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Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: Gopher Broke who wrote (60937)	10/29/2001 4:41:26 PM
From: hmaly	Respond to of 275872

Gopher Re..Perhaps I wasn't clear. By maximising profits I mean controlling production so as to maximise sales_volume*selling_price. Having a good product and advertising it well is what defines the demand and the production volumes are adjusted to meet that demand while maintaining a price that maximises profits. <<<<<<<<<< Very well put. However, in AMD's case, AMD also needs to have a minimum percentage share of what Intel has to affordably spread out engineering, and other fixed costs. That is why AMD is pushing for that minimum. Once AMD gets to the necessary minimum, AMD could easily follow your formula; just as most corp do now.