Cherry Computers' Bouhamdan is suspicious that Z-Tek is deliberately choosing to open new locations in close proximity to A and R Computers, one of South Australia's largest independent retailers.
A and R Computers' Johnson reluctantly agreed. "They are trying to wipe us out," he said. "First they opened up the IT Warehouse business from the old Z-Tek premises in Melrose Park. Now they have opened up across the road from us in Adelaide."
Bouhamdan said he believes Z-Tek plans to open another store in close proximity to a new A and R Computers store in Adelaide's central business district, and its store in Noarlunga.
IT Warehouse's Perkins said he was quite prepared to open up more stores in close proximity to where A and R Computers has existing outlets. "It's a dog-eat-dog world in this industry," he said.
Johnson suspects Z-Tek may also be targeting his business because A and R Computers has been in a long-running dispute with the company over warranty issues.
Johnson claims Z-Tek sold A and R Computers several hundred computer cases that contained faulty power supplies. Z-Tek refused to repair them under warranty, and Johnson has thus withheld any amounts his business owed Z-Tek. He claims the products do not meet the specifications for such power supplies as recommended by Intel or AMD. The power supplies have subsequently failed anywhere from a day to 18 months after purchase.
Regardless of where Z-Tek opens its doors, Johnson hopes the authorities will make the relevant investigations, take action and spare him having his business undermined any further. "If [Z-Tek] are hoping this will make us lose focus, they are wrong," he said.