Grudge Match in China

HP and Dell are exporting their rivalry and starting to challenge Lenovo

Used to be, places such as Shanghai's Atlantic Ocean electronics mall didn't offer much variety. Stores stocked computers from a handful of local companies or no-name boxes snapped together by technicians, and foreign brands were tough to find. But these days the foreigners are making inroads, and none more aggressively than Hewlett-Packard Co. (HPQ). Enter the four-story mall and you immediately see a Hewlett-Packard shop festooned with bright red-and-yellow paper Chinese lanterns, one of three outlets the company has on the first floor alone.

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