Feeds

Consumers' Association calls for investigation into Dixons

Says UK customers suffer from Dixons' stranglehold

  • alert
  • submit to reddit

Boost IT visibility and business value

The Consumers' Association was yesterday calling for a government investigation into an alleged Dixons monopoly on PCs. (Earlier story: Dixons claims Intel losing budget PC market share) The association claims British customers suffer from Dixons grip over half the high street PC business, with the electrical retailer keeping prices artificially high. It is demanding the group is investigated by the Office of Fair Trading. The accusations echo those made by Intel's CEO Craig Barrett earlier this week, when the chip vendor said Dixons’ inflated prices were holding back UK PC sales. However, some feel the cries to force the retailer to explain its pricing policy are rich, coming from Intel. Peter Crane, marketing manager at Midlands-based reseller PSM Micro Computers, slammed the accusations: “Intel has the cheek to say Dixons are making too much profit. But who are they to talk?” Crane said that if Dixons was forced to reduce its prices, others in the channel could be forced to follow. He said he was worried about price cuts forcing down reseller prices across the board, on already low margins. Prices of PC are cheaper abroad due to the strong pound, but Crane said: “Prices may be cheaper abroad, but they don’t have the skills base we do.” Dixons, which owns PC World, Currys and Byte chains, denies controlling such a large sector of the UK PC market. While some rivals claim the group dominates about 45 per cent of home PC sales through high street stores, Dixons puts the figure at around 15 per cent. ®

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.