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Mark, the best products in a commodity market under extreme pricing pressure will result in the low cost provider winning, product performance is secondary in the buying decision. The best sales force can sell products like crazy, but with declining margins, revenues and earnings will suffer regardless. The folks at PAIR have done an incredible job increasing unit sales, but the price declines have been SO dramatic that they've offset all the good. Management absolutely has a major effect on how a company performs, but they are not 100% responsible for everything. Market forces, customer idiosyncracies (read finicky buyer - I deal with Fortune 100 clients everyday, I should know), and customer's customer demands all pay part in how a supplier performs. Yes, PAIR mgmt was a bit short-sighted in relying on the HDSL plugs, but they were forward thinking enough to buy Avidia years back. IMO, Anda will be another homer (not Homer Simpson) even sooner with Pascoe on board. |
