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What happend to Gateway?
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What happend to Gateway?


They are way behind Dell in computers. HP and Dell have huge volume and cost savings. Gateway has higher margins because they pay higher prices. The computer business is pretty much cut throat discounting, so with higher costs, Gateway has had big trouble competing.


is Gateway done for?


That's tough to say. They still have a lot of sales. It will depend on how well they can execute a turnaround.


Tell you one thing: GateWay makes some really nice computers. I haven't had any problems with several over the years.


[quote:f74ec4b040="KennethPenn"]Tell you one thing: GateWay makes some really nice computers. I haven't had any problems with several over the years.[/quote:f74ec4b040] Then I congratulate you. I have worked in the computer industry in various positions since I was about 12... I'm 25 now. I would say a good 30% (that's very high) of Gateway machines I've come across have had problems. I believe the problem with Gateway and what caused the depletion of their market share was the fact that they had very poor customer service and did nothing to fix it. Combine that with poor business direction and BAD decisions by their CEO and you had this recipe for disaster. Those bad decisions included: - Opening hundreds of "Gateway Country" stores all across the country. Dell and Compaq/HP decided to sell online. Gateway added costs, Dell/Compaq cut them here. - Gateway "CIO" Program - Gateway started trying to sell management services. They would be a CIO for your company. Yikes. - Did nothing to improve on market share as they felt they were "massive" enough. Dell, Compaq/HP branched out and smashed them in the process. Waitt was a moron and has caused the death of Gateway.


I don't see GateWay doing much. They are an average company in their industry.



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