Dell Goes Retail In China With Gome

Dell will expand the product line with Gome, Chinese largest electronic retailer in 2008 to improve market share. This decision was base on loosing the market share to HP, top share PC maker. Dell will have to deal with increasing competition in global PC industry such as a retailer like Gome. Dell also has to deal with training Gome’s employees to learn and sell Dell product line. Dell needs to be aggressive in order to make in the Chinese market will be a positive move, however computer sales are driven by market where Gome doesn’t have a strong advantage in expanding because PC sales are not driven at a single retailer, but instead at many IT malls that have more than 100 retailer in one area. Over 80% of PC sales are placed at this mall. As a result this alliance will add growing brand awareness in the PC industry.

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