"not run very well"

and

"Not run at all" are two different things. 
He's going to be selling these computers to people who don't
currently own a computer. They probably don't have any 
bearing for how fast or slow Windows is so a slow 
Linux probably won't make a difference to them.
Most likely these people have never used Windows
so there won't really be a Windows->Linux learning
curve. So at least with Suse they might be able to get
help from someone or the net, but with Damn Small Linux when they
ask for help they're just going to get strange looks.
Hmm... well they'll probably get strange looks either
way, but ...

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