George Shiffler Growth Quotations

The quest for growth is forcing vendors to test the limits of PC price elasticity. The whole dynamic is compounded by the fact that buyers have increasingly come to expect sharp price declines.

Vendors are likely to see a fundamental shift in the market as they come to grips with the steep decline in mature-market desk-based growth and are forced to seek growth in other market segments.

The bread and butter of the industry are the mature markets, but because of the falloff in replacement activity, vendors are going to have to go out and look for growth elsewhere. That's the challenge for the industry.

As recent earnings announcements illustrate, vendors are facing strong competitive pressures. These pressures are only likely to intensify if unit growth slows. Vendors may have little choice other than to cut prices or offer more lower-cost, de-featured machines.