NEC SA promises more margin to resellers with the impending closure of its local office.
The company says it will follow international distribution models by appointing "one or two" distributors, in the process "removing a layer in the channel to enable NEC to add more margin to the reseller while reducing the cost to the end-user".
This is possible, it says, because the distributor(s) it plans to appoint will be able to buy directly from NEC Computers International (NEC CI).
Martin de Gidts, NEC SA director, says he cannot disclose the names of the distribution houses NEC is in talks with, but adds that "it will probably be among those we have dealt with in the past".
The closure will get under way soon. "Proceedings will come to a head in the next days and weeks", he says.
NEC SA employs 25 local staff. Most of them are likely to be employed by the distributor(s) in question, given the level of skills they take with them, he says.
NEC has implemented the distribution model in other parts of the world. Michel De Bievre, director of NEC CI, says NEC continually evaluates international operations with a view to keep rolling this out.
"As with the rest of the IT industry, margins are under pressure," he adds.
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