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Technology Stocks : VALENCE TECHNOLOGY (VLNC)

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To: Zeev Hed who wrote (11462)5/26/1999 6:51:00 PM
From: William Epstein  Read Replies (1) of 27311
 
Zeev Hed;

I agree with you there. Some of the calculations on this BB are a scream. There are very, very few manufacturers who achieve anything near that kind of return. I have seen, in rare instances some manufacturers achieve 30% return on equity in a great year but not as a net profit. Even the drug companies don't do that well and we all know that their margins for successful drugs are outrageous, even with R&D thrown in.

Zeev, by the way, I mentioned in another post that you cannot manufacture in the far east without a local trading partner. All countries in the far east require that a native company participate in a joint venture. You can't just export to say Japan or China or Korea. They want part of the profits, the taxes and the technology. Since they control their markets, completely foreign companies have no choice. Hanil is a separate company, for real. The only direct exports they will allow are raw materials or food.
PHOTOMAN
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