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Technology Stocks : The *NEW* Frank Coluccio Technology Forum -- Ignore unavailable to you. Want to Upgrade?

To: Frank A. Coluccio who wrote (13370)	2/4/2006 1:14:04 AM
From: Peter Ecclesine	Respond to of 46821

Hi Frank, >>During the same period that elapsed since they were chanting the empowerment thing, Cisco quietly shifted its sales focus, in order to be more inclusive (always hedging their way, they are ... ), to the large common carrier side of the universe, as well. Where unit profits for CRS-1 and CMTS gear seem to be producing better margins with less toil than Linksys sales. I may be off on my margin analysis, but not in identifying the whys and wherefores of its new market direction.<< Contribution Margin of products is not pubic information, but I think the overall CM is reported. Sales people are compensated for their time and results, and they get to solve that in terms that are weighted by Contribution Margin. $100 of Linksys equipment might have the same compensation as $20 of CMTS gear. It varies by product. The time it takes to sell something is well considered in the field. petere