07-22-2005, 01:00 AM
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Contributing Editor Emeritus
Join Date: Aug 2006
Posts: 8,228
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HP Blocks Expansys From Importing non-European iPAQs
http://www.channelregister.co.uk/2005/07/21/hp_wins_grey_case/
"Hewlett-Packard has claimed a knockout win in its High Court action to prevent Manchester-based Expansys importing HP PDAs from outside Europe. HP said Expansys has been ordered to pay �substantial costs and damages�. The case will likely have ramifications for other vendors keen to prevent distributors and resellers sourcing product from outside Europe."
While I think the customer is the one suffering from this, I also think HP has a right to determine what of their product is sold where. Companies spend a lot of money on marketing and logistics to sell their product and when another company sells product on the gray market which hurts the original company's sales, well, I'd side with the manufacturer. It is hard enough competing with your competitors. There is no point in having to compete with yourself.
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07-22-2005, 01:29 AM
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Mystic
Join Date: Aug 2006
Posts: 1,734
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I so disagree. Competition leads to lower prices and better quality. If HP want to use differential pricing to gouge Europeans I do not find that morally acceptable.
I thought world trade was globalizing. No one stopped HP from buying their product in Taiwan and selling it in UK.
If HP Europe has to compete with HP America to produce lower prices and better service, thats only a plus.
Surur
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07-22-2005, 01:54 AM
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Ponderer
Join Date: Apr 2003
Posts: 87
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I think you are alone on this one.
If a company wants to import - or resell, they should be able too. If they were a distributor, or a partner and were selling osmething out sode of their product line defined by HP, then thats another story. Been there with another company I worked for in the past.
But the argument that its hurting sales is ********. It dosnt hurt their reasearch about where to sell products, where to release them and so forth. The more they sell, the more they make.
I never liked HP - now there is another reason. Jerks.
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07-22-2005, 01:56 AM
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Intellectual
Join Date: Apr 2003
Posts: 170
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Quote:
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Originally Posted by Surur
I so disagree. Competition leads to lower prices and better quality. If HP want to use differential pricing to gouge Europeans I do not find that morally acceptable.
I thought world trade was globalizing. No one stopped HP from buying their product in Taiwan and selling it in UK.
If HP Europe has to compete with HP America to produce lower prices and better service, thats only a plus.
Surur
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Exactly my thoughts, Surur! I usually find Ed Hansberry's comments well founded, but here he's way off, IMO.
Thomas.
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07-22-2005, 02:06 AM
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Thinker
Join Date: Oct 2003
Posts: 434
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The issue is one of customer support, which can be very different from region to region.
__________________
James Kendrick* ...using mobile devices since they weighed 30 lbs
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07-22-2005, 02:09 AM
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Intellectual
Join Date: May 2006
Posts: 251
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Ed wrote:
> There is no point in having to compete with yourself.
That's exactly right! HP (or any other techno company) should not geographically lock products that would be usable elsewhere--companies like Expansys wouldn't exist if HP didn't position itself in such a poor way. How can restricting potential customers from purchasing a product help a company's sales!? If only minor changes would need to be made to a product to sell it elsewhere, why wouldn't a global company do it? I worked as a firmware engineer for a major competitor to Cisco systems, and know firsthand how easy it is to re-brand or otherwise modify firmware for a product to open it up to sell in "new" markets.
m.
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07-22-2005, 02:43 AM
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Pupil
Join Date: Jun 2005
Posts: 49
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Quote:
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Originally Posted by jkendrick
The issue is one of customer support, which can be very different from region to region.
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Ditto that. It'll wreak havoc with customer support, especially when it comes to warranty.
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07-22-2005, 02:44 AM
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Pontificator
Join Date: Dec 2005
Posts: 1,183
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Quote:
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The issue is one of support which can be very different from region to region.
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Well it bl**dy well shouldn't be. Nor should the prices. If there were no differential then there would be nothing for HP to complain about.
Besides - they are still selling the original item elsewhere for a profit aren't they? What's the problem?
Oh yeah, I remember ... Europeans have to pay 50% more for everything, and "support" is the argument for it.
Complete tripe. Profit is the reason for it.
Same reason why you cannot buy a new Ford Fiesta in Britain for any less than a huge Ford F150 pickup in the USA.
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07-22-2005, 03:20 AM
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Thinker
Join Date: Jul 2002
Posts: 309
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I just can�t believe HP don�t want people to buy their products... it�s called globalization, bunch of... #### If they can support a line of pocket pc�s in a specific country, why can�t other lines be supported?
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This site should go the way of msmobiles.com. Forget WM and start talking android. Androidthoughts.com
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07-22-2005, 03:45 AM
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Pupil
Join Date: Jun 2005
Posts: 49
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Quote:
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Originally Posted by SteveHoward999
Quote:
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The issue is one of support which can be very different from region to region.
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Well it bl**dy well shouldn't be. Nor should the prices. If there were no differential then there would be nothing for HP to complain about.
Besides - they are still selling the original item elsewhere for a profit aren't they? What's the problem?
Oh yeah, I remember ... Europeans have to pay 50% more for everything, and "support" is the argument for it.
Complete tripe. Profit is the reason for it.
Same reason why you cannot buy a new Ford Fiesta in Britain for any less than a huge Ford F150 pickup in the USA. |
I'm sorry but your argument is full of holes. If they were to have the same prices all over the world, whose currency would they base t on? Yeah it's great for Europeans to buy their products when the prices are in USD but wouldn't the US consumer complain? Also, support centers are located all over the world for HP so let's use the UK as an example. If they were to charge the products over there at USD currency, wouldn't the wages for the employees there be much lower than the typical wages? The cost of setting shop in one country isn't the same for another. You say that they jack up the price because it's European but you neglect to mention that it costs more to operate there. As for the Ford comparison, the reasons the high cost is because it's expensive to import cars and if they were cheap, it would kill the country's automobile industry.
As for the lack of support, it's more of a deterent for consumers.
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