Down-home computers.

• Author: Waters, Robin
• Position: Computer manufacturing in Winchester, Indiana - Made in Indiana

The small Randolph County town of Winchester may seem like an odd place to manufacture computers, but for X-Bit Inc., the location is ideal.

Winchester's comparatively low cost of doing business helps X-Bit maintain an edge in the computer business. "We stay competitive because we can operate at lower margins than competitors," says John D. Jackson, a founder and vice president of the company that has the capability of producing several thousand computer systems a year.

The firm also has boosted productivity by using a modular workstation manufacturing system, enabling the company to operate with a smaller staff than do competing computer manufacturers. Such savings, Jackson says, allow X-Bit to beef up its computers to make them more competitive in terms of features. "We can offer a higher-quality product at the same price," he says. X-Bit, he claims, shuns the kinds of equipment shortcuts that some competitors follow in order to cut prices.

X-Bit designs and manufactures desktop, tower and laptop computer systems that, like most PCs in the business world, are powered by Intel processors. Standard equipment with each system includes an ergonomically designed keyboard and mouse, and MS-DOS and Windows system software come pre-installed. The company also offers preassembled network and Internet systems.

Why buy X-Bit instead of one of the better-known brands? For one thing, Jackson replies, X-Bit is better able to configure its machines to fit the specialized needs of the customer. Also, X-Bit machines are manufactured in a static-free environment to enhance their reliability, and they...