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Brexit hits tech – Dell etc blame fall in sterling

  simonjary 10:26 09 Jul 2016

Apparently tech prices will rise due to post-Brexit falls in Sterling ... or just an opportunistic price hike.

Note: tech prices very rarely go up!

  Belatucadrus 11:57 09 Jul 2016

Apparently sales of tech and white goods have taken a hit as people are waiting for things to stabilise a bit before committing to buying stuff that may be not quite as necessary as it appeared a few weeks ago.

In the long term this may work out more expensive because the next stock delivery will probably find the prices hiked by the exchange rate change.

  Forum Editor 09:41 10 Jul 2016

"US computer-maker Dell and the Chinese smartphone company OnePlus are both raising their prices in the UK and saying the move is the result of the nation's vote to leave the EU."

The move is the result of a need to protect margins. It is understandable in one sense, but foreign companies which want their products to remain attractive to UK purchasers need to think hard about their pricing policies in the short term.

Consumers will buy products with the most attractive prices, all other things being equal, and if companies like Dell want to maintain market share they might do well to bear that in mind. Their problem is that margins on tech goods are very tight at the best of times, and a pound that has fallen against the dollar is bad news for American companies exporting to the UK.

The situation will stabilise, but for the time being we'll probably pay more for those goods.

  wee eddie 12:02 10 Jul 2016

Although Dell is American, aren't their European Products made in Ireland?

In the initial phases of Brexit there will be a lot of huffing and puffing by Companies trying to get a short term bonus. Dell is a very competitive Company, I have little doubt that an approach to Dell with to intention to purchase their Product will result in an offer that is very similar to the earlier price.

  Forum Editor 12:27 10 Jul 2016

wee eddie

Dell closed its Limerick manufacturing plant in 2009.

  wee eddie 13:28 10 Jul 2016

That's the problem with being terminally ancient. Ones information is out of date.

Did they move it to somewhere in Eastern Europe?

  Forum Editor 13:59 10 Jul 2016

wee eddie

To Poland.

  wee eddie 14:53 10 Jul 2016

I believe that the reason for it's siting in Ireland was it's proximity to Shannon Airport, as was Digital's siting close to Prestwick Airport

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