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Strategies & Market Trends : The Stock Market Bubble -- Ignore unavailable to you. Want to Upgrade?


To: Kip518 who wrote (867)7/29/1998 7:02:00 AM
From: Cage Rattler  Read Replies (2) | Respond to of 3339
 
Kip518:

Microsoft's loss of personnel may seem reasonable under the scenario sited; however, there may be a few questionable assumptions. First and foremost is that equity-market conditions remain constant.

Ponder the facts that MS caries zero debt, holds billions in cash reserves (enough to meet payroll for over a year as I understand), plus currently employs some of the sharpest business minds on the planet.

When the market "corrects," and it will, which corporations will survive? Where will the the brightest minds that work for failing corporations seek employment? I think it might be Microsoft.

Ciao, Ted



To: Kip518 who wrote (867)7/29/1998 9:55:00 AM
From: Les H  Respond to of 3339
 
That should help the leading companies like MSFT and CSCO since the
secondary companies have more volatility in the stock market and vulnerability in the business. Once a secondary company makes a misstep, it's difficult to catch up to the leaders since they lose resources (stock price, cash flow, and personnel) either to keep their products at a competitive advantage or to defend their market share.

re: Monica effect or Capitol shooting effect

All it takes is one sell program to drive down prices 50 to 100 points when there is an absence of buyers.