You can lead a horse to water...
jim
----- Original Message -----
From: "Charles Chia Sheng Wu" <cwu@cwlab.net>
To: <karlnet@WISPNotes.com>
Sent: Wednesday, December 18, 2002 6:12 PM
Subject: RE: [Karlnet] RG-1100 END OF LIFE!
> >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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