So Much For Commoditization, PC Makers Selling More Than Just Boxes
from the Nick-Carr,-are-you-paying-attention? dept
For years the PC makers have been content to all put out the same grey boxes, only to compete on price, customer service, and logistical expertise. But now things are moving in the other direction. Though Apple now uses the same guts as their competitors, the company is thriving with unique designs and features. HP, too, has been gaining market share from Dell by emphasizing their uniqueness. Today the company showed off their newest laptops which sport fresh designs, new colors, and features for optimizing media. Meanwhile, Dell, which once revolutionized the PC business model, is paying the price for its singular focus on cutting costs. Yesterday, the company, which has seen its fortunes sag in recent years, warned that profits would be weaker than expected. No doubt, part of this shift has to do with the growing popularity of laptops, which, like mobile phones, are part fashion symbol. The handset makers have shown that people are willing to pay a premium for style. But it’s also important that when everybody in an industry is convinced of one thing, in this case that commoditization is totally inevitable, bucking the trend can be a strong strategy.