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INTEL Knows Best? A Major Marketing Mistake


Problem Statement

When Thomas Nicely, a mathematician at Lynchburg College in Virginia, first
went public with the fact that Intel's new Pentium chip was defective Intel
admitted to the fact that it had sold millions of defective chips, and had known
about the defective chips for over four months. 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. This attitude of 'father knows best' fostered by Intel created an
uproar among users and owners of the defective chips. Six......



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Title: Intel Knows Best? A Major Marketing Mistake
Approximate Word Count: 1794
Approximate Pages: 8 (250 words per double-spaced page)

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