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Thinkpad (AXcess News) Houston, TX - Dell Computer Corp. (Nasdaq: DELL) said Wednesday that it planned to open retail PC stores in Texas and New York, which was a shift in sales tactics for the computer maker who sold computers direct to consumers over the telephone and through the Internet.
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Microsoft The two stores will consist of 3,000 square foot retail locations in high-traffic shopping malls in Dallas, TX and West Nyack, NY, a Dell spokesman said Wednesday.
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Laptop Computers The stores are meant to carry display models only with Dell planning on sticking to its direct-sales methods. Consumers will still have to order online or over the phone and then wait for their purchase to arrive in the mail.
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Laptop Computer Analysts are unsure of Dell's move, saying it says the computer maker may be unsure over its direct-sales model. Dell's first-quarter profit was down 18 percent from year-ago figures, the company said earlier this month, but still totaled $762 million on revenues of $14.2 billion. Dell's worldwide market share was 16.5 percent in the first quarter, down from 16.9 percent a year ago. Its U.S. market share was 29.8 percent, down from 32 percent during the same time.
Dell Printer Ink Cartridges & Laser Toner In March of 2003, Dell announced it would start selling its own line of printers by private labeling Lexmark printers under the Dell brand name, Packard Co., who was the market leader at the time. Dell's plan was to begin bundling their all ready popular brand of computers with their own printers in an attempt to quickly gain a large share of the printer and printer supplies market.
Desktop Computer Michael Dell, the computer makers chief executive said, "That decision was based on the success of the more than 150 "kiosk" sales centers the company currently has across the country." Consumer sales make up about 15 percent of Dell's revenues, he said.
Notebooks Shares of Dell closed up 9 cents at $24.18.
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