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Technology Stocks : Intel Corporation (INTC)
INTC 35.53-1.1%Nov 14 9:30 AM EST
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To: Joey Smith who wrote (44672)1/10/1998 1:50:00 PM
From: Yousef  Read Replies (1) of 186894
 
Joey,

Re: "What we will see in the next 6 months is basically a shakedown: survival
of the fittest with the weak firms either going out of business ..."

We have been having some discussions on efficiency and productivity over
on the CYRX/NSM thread. Here is an example:

exchange2000.com

"BigBucks,

Re: "When a corporation becomes to big to support itself due to high
overhead costs then it has lost its efficiency and the shareholders
suffer as their investment dwindles away over time."

I also agree with this statement ... let's look at one particularly good
metric for measuring productivity and efficiency of a company. The
metric is revenue/employee/year. In fact, NSM has a slide/graph on their
website with this metric:

national.com

Here's how the current CPU manufacturers stack up on this metric:

Intel ............ $410,000/employee/year
AMD ........... $175,000/employee/year
NSM/CRYX . $200,000/employee/year (high estimate for '98)

As even you can see, BigBucks, Intel is the most efficient and productive
of these three companies. Why is it that you think that Intel has tremendous
overhead?? Yes, Intel does have more employees ... but they also have
much higher revenue."

What are your thoughts??

Make It So,
Yousef
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