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Strategies & Market Trends : Gorilla and King Portfolio candidates - Moderated -- Ignore unavailable to you. Want to Upgrade?

To: Eric L who wrote (1883)	4/19/2006 7:26:01 PM
From: Thomas Mercer-Hursh	Respond to of 2955

I also believe in gorillas and the gorilla GAP/CAP. Gorillas unfortunately are like unicorns and leatherback sea turtles and they are becoming rarer and rarer. Proof of the gorillas' existence is the numerous gorilla traps that litter the landscape like minefields and which have been set by very powerful tech industry participants and market leaders including some of the silverbacks. Moreover, perhaps one of the lessons is that a pure and absolute gorilla is just like a pure and absolute anything else ... i.e., an ideal that is rarely, if ever, achieved in totality. So, the exercise is not just butterfly hunting for the magic butterfly, but examining each prospect according to how well it matches the criteria. If it is close in many ways and not so close in some others, then one needs to balance one against the other and decide where one thinks it will go. If one commits, then the not so close areas are ones on which one should keep a close eye because that is where the company might be vulnerable. Apply the criteria to Qualcomm and it is clear that it is very close in many areas and its history while we have been watching it is a result of that market position. Doesn't matter if we call it a Gorilla of A or a Chimp of B because ... guess what, they are both true and not true because nothing is perfect. What matters is how well they fulfill the criteria.