Lately, the E-Groupies have been trying to tie in AOL's situation in 1996 to E-Group. However, your comparisons are false for the following reason...
AOL had bad service in 1996...EGRP has crappy service now...however, with AOL's bad service, it are talking about a minor annoyance...with EGRP, you are talking about people's life savings. With AOL, you were only paying $20 a month for a bad internet connection. For most people I know, $20 a month just means 1 less beer when you go out every weekend. $20 is nothing. People are MORE willing to put up with crappy AOL service because it's only costing them $20 a month. With EGRP, patience is less thin. EGRP's crappy service translates into your financial security. Most people take that more seriously. EGRP's substandard service translates into frustrations at watching your money disappear while EGRP ignores your phone calls. Consequently, EGRP is in a worse position to offer crappy service than AOL. Simply put, it is easier for AOL to get away with it - most people are more willing to overlook it when their financial well being is not on the line.
Therefore, until EGRP fixes its service, it will be always be a turd, and its stock price will reflect that. Why do you think that a couple of month ago in November, when EGRP touched $40 and SCH was at around $45, EGRP has since CRASHED to $19 and SCH is still hanging on at $35? Even among OLBs, EGRP is a second rate company. |
