How Do Dixons And Tandy Add Value To The Products They Sell?
- How Do Dixons and Tandy Add Value To The Products They Sell?
How do Dixons and Tandy add value to the products that they sell, and, in doing
so, what benefits are passed on to the consumer? Do high street consumer
electronics stores offer better value for money than their mail-order
counterparts?
The raw price figures show that, obviously, the high street stores cost more
than the mail-order stores, but are the benefits that the high street stores
bring worth the extra price?
I took the prices of five types of products, a large stereo, a portable system,
a small television, a video recorder, and a computer. The large stereo was an
AIWA NSX-V710, the portable system was a Sanyo MCD 278, the small televisions
that I chose were not available in both stores, and so I had to choose similar
models. The models I chose were the Matsui 14" Remote from Tandy and the Nokia
14" Remote from Dixons. The models were both available from the mail-order
supplier, at the same price. The video recorder that I chose to use was an AKAI
VSG745, and was in fact available from both stores. The computer was the most
difficult part of the system to match, as the Dixons systems came with some
added bonuses such as extra multimedia software and Internet capability. I
therefore reduced the price of the Dixons machine to account for these
differences, by deducting the price that it would cost to upgrade on the Tandy
machine. So, to give the Tandy computer Internet capability would cost £150, so
that was deducted, and the multimedia software would have cost £50, so that was
deducted. The computer specification I aimed to have as a common platform was an
Intel Pentium 120MHz machine, with 8MB RAM, a 14" monitor, at ...
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