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Technology Stocks : Disk Drive Sector Discussion Forum
WDC 157.75+1.5%Nov 26 3:59 PM EST
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To: Sam who wrote (5557)2/15/1999 9:43:00 AM
From: UpwardBound  Read Replies (1) of 9256
 
Sam,

Quantum is the sole customer for MKE-built disk drives. In the area of vendors for MKE, it gets down to Japanese culture. Inherently, Japanese society is a closed culture. That is, Japanese people are insiders and everybody else is an outsider. So it's deeply rooted in the hearts of Japanese people to always work with others that are Japanese. They will always favor a Japanese vendor over a foreign one, but Quantum is MKE's only interface with the rest of the world in design, sales and marketing. This arrangement takes advantage of the strengths of both sides: Japanese are masters at mass production, Americans are masters at innovation. It's really quite an amazing relationship to have two cultures, so diametrically different, welded together in this business.

Regards,

--UpwardBound
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