· Consumers are becoming more computer and component literate.

· Companies are investing large amounts of money into network developments.

· The low unemployment rate allows more people the opportunity to purchase novelty items.

· Top five computer companies in 1999 ranking according to market share: Compaq (19.1%), Dell (10.3%), Packard Bell NEC (8.2%), IBM (8.0%), Hewlett-Packard (7.1%).

1) Compaq sells almost exclusively through retailers.

2) Their greatest market strength is among Fortune 1000 companies.

3) They acquired Digital Equipment Company (DEC) in order to

become a global supplier of computer hardware and network

4) Compaq offers a wide range of servers.

5) The DEC acquisition gives Compaq an advantage in the

computer-networking segment, which will look very appealing to large corporations.

1) IBM is the market leader in both entry and midrange servers.

1) H-P is the global leader in printers.

2) Their strong global reputation has hel

· Each major computer company spends millions of dollars per year on advertisements. This also creates a barrier to entry.

b) Debt to Equity Ratio: Dell's debt to equity ratio is lower than the industry, which means that Dell has less equity than other companies in the industry. One good reason for this ratio being so low is the additional debt that Dell is assuming in its enterprise system's R & D.

· Selling directly to customers eliminated the time and costs associated with distributing through resellers.

Some common words found in the essay are:
Company DEC, VIII Recommendations, Web-enabled Finance, Yr Dell, Technological Factors, Production Strategies, Product Lines, Statement Dell's, International Factors, Ratio Dell, · dell, industry's average, 2000 dell, · dell's, n/a n/a, 5 yr dell, below industry's, 5 yr, 2000 5, computer companies, factors ·, 2000 5 yr, below industry's average, n/a n/a n/a, due direct selling,
Approximate Word count = 2228
Approximate Pages = 9 (250 words per page double spaced)