I want to know why the Dells here are so cheap.

[no1_vern]

http://search-desc.ebay.com/search/s...m=R2&catref=C3

As far as I know these are new Dell computers. The prices seem to be leveling out about $550-$600 for a 4550 w/ 2.4Ghz, 256meg, 40Gig, Geforce MX Vid card. Even on the Dell site the computer combos I found in the "refurbished" area were $250-$300 higher than this. The ones with the lcd or uxga lcd are $250 to 350 less thatn the ones on the Dell site.

All of them are "second hand" computers and I see no way these people are able to sell them and still make money.

Can/will anyone enlighten me as to how they are able to do it?? Also what are the cons of buying a computer this way?? I know they are able to change over the warantee to me if I buy the comp. from them, but what else would I need to look out for ??

[Brainchild]

If these are cheaper than the ones on the dell site, I would say it's a scam. No way can anyone sell a new Dell for less than Dell.
IMHO

[no1_vern]

That was my question.
Yet on Ebay(my link above) there are several(read 30 or 40 people) people who have VERY good rating(honesty, lots of past transactions completed to the satisfaction of both people) are selling these "unopened boxes" of new Dell computers for SEVERAL hundred dollars less than what is available on DELLS site.

I honestly dont think they are scams because several of the auctions have completed satisfatorilly for both the seller and the buyer.

[Steve R Jones]

Dell ->makes product adds mark up = $800 machine

Dell ->makes product->sells large quantity with less mark up= $700 machine.

[no1_vern]

Hi Steve,
Well that could be it but im not convinced. How can a person sell a new Dell for $350 less than a REFURBISHED Dell? That is a LOT of markup he is covering.

In fact using the parts in an independently built machine you are $125 - $150 higher than what these machines are selling for.

[Brainchild]

If I knew this wasn't a scam I'd buy a couple myself.

[gjimene2]

Steve is right.

Look at Fry's Electronics. If you buy oh let's say 1,000 units of AMD XP 2200+ cpu, you'll probabloy pay about 30-50 bucks per each one. The more units you buy, the cheaper. When I bought an AMD XP 1800+, it had on the marking 45/4851 meaning, it was number 45 over 4,851 units that they had bought

And then again there is the stolen items that will cost you nothing, but will sell like hot tamales.

[Warthog]

But we are talking about an individual seller, correct? How can, say, you or I, buy 40-50 Dell computers at dirt cheap? Isn't that the only way of getting a discount? And then reselling them at several hundred dollars below what they retail for if you bought just one. I still dont' get it....the question was not how dell itself can sell computers real cheap, but how someone can buy Dell computers and re-sell NIB computers at below what a refurbished costs.

Warthog

[Brainchild]

I understand the volume buying principles, but they had to buy a couple of truckloads to get them that cheap, if that would even level the field.
As far as buying wholesale, that's not that hard to do Warty, just need federal ID#,and Registered buisness name, tax #, and what ever else your state wants, then you can buy @ wholesale price, meaning the price the supplier buys for to sell it to you.
That just seems awful cheap to me

[no1_vern]

Thats right, Warthog.

These are individuals and its not just one person its a LOT of people. All of the auctions are "Purchased but NOT OPENED" computers by Dell.

All of the "completed items" that I checked the BUYER was satisfied with the auction. Meaning they actually recieved an unopened Dell that wasnt refurbished. And at a price that was several hundred less that what was on Dells site.

What BC said! Even at the 100 of computers rate they would still be selling at a loss as far as I can see but there they are I KNOW they wouldnt be selling them if they couldnt make money on the deal.