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RE: [Karlnet] RG-1100 END OF LIFE!

To: <karlnet@wispnotes.com>
Subject: RE: [Karlnet] RG-1100 END OF LIFE!
From: "Charles Chia Sheng Wu" <cwu@cwlab.net>
Reply-to: karlnet@WISPNotes.com
Date: Wed, 18 Dec 2002 17:12:57 -0600
List-post: <mailto:karlnet@WISPNotes.com>
>No, in my opinion, which comes from 30 years of being in business, not one
>supplier on this or any other related list, has a clue of how to make it
big
>and control a market.

>Let me relate a story which I have experienced:

>Several years ago I knew a man who started buying plastic beads and doll
>heads in Asia to resell to distributors and retailers in the US.

yes...but how much support does a plastic bead and doll head require?

did your friend have people calling him everyday, 24x7x365, asking him how
to put beads on dolls, or how to assemble his doll heads, or why doesn't his
doll head do this? or that?

>The man's philosophy of pricing his product was simple: "make a LITTLE BIT
>on everything you sell, then SELL THE HELL out of it"

yes...but COGS consists of a lot more than just the cost of the product and
shipping, what about support, R&D, etc...

>3 years later, this man was the largest importer in the entire Great Lakes
>Area (yes, including Chicago...).

good for him

>The man wasn't trying to make 25-50-75% over his total cost on an item. He
>worked on a 4-8% net margin.

lemme tell you, I am no where close to 25% gross margins

but you're friend didn't have any support costs...

Jim, think about it, several months ago, you decided to convert your network
from a bridged network to a routed network, do you remember who wrote out
your ENTIRE CONFIG

and what did I charge you??? $0?

what would you have paid to hire someone w/ a CCIE

-Charles


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