digital and IBM. Computer superstores reappeared with a new profile at low cost. Every major PC vendors scrambled to get products in front of potential new customers through a massive series of channels.

The fluidity of the distribution problem manifests itself in the newer events. Dell, in the wake of a huge quarterly loss, is scrambling back to his feet.

Some vendors offer similar or identical products. The products are available from a variety of sources.( Flew 101-114) They are widely interoperable and interchangeable.

* Price wars have expanded accessibility. Prices are equalized across all channels and both business owners and small businesses are a growing variety of channels. The result of price competition is a differentiating factor more important than it was during the last five years. It will match the importance of service, comfort, and other factors.

Given the rapidly falling prices and commoditization, the distribution channels for computers have changed dramatically in recent years.

Competition intensified distribution is typically favored large enterprises. First-tier suppliers have taken market share as smaller suppliers. Apple, Compaq, IBM and all are firmly established in direct response and alternative distribution channels, including all or part of the following: mass merchants, retailers, consumer electronics, catalog, and a third-party mail order.

As the PC market plows deeper into "mature product" phase of the life cycle of products, distribution channels for PC products continue to grow.

Systems Integrators

Systems integrators are expected to build their shipments of personal computers slowly -- from 291,000 units in 1992 to 438,000 by 1997. The growth in value of shipments, however, is expected to be much more rapid, reflecting systems integrators' participation in the larger revenue opportunities offered by RISC workstations and NT-based products. ...