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Conference 7.286::digital

Title:The Digital way of working
Moderator:QUARK::LIONELON
Created:Fri Feb 14 1986
Last Modified:Fri Jun 06 1997
Last Successful Update:Fri Jun 06 1997
Number of topics:5321
Total number of notes:139771

3296.0. "Channels?? DEC had it then!" by PASTIS::MONAHAN (humanity is a trojan horse) Wed Aug 03 1994 03:27

    	Moving to "channels"?  DEC had it then!
    
    	The majority of DEC is subsidiaries that have sales and services
    capabilities, originally with only DEC capabilities, but more recently
    allowed to sell products from other manufacturers.
    
    	The reason they cannot compete with other distributors is that they
    have never been allowed to.
    
    	As mentioned recently in another note, the structure of
    subsidiaries has been used to move profits to low-tax countries. A
    subsidiary in a high-tax country would be charged a high price by DEC
    Corporate to ensure that the subsidiary in that country made little
    profit.
    
    	I am sure business practices have changed a little since then, but
    many years ago I used to have some contact with Plessey in the U.K..
    They bought a fair amount of DEC equipment, and were originally buying
    it from DEC U.K.. However, the uplift that DEC corporate applied to the
    European subsidiaries at that time meant that DEC's U.K. prices were
    substantially higher than U.S. prices. It got to the point where
    Plessey set up a U.S. subsidiary in California whose only job was to
    purchase DEC equipment and specify delivery addresses in the U.K., and
    DEC U.K. was not permitted to compete for that business by becoming a
    distributor for ICL or other U.K. manufacturer
    
    	We already have distributors in most countries with staff highly
    trained on DEC equipment and a bias towards selling that rather than
    equipment from another manufacturer. The only difference from any other
    distributor is that they have so far been prevented from competing
    fairly with other distributors. Let them decide whether they run a high
    street shop or a warehouse on an industrial estate. Let them say "I
    don't believe there is a market for DECproduct-X in this country, so if
    you want to push it here, find another distributor".
    
    	Give them more freedom. Let them choose whether they buy from DEC
    (corporate) or Apple. Why waste time recruiting a distributor in a
    country when you have almost everything except the financial structure
    of the relationship with DEC (corporate) already in place.
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3296.1from Livewire (11-Aug)MKOTS3::LANGLOISWhich bridge to burn,which to crossFri Aug 12 1994 09:1759
             Digital's Components & Peripherals Business Unit 
                     reports explosive channels growth 
 
 As part of the effort to increase its already substantial growth in 
 the components market, Digital's Components & Peripherals Business Unit 
 is accelerating the expansion of its list of channel partners and 
 will announce several new industry-leading, open-standards products 
 in the first half of fiscal 1995.  
 
 The Components and Peripherals Business Unit develops, manufactures and 
 markets high-performance printers, printer accessories and supplies, 
 video terminals, OEM systems, and embedded products for the distributor, 
 reseller, VAR and retail channels. 
 
 "Over the past sixteen months the Components and Peripherals Business 
 Unit, under Larry Cabrinety's direction, has established Digital as a 
 strong presence in the components market," said Charles F. Christ, vice 
 president and general manager of Digital's Components Divisions.  "We 
 have signed new partners worldwide, including retailers such as OfficeMax 
 and CompUSA, and announced major advances in our products based on Alpha 
 AXP technology, network printers and video terminals."
 
 "In fiscal 1995 we plan to increase revenues by 20%-25%, while 
 continuing to evolve into an organization that works dynamically 
 with its channels partners to meet market needs quickly and 
 effectively," said Larry Cabrinety, vice president of the 
 Components & Peripherals Business Unit.  "Aggressive marketing 
 plus flexible, responsive, customer-driven services and support
 programs will enable us to increase marketshare, become the leader 
 in the video terminal and embedded markets, and effectively 
 challenge current printer manufacturers."
 
 In the past fiscal year, the business unit counted a number of successes, 
 including the VT family of terminals.  The VT text terminals offer 
 reliable, versatile, and affordable quality for the Digital and 
 multivendor environments.  Based on an open enterprise model, the 
 terminals support ANSI, ASCII, and PCTerm protocols.  Products include 
 the VT510 and Dorio monochrome, single-session text terminals.  The Video 
 groups will introduce a number of new, advanced terminals this fall. 
 
 The Components OEM Group's sales in fiscal 1994 grew significantly over 
 the previous year and are expected to grow nearly 100% in fiscal 1995.  
 The group markets its video, printer, networking and memory products, 
 Alpha AXP single-board computers and contract manufacturing services to 
 OEMs in the computer and electronics industries. The Embedded and 
 Realtime Products Business, which develops and markets the industry's 
 most comprehensive line of realtime and embedded solutions to OEMs in 
 technical markets, is now delivering the industry's most competitive line 
 of VME single board computers. 
 
 These systems offer the fastest performance and most comprehensive 
 support of the PCI (Peripheral Component Interface) standard, and 
 are at the forefront of the PCI/VME technology curve.  Raytheon,
 ABB Systems Control, Texas Instruments, GE Medical and Science 
 Applications International are among the many customers of this 
 rapidly growing business.

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