Personal Computers

Two of the major players are Dell and Hewlett Packard. HP bought Compaq.

Dell Computer

• Famous for direct sales model
• Started using value added resellers more in 2006
• Entered the blogosphere to counter criticisms.
• IT buyers are heavy users of the internet and blogs for information.

HP

• HP has struggled with channel conflict
  • Instituted a system of named accounts to reduce conflict
  • Resellers are developing private labels to compete with direct sales
  • Working with channel partners in mid-market accounts

Resellers

• CompUSA and Circuit City struggling to compete with online resellers such as CDW