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Non-Tech : The Children's Beverage Group (TCBG) -- Ignore unavailable to you. Want to Upgrade?

To: dlc who wrote (2248)	1/6/1999 1:43:00 AM
From: Dave Shoe	Read Replies (1) \| Respond to of 2452

>>>what chance does TCBG have if their product >>>is more popular than Capri Sun? The plastic pouch beverage container market has major barriers to entry. Getting around the patents makes it next to impossible for another company to enter. And remember, it's the juice manufacturer that would carry the brunt of the price hit, not the packager. Unlike pizza manufacturing, which has no barriers to entry, TCBG's product has potential interest to many companies which rival, and perhaps exceed, the size of Kraft. And, if Kraft tries a one-two knockout, what do you want to bet it will end up in the same coutroom with the same judge that preceeded over the last Kraft-TCBG skirmish. TCBG has a lot going for it here. A potential price battle would be ugly, but the likes of WalMart and Winn Dixie might just see what is happening and toss support TCBGs way to 'hold' prices in a better position. The big chains can afford to look beyond the immediate price war and back the party that will hold prices in check for the distance. Shoe.

To: dlc who wrote (2248)	1/6/1999 8:20:00 AM
From: Goinlong	Read Replies (1) \| Respond to of 2452

Everybody, Please do not get me wrong, I am long in TCBG and I love the concept. I just do not want anyone to think that it gets easier now and that the company will make money hand over fist, et. DLC...I would have to say yes what they do is illegal but remember they have the tobacco company lawyers to represent them. Kraft is also divided into several companies, each being their own entity. I am betting once Uncle Sam leaves MSFT alone that they will also start spinning off divisions. It is a great way to make an instant profit (IPO) as well as claim that you are indeed several companies. For those of you that PM'D me declaring me to be a short, what the hell am I gonna short? I have shorted tech stocks but to short a penny stock by going through Canada is far more a pain than it is worth. GO TCBG!!!!!!!!

To: dlc who wrote (2248)	1/7/1999 1:03:00 PM
From: RJC2006	Read Replies (1) \| Respond to of 2452

Retailers of course love hot products. What they don't care for is a hot product at the expense of other products on their shelves. If TCBG sales go up and Kraft sales go down then a retailer really hasn't gained that much. On the other hand if Kraft sales are steady and TCBG sales incline then they have a real winner. Rather than look at unit sales of TCBG it would be wise to see if Kraft sales are affected. This could be difficult to do unless there is a way of determining the overall quantity sales of the the Capri product Retailers could care less which product is bought. It's total volume across the entire product line that is their bottom line. Yes, for TCBG's folks carving out a niche at your competitor's expense is the way to go but for retailers it is a zero sum gain. What does this have to do with anything? It affects presentation and shelf space at the point of sale.