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Technology Stocks : Forecross Corporation : Y/2000
FRXX 0.000400+100.0%Mar 7 3:00 PM EST

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To: Mark Jurik who wrote (1485)11/2/1998 3:24:00 PM
From: Crandell Addington  Read Replies (2) of 1654
 
Mark: I agree that perception is oftentimes more important that reality, and I have stated so in this forum before. One need look no further than the advertising industry to observe that truism.

I think that your analysis of the relationship between prime contractor and factory solution provider is oversimplified. You're observation that firms tend to deal with contractors with whom they feel psychologically secure has merit. However, it is because of this very same desire for security that the prime contractors cannot bid out their jobs to everyone claiming to have a factory solution. These prime contractors do indeed have a reputation to protect, as well as a desire to protect themselves from any potential claim of liability for subcontracting a job to a factory provider without proper credentials or capabilities. I cannot know, nor can you, how many truly capable factory solution providers there are in the market.

From cursory examination of the financials of various factory service providers that I can identify, I believe that Forecross can offer economies of scale unavailable to those I have examined.

We may yet fail,but it will not be because the major prime contractors found our solution without merit.

Regards,
Crandell Addington
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