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Technology Stocks : Zenith - One and Only -- Ignore unavailable to you. Want to Upgrade?


To: Rich Dondo who wrote (4120)1/20/1998 8:36:00 PM
From: Robert Utne  Respond to of 6570
 
Rick, Let's give the new leadership a chance to demonstrate their abilities. Got to give credit to LGE and LG Semicon for delivering to us two of the best corporate leaders we could every dream for.

Another major concern of mine is the delination of branding and distribution relationships between Zenith and LGE. Currently, there appears no clear branding and distribution strategy nor longer-term vision which effectively draws upon the strengths of the two companies and best beats the competition.

I'd like to see a worldwide branding and distribution strategy where Inteq, Zenith and LGE attack very distinct market sectors and competitors. Inteq to be the-best-of-the best in CE, competing against Runco and similar. Zenith to compete against Proscan, Mitsubishi, Hitachi and other high-quality CE products (where innovation and excellent design are required). LGE to compete against the rest in the higher volume, lower priced markets.

A one, two, three market attack: Inteq introduces new tech to the high-end early entrants (first 3-6 months), then, Zenith comes in at a lower price point (next 3-6 months) and followed by LGE to hit the mass-market purchasers at the best possible prices. Strategy to be adopted on a worldwide basis for all CE products. LGE to be primary manufacturer with Zenith and OEMs in a secondary manufacturing role. Marketing closely coordinated between LGE and Zenith.

Could be some anti-trust problems to this suggested strategy, however, if SEC 'at-arms-distance' regulations are not followed, to a tee. Bout time the lawyers earn their keep...