Stan Shih, founder of No. 2 PC vendor Acer, is predicting that Dell and Hewlett-Packard will be run out of the PC market by lower-priced Asian competitors within 20 years. But analysts expect the competition will instead inspire brands such as Dell to offer products with superior design and functionality. "The PC sector needs to change and stop selling on price sensitivity, especially in China where consumers are spending a significant portion of their savings on a PC. For them, they want the best," says Jessica Lo, managing director at China Market Research Group.

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