Art:
40,000, huh, for Lexar. There comes a time when it costs more to be the "biggest". I prefer "quality" over "quantity", don't you?
RE:"The fact that Lexar has weaker retail distribution than SanDisk justifies its alliance with Kodak, which has a much larger distribution system. However, with Kodak using its distribution muscle and taking a cut of the action, it's going to affect profit margins for Lexar."
First, I wouldn't call 20,000 storefronts "weak" and I doubt anyone else would. In the US, I'd expect to see Lexar in large retailers. Yes, margins might fall. We don't know for sure. The quest is, how much can this alliance increase the bottom line. That's all that matters. |
