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Technology Stocks : NEXTEL
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To: jimmyo who wrote (8095)10/27/1998 7:28:00 PM
From: HVN  Read Replies (1) of 10227
 
One big reason the 4th quarter tends to slow down with the wireless operators is coz. they tend to 'invest' in a big way in customer acquisition. With a customer acquired in the 4th quarter, they tend to have <1 quarter to recoup that investment - which isn't easy - the hit to the books can be significant. So, instead of investing in acquiring customers in the 4th quarter, carriers tend to wait to do a big first quarter. (It took the carriers a few years to figure this one out - but they started realizing this in 1994.) naturally, that's bad business, but as long as we compensate the officers the way we do, they'll continue in this manner.
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