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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Aloha who wrote (13347)	2/12/2000 1:56:00 PM
From: Sigmund	Read Replies (1) \| Respond to of 14266

<<< More gaming co.'s are copying.. THQ's business model of focusing on proven games/titles/licenses etc.<<< That's not good news. It was easier for THQI when they were doing something different from the others. Sounds like more competition and reduced margins to me. For most industries it is possible to create a matrix with strategy elements down one side and stage of development on the other axis. As the sector matures, the nature of strategies changes as well. You can create a similar matrix for companies within the sector. As they grow they also move to the right (its always the right) within the matrix and adopt the strategies appropriate for their size and stage of development. As you get into this you realize that all of the companies within the sector are not doing the same thing. If could be just different approaches but usually it turns out that what you have is not one homogeneous sector but reasonably well defined subsectors. In the good old days the theory was that only one company could survive long term in any sector. That has been debunked a bit but GE wants to be 1st or 2nd in each sector or they get out. In reality electronic games is not one homogenous sector but does have subsectors. Understanding these and how they are changing and how the overall sector may be merging with other sectors etc. etc. provides some insight into what THQI needs to do and how successful they might be. I am sure that the strategy folks at THQI are doing this type of analysis either formally or informally.