EcoTyre Technologies (ETTI) Message Board

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Microcap & Penny Stocks : EcoTyre Technologies (ETTI)

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To: Frank Sabatano who wrote (20)	3/26/1997 12:32:00 PM
From: Doug Leicht	of 82

I worked for a major tire company and understand how the business works. The OEM tire business (i.e. selling to the big auto companies for new vehicles) is a difficult business because of the required testing and development that is needed. However, the replacement market is very profitable. Every major tire producer has a division that makes replacement tires. The margins are higher, the cost lower, and little development and testing is needed. If ETTI is going to be successful two major things need to be addressed. 1. Can they produce a tire that is at least same performance as a replacement tire? 2. Can they offer the tire at a reduced price and with a good tread warranty? If they can do both of these, then they need to get there tire into the major tire stores (i.e. tire america, walmart, western auto ...). They need a very good distribution center. Also, one more thing. The warranty they offer needs to be a realistic one. If 1 millions tires start breaking belts or other manufacturing defects, it could very quickly make them bankrupt. This is all just of course my opinion. I am currently following the stock! Doug

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