New Computer Company

Ventorus

Junior Member
Aug 13, 2011
3
0
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Hey, I'm wondering what all you guys (or gals) out there would be looking for in a new computer company? Things to differentiate us from CyberPowerPC, Ibuypower, and any others that i can't name off the top of my head. I wouldn't be starting this company for a while, as I'm still in middle school. I would likely start it after i get out of college. But it's good to plan ahead eh'? Any suggestions will be noted and saved for later as I value your advise.
 

mnewsham

Lifer
Oct 2, 2010
14,539
428
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Computer companies will be obsolete by the time you get out of college.
/thread

pretty much this.

OP while you may want to start a custom computer company it isnt really a good idea, DELL, HP, Ibuypower, CyberpowerPC, etc. They can ALL buy parts in BULK. The time it would take you to get the customers for that type of business you will likely have been run out of business.
 

Ventorus

Junior Member
Aug 13, 2011
3
0
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K, i guess that's a jolt of reality then... but what if i Could start the company, what would you like to see?
 

mnewsham

Lifer
Oct 2, 2010
14,539
428
136
Money saving stuff like no OS, Options for no HDD, or no optical drive. I hate how with cyberpowerPC they REQUIRE like a 1200w PSU for a GTX 580 when all that is need is a good 700w PSU. Etc
 

Ventorus

Junior Member
Aug 13, 2011
3
0
0
Thanks. I was thinking about using Linux for the more budget computers (or come standard with all) with the option to upgrade to Windows, that way, people buying for elder family members/children can get a computer for them for even cheaper. I know i would have to learn a lot about it but i think it would be a decent idea. Thanks again for the suggestions. (i also hate cyberpowers requirements for PSUs also :D )
 

CurseTheSky

Diamond Member
Oct 21, 2006
5,401
2
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You'll have a hard time finding people that are willing to try Linux.

IMO, if you REALLY wanted to differentiate yourself as a computer company, you'd have to do something really unique. Something like uncommon (Windy?) or custom-built cases, custom sleeving on all cables, etc. It could be very cost and time prohibitive.

The biggest thing to keep in mind is that the more custom work you do, the higher your price is going to be. The higher the price is, the more reluctant people are going to be to line up as a first-time buyer from your company.

If you're serious about doing this (and I applaud you, I've toyed with the idea in the past myself), your best bet may be to see if you can team up with some kind of OEM that makes specific parts, and see if you can work out a deal to build computers using their products exclusively. Something like Corsair (Case + PSU + memory + heatsink) or Antec (case + PSU + heatsink).
 
Nov 26, 2005
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IMO the way computer companies like those work is they cut out anything that is good component wise (overhead) and sell you on power-selling words to make a profit margin. I'm not sure how big a margin it could be but I imagine they bet on selling the costumer warranties that they hope they will never have to fulfill.
 

DaveSimmons

Elite Member
Aug 12, 2001
40,730
670
126
Another problem is that there already are high-end custom builders like Puget Systems that have a good reputation and years of experience.

So cheap prebuilts (HP, Acer, etc.), cheap custom (CyberPower, etc.) and high-end custom (Puget, EndPCNoise) are all already out there.

Unless you win the lottery and do this as a hobby instead of yachting, you're up against companies with much more buying power, experience, reputation and marketing dollars.
 

ponyo

Lifer
Feb 14, 2002
19,688
2,811
126
Focus on the service side. Any monkey can build a computer. Hardware is just part of the service you provide. If I was starting a computer related business, I would focus on small businesses. Specifically medical related stuff. Get real familiar with different medical software packages and specialize in turnkey medical IT solutions for small medical practice. Think doctors and dentists. You make money from the initial hardware, software, and network installation and then make more money from monthly support/service contracts.

Doctors/dentists have money and will spend money. That's the market I would focus on.
 

gorcorps

aka Brandon
Jul 18, 2004
30,741
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You don't want to do this. I suggest you research and utilize Porter's five forces to analyze the industry and see what a PITA being a computer company is.

Basically it breaks down to five things that influence an industry:
1 -The threat of the entry of new competitors
2 -The threat of substitute products or services
3 -The bargaining power of customers (buyers)
4 -The bargaining power of suppliers
5 -The intensity of competitive rivalry

Taking the computer industry (not software, just people who assemble hardware) you get something like this:

1 -Threat of new competitors is very high (little to no barriers to entry). Anybody can buy parts and assemble them to resell. New people pop up offering up their services on Craigslist all the time.

2 -Threat of substitute products is medium to high. Most people don't need custom built PCs. They can get email and web browsing from their tablet or phone, and can get their gaming from consoles. Most PC gamers will assemble their own machine.

3 -Bargaining power of your customers is very high. Because they have lots of choices they can pretty much demand anything they want and just go to a competitor if you don't do it.

4 -Bargaining power of suppliers is high. You have no control over the price of computer components. None at all... you're not buying in bulk so nobody is going to cut you a break.

5 -Intensity of rivalry is high. Everybody knows of and sees ads for Dell and HP, then you have intense advertising through craigslist. The problem of craigslist is your competitors can flag your ads for removal for any reason... and they will. Your ads will disappear overnight.

So there you go... it's quite possibly the worst industry to get in to because absolutely anybody can do it, and there's very little market for the custom built machines anymore. I wouldn't plan on doing this at all. Sorry to crush your dreams but it's better to do it now and not when you start dumping money into a company that won't work.
 

chusteczka

Diamond Member
Apr 12, 2006
3,399
3
71
A business may be developed when a person with the right skills realizes an opportunity and acts to take advantage of it.

The first step is to develop the skills that interest you. For example computer repair, system administration, and networking certification.

From now through high school, you could find an apprentice position with a company or small business that could provide you with good experience.

Then, by the time you graduate high school, you may possibly be in a position to act on your skills to develop a business and take advantage of the opportunities you see in front of you or you could continue your education to earn a college degree.

Any advice provided now about a computer company 5 years into the future will be out of date.
 

oynaz

Platinum Member
May 14, 2003
2,449
3
81
Check out http://www.mm-vision.dk/

A relatively new Danish company who are doing very well. The recipe is quite simple: Customization, quality parts, reasonable prices and very good craftsmanship in assembling the rigs. On top of that, they have a good old-fashioned "the customer is always right" approach to customer service (Danish and EU legislation does them a huge favor, here), and rely on word of mouth and Trustpilot to bring in business.
 

piasabird

Lifer
Feb 6, 2002
17,168
60
91
There have been many computer and electronic companies that have failed over time. I do not think it is possible to compete against the big companies that make budget computers. However, if you built a high quality unique product like quiet computers or gaming computers or HTPC boxes, you might be able to make enough money to earn a living. It might be helpful if you had read some books about business and the computer industry. Often companies went bankrupt because they purchased buildings. Approach this kind of business proposition with careful deliberation.
 

OBLAMA2009

Diamond Member
Apr 17, 2008
6,574
3
0
the world doesnt need another computer company, its that simple. think of all the computer companies that had engineers, marketers, cheap labor etc... that have gone out of business. computers will have increasing competition from other devices and now they are fast enough that people dont need to replace them very often.