PC-Tech eyes Almasa alliance

Moroccan IT distributor and PC assembler PC-Tech plans to route its purchasing requirements through Almasa IT Distribution to take advantage of the two companies’ combined buying power. The two companies also intend to develop shared warehouse facilities in Morocco.

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By  Stuart Wilson Published  June 28, 2004

Moroccan IT distributor and PC assembler PC-Tech plans to route its purchasing requirements through Almasa IT Distribution to take advantage of the two companies’ combined buying power. PC-Tech and Almasa also intend to develop shared warehouse facilities in Morocco. Such a move would help move Almasa closer to its long-term centralised distribution vision based around three stocking hubs in Dubai, Amsterdam and Morocco serving the entire Europe, Middle East and Africa (EMEA) region. Mohammed El Cohen, president at PC-Tech, said: “Right now, I am currently buying from vendors such as Asus, Microsoft and Maxtor but we want to put all the purchasing through Almasa to increase the transaction volume. When you buy in big volume the price you pay goes down.” “Almasa and PC-Tech are in negotiations to run a joint venture warehouse serving the whole of Africa. Right now we work on behalf of Almasa to allow it to hold Maxtor and Intel stock in Morocco,” added El Cohen. Selling its PCs under the Msys brand, PC-Tech wants to take the Middle East market by storm and has hatched an aggressive geographic expansion plan to build up sales channels. The company plans to launch a low-cost PC with a price point of approximately US$250 including Microsoft Windows. “Msys branded PCs are already sold into Spain through a retail partner and we are in negotiations with a French retailer,” added El Cohen. “The plan is to also sell these PCs into the Middle East market and we hope to use GITEX to showcase the products.” With PC-Tech’s low-cost PC scheduled for a September launch, El Cohen hopes to sell 500,000 units in the first two years. “Labour costs in Morocco are low,” said El Cohen. “I can guarantee you it is even cheaper than the Far East. Plus we are much closer to target markets in EMEA. It can take three weeks to supply finished products from the Far East while we can get products to market in a few days.” “My vision is to be based in Morocco but to sell to many markets,” concluded El Cohen. “Michael Dell started in a garage and look how that business has developed. Why can new brands not achieve similar success? All you need is the vision and the support of vendors like Intel, Microsoft, Asus and Maxtor.”

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