Intel Knows Best? A Major Marketing Mistake

Essay specific features

 

Issue:

Business

 

Written by:

Norma M

 

Date added:

October 21, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

7 / 1776

 

Was viewed:

1249 times

 

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Essay content:

Intel said its reasoning for not going public was that most people would never encounter any problems with the chip. Intel said that a spreadsheet user doing random calculations would only have a problem every 27,000 years, therefore they saw no reason to replace all of the defective chips. However if a user possessed a defective chip and could convince Intel that his or her calculations were particularly vulnerable to the flaw in the defective chip then Intel it would supply those people with a new chip...
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This attitude of 'father knows best' fostered by Intel created an uproar among users and owners of the defective chips. Six weeks after Mr. Nicely went public, IBM, a major purchaser of Pentium chips, stopped all shipments of computers containing the defective Pentium chips. Intel's stock dropped 5% following this bold move by IBM...
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