
Dell Inc. will be selling desktop computers and laptops in Beijing, China. Computers will be sold in 50 stores operated by Gome Electrical Appliances Holding in major Chinese cities and will expand later in the month. Gome's stores hope to help Dell increase in sales in China, which is the world's second largest PC market, where it trails the Lenovo Group, Hewlett-Packard and the Founder Technology Group.
China's growing demand for electronic products is blossoming due to the income of urban Chinese jumping to 18 percent, according to the National Bureau of Statistics. “Over the next two years, the growth of the desktop market in China will make it a larger market than the U.S.,” said Michael Tatelman, vice president for marketing and sales for Dell global consumer business.
I think this is a good approach for Dell. After doing a marketing project on Dell versus Macs, I learned that Dell's distribution strategy is direct from manufacturer to consumer. Although this may have been an advantage since it did not include retailers and other middle man, it is smart for Dell to reach out more. It recently started selling computers in Wal-mart Stores. Dell also plans to open its first retail store in Russia.
Article could be found in "Dell Agrees to Sell PCs at Retailer in China" in the New York Times.


