Identical Laptops, Different Prices: Don't Be Fooled by Branding

Author(s): Wilson Huang

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Virtually identical laptops produced by the same Original Design Manufacturers (ODMs) are available at drastically different prices. There is no material difference in quality between laptops made by the same ODM, and enterprises should think twice about paying a premium price for brands solely based on perceived quality. Pay a premium only if superior, post-sale support is offered.

Who Really Makes the Laptops?

Brand firms such as Dell and Toshiba neither produce nor design their own laptops. Instead, a small number of ODMs design and produce virtually all the laptops in the world. ODMs make available a selection of designs, and the name-brand companies decide which laptops to add to their product line-up. The brand firms then integrate standardized components according to customer orders, such as different hard drives, etc.

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