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Strategies & Market Trends : New US Economy Policy

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To: Arthur Tang who wrote (18)3/28/1997 10:44:00 AM
From: Arthur Tang   of 435
 
The new economy and business management.

The coming of computer age changed many things. Productivity has improved and profits start climbing. Is it the final stage of the new economy?

Business management for the new economy has yet another phase to enter. It is many ways to turn over inventory faster and reduce capital requirements, yet produce more profits. The burden of interest rate change and the credit limitations constrain this new economy. It is proposed to market inventory aggressively, not letting inventory sit for more than two weeks. Turn over of capital to sale in some industries already 10 times. 5 times turn over is too slow a pace; many business is still running at great expence to provide space for inventory at high rent. Traditional 2-3 times turn over per year is unthinkable.

Flexible labor structure is ideal for rapid turn over of inventory. Reduced capital requirement is wonderful for both solutions to provide job growth. computer scheduling can accomplish such feats.
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