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Essay text:
"beyond-the-box" products and services?
§ Where should Gateway's marketing efforts be directing customers: telephone and its website or to its Country Stores?
· Operating issues in regards to selling, general and administrative (s, g, a) expenses:
o Overall company s, g, a expenses would decline due to:
§ Closing of North America manufacturing, sales and service operations
§ Reduction in the number of Country Stores
§ Less advertising fees and expenditures
§ End of alliance with OfficeMax
o However, decisions about continued s, g, a expenses still needed to be made:
§ Does the Gateway store concept need more thought pertaining to Gateway's business model of operating as built-to-order?
· Gateway's gross margin and operating costs needed attention in order to once again be profitable
o The influential aspects among its customer sales mix, its product sales mix and its sales mix across its 3 distribution channels needed to be monitored and viewed as crucial elements to Gateway success
Strengths:
· 2000, Gateway claims over 20% market share as one of the top 2 PC manufacturers in the US...
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