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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Mike Buckley who wrote (20209)3/15/2000 2:58:00 PM
From: DownSouth  Read Replies (1) of 54805
 
You certainly have a good point wrt KO and our favorite stocks. I also believe that KO is a victim of:

1) Lack of effective leadership by the CEO creating a crisis on the board of directors.
2) Undue influence by Buffet in an attempt to fill the leadership vacuum. (Buffet is not a marketing genius, imo.)
3) Seriously eroded relationships internationally as a result of the European scare and KO's poor handling of the situation.
4) Erosion of stockholder confidence due to all of the factors above. Institutional investors have moved large shares of money into technology and other sectors. Retail investors have done likewise.
5) Increased pricing pressures from private store-brand soft drinks.
6) Lack of any effective marketing campaign since the crisis began.

So, KO's problems are not like our Gorilla/King stock value problems at all.
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