DELL is desperate?

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Dell to sell desktop PCs at Wal-Mart stores

Computer maker detours from longtime direct-sales model

By Rex Crum, MarketWatch
Last Update: 3:50 PM ET May 24, 2007

SAN FRANCISCO (MarketWatch) -- Dell Inc., the world's No. 2 personal-computer company, said Thursday that it will begin selling PCs on the shelves of retail giant Wal-Mart Stores Inc., in a deal that breaks with its longtime direct model of making computers on order for customers.

http://www.marketwatch.com/news/sto...37-9D59-42EE-B17E-6DBE5552FA67}&dist=hplatest
 
Desparate or finally smart since a lot of people want to buy a computer they can see and touch and look at. If a lot of people buy computers at Walmart, Best Buy, circuit city, etc.. might as well put your product out there.
 
This is a new market for them. They need growth. Will it eat a bit of their direct to consumer market? A little. However, they will also sell to people who want to touch and see the computer they are buying first. It's a good move to add some growth.
 
You can view it both ways. I think the more channels, the better.

When AAPL announced they were going to deploy kiosks in some malls, the shorts were saying Apple was desperate and that rolling out kiosks was "proof" that the Apple Store business model wasn't working.
 
A bunch of people prefer to buy stuff in a store rather than mail order. When I ordered my Dell, I had to take 2 days off from work to sit around my house to wait for the UPS guy.

If Dell decides to sell laptops at stores, this will be attractive to people who like to check out the screen quality and the feel of the keyboard before they buy.
 
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