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To: Fred Fahmy who wrote (67124)	10/21/1998 10:48:00 AM
From: Jim McMannis	Respond to of 186894

Trigem has sold Winchip based PCs through Costco. Jim

To: Fred Fahmy who wrote (67124)	10/22/1998 3:39:00 AM
From: stak	Read Replies (2) \| Respond to of 186894

Fred, >>Anyone can "build marketing share" if they are willing to sell products at a loss.<< If "anyone" can do it then you must have some examples ready to list. How about 2 or 3 for reference? Name 2 or 3 that have gone up against a company that had 85% market share and won significant market share. >> This strategy can be used temporarily to enter into markets and gain share if you have very very deep pockets. << No, Fred this is far from the truth. It takes more than deep pockets, the product has to be "right" first. Coke intro'd New Coke in 1985. They had massive ad campaigns for months touting the new improved flavor. Coke gave away the product for free for anyone who wanted to clip out the numerous coupons. There were also many tie-ins with other companies like MacDonald's to get the product off to a successful launch. Coke had and still has very deep pockets. -- The product failed to win market share simply on the basis of what the beverage industry is based on. Beating the other guy's taste. --- Coke just didn't taste good enough to convince Mr. and Mrs. America to buy. Result: Coke backed off and came up with the brilliant Classic Coke campaign! webhangers.com Chrysler Corp. intro'd the MagicWagon for the '84 model year. It is one of the all time grand slam homeruns of all time for product introductions. Ford and GM had years to imitate and steal the Chryco design, but they still haven't been successful. They had much greater profits and money in the bank, so they could have easily underpriced the Magicwagons. Chrysler was very close to going under for many years and was very vulnerable to price. --Both Ford and GM were unable to put Chrysler out of business because the Magicwagons were superior, no other reason.(Chryco had no other big hits until the Grand Cherokee and LH cars came out in 91-92) The minivan has gone on to change the way America lives and one has to wonder why no one thought of it before. Microsoft: Here's one for the hi tech industry. Microsoft brought out a product named BOB several years ago. Microsoft could've bundled it in with all the other software that they offer, but they realized early on that the product was an abject failure. They could've given BOB for free(selling products at a loss) till the cows came home. And of course Microsoft has very deep pockets and a willingness to go to bat 3 times with a product to get it right. --BOB bombed because it wasn't good enough. BTW I think Mrs. Gates made a great effort on the project, she was just waaay too far ahead of her time. AMD's stealing of market share from Intel is truly a remarkable feat. A new product can take market share from a monopoly if it is revolutionary such as the car taking over from the carriage or the BIC taking over from paper matches. There's not many times a competitor can go head to head with a behemoth and steal market share without some kind of advantage based not on price. stak