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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?


To: Maurice Winn who wrote (4872)5/24/1999 8:49:00 AM
From: JGoren  Read Replies (2) | Respond to of 29987
 
The manufacturers are reluctant to ramp up production on G* phones too early because it hurts their proft. Those who frequent the Qcom board will understand this, because it's been discussed by Qcom management in other contexts. Half the trick of making money manufacturing phones is to build up skill in making each phone efficiently and to use the production lines to make the most profitable phones. Ceasing production of your most profitable handsets to satify G* can cut into your profit. You want to build G* models in quantity and for immediate shipment (and payment) in order to build up that efficiency of production to keep your margins high.