SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : Any info about Iomega (IOM)?

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Gary Wisdom who wrote (48887)2/26/1998 3:00:00 AM
From: Reseller  Read Replies (1) of 58324
 
>>I think not. Thus, at least in the short term, is the problem with this business model.<<

This has always troubled me as well, I want to see product stacked high and selling cheep.
Having said that there is a natural progression of adaptors of this type of technology.
As acceptability increases and production starts to overcome supply than pricing decreases should ensue.

At this point I'm confused about the best approach to maximize the return.

My killer instinct tells me that Intel has the right model, prices should come down as fast and hard as they can not giving competition a chance to grow.

My greedy instinct tells me that if competition isn't perceived as a threat than why throw away profit that could be invested in advertising, R+D, etc ?

As a business man this issue has often presented the challenge, if I reduce my price by so many dollars am I going to make more by selling more? Or am I going to make less and how many more do I have to sell to make up for the loss margin providing that I could sell that many more ?

I think K.E. has given us the indication that he was out to make as much as he could by stating that he would be the exception and make money in this business.
When he stated this policy I thought of the hard drive companies and
how they always seem to cannibalize themselves.


For the moment I'm tempering my Killer instinct with my Greedy instinct in favor of the company. Due to the formidable job the company has done I am compelled to give credit where credit is due.

FWIW only my humble views
Regards
Reseller

ps, glad your back, I might ad that you should go ahead and
order one of each heck it can't hurt any worse that what you've
already been thru with this stock. The products are Great.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext