THE INITIAL STRATEGY WAS TO STAY ABOVE THE fray. As American firms like Compaq , and IBM brought low-cost personal computers to its shores, NEC, Japan's foremost personal computer manufacturer, controlling about 50% of the domestic market, loftily insisted that quality should take precedence over cost. But the price pressure got to the company. NEC has announced a new low-priced line, including one model for $1,740, about half the price of an earlier comparable machine.
Aggressive American manufacturers, who currently have about 15% of the Japanese PC market, quickly countered NEC's move with more slugging. IBM, together with the Japanese office-equipment...
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