Rhys Blakely
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Dell is to sell its computers in Wal-Mart stores in a radical departure from its strategy of only selling directly to customers.
Its deal with the world's largest retailer comes as Dell battles to catch Hewlett-Packard, which has overtaken it as the biggest manufacturer of personal computers.
It follows Michael Dell’s decision in February to resume control as chief executive of the group he founded, replacing his protégé Kevin Rollins. The move came amid criticism that Dell had concentrated too much on its famously efficient supply chain at the expense of customer service and listening to what consumers want.
Other recent changes at Dell have seen the group set up a website where it has invited comments from potential customers.
Heeding that feedback, earlier this month the group also confirmed it is moving forward with plans to sell computers pre-installed with Linux, the "opensource" operating system that competes with Microsoft's dominant Windows.
The decision to return to Linux in response to consumer demand marks a u-turn for Dell, which first offered the opensource system in 1999 but withdrew it two years later, citing insufficient demand.
Dell will begin selling two of its Dimension desktop computers in about 3,000 Wal Mart stores in the US, Canada and Puerto Rico from June 10. Wal Mart did not say whether Asda, the British supermarket it owns, would follow suit, but Dell added that the arrangement “represents [Dell’s] first step” into retail.
“Customers want more and new ways to buy our products, and we plan on meeting their needs on a global level,” a Dell spokesman said.
Since its founding in the 1980s, Dell has relied on selling PCs and other products directly to consumers and business customers over the phone and Internet. It viewed direct sales as an important cost advantage over competitors who sold computers through retailers.
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that's great, customers will now have the choice among different brands while shopping at Wall*Mart. Competitions among PC manufacturers will somehow lower the price in the short run, as quality matters good performance will decide on the price of the market in the long run.
Frantz Vilce, West Palm Beach, Florida
This will keep me from buying a Dell. If they were available soley at Target, or another store that treated their employees correctly (pay, benefits etc) I would appreciate the option to buy in store.
Alisia, Denver, Co
I've always preferred Dell. So long as you're willing to pay for the Gold level of support they are great. (If you don't have Gold support you are on hold, forever.
However this move tells me Dell is becoming more revenue focused and less quality focus.
To sell at Wall Mart they have to find a way to produce that really, really cheap.
I'll think again when I buy another PC.
Ed Gilmore, Carlton, GA, USA
I spent almost 30 years in the consumer electronics service business as an owner and this move by Walmart to sell Dell computers could be a disastrous mistake. Walmart needs to get a customer service adoption policy in general before they sell computers in mass to the public. You're talking about a potential nightmare here! This is especially true with DELL Computers who outsourced their customer service to countries that have a serious problem with the English language.
Todd G. Smith, New York, New York
Great news. When can I buy my next Dell at Wal-mart??
Richard Hammond, Bridgeville, PA
Seemingly a smart choice. Dell is a household name, but accessibility has been until now very poor. This change Probably won't do much for Dells' name, but surely it will for its' sales.
James, St. Louis, us/missouri
Dell should continue to sell direct. It was efficient and successful for long period of time and brought home happy customers.
a.b. armstrong, Seattle, WA
it sounds good
vasilios tsakanikas, astoria, n.y. usa