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Re: No future for DB2

From: Larry <larry_at_nospam.net>
Date: Mon, 08 Aug 2005 21:25:08 -0400
Message-ID: <SBTJe.19388$_R1.16432@fe11.lga>


I didn't say anything about the economic climate of any industry at all. They are actually very good examples.

The point (as you seem to have completely missed it) is that when you purchase a product, you most often don't care that your buying from #1 or #2 or #3 in the industry. And being #1 or #2 or #3 is usually good enough to maintain survival.

When you make travel plans, you don't ask which carrier leads in market share and you don't care whether you are flying with #3 as opposed to #1. As long as there is a good safety record, it is low in cost, and it gets you there. If you rent a car, you don't care whether you are renting with the market leader. In fact, Avis has been "#2" for many years and has survived just fine. And I'd be willing to bet that outside of business use, you wouldn't rent with Hertz or Avis anyway ... you'd end up with a lower cost company like Alamo ... as long as the price is right. What position in the rental market do you think Alamo is? When was the last time you found out who the market share leader was before buying a coffeemaker?

Larry E.

Joel Garry wrote:
> Larry wrote:
>

>>I duuno ... don't see any signs that IBM is losing significant market
>>share. Look at other examples in various industries ... for many
>>products, there are usually at least 2 or 3 or 4 main survivors who end
>>up there for the long-term. You don't even have to be the market share
>>leader ... just have a significant presence. Hertz/Avis,
>>American/United/Delta, Krups/Braun/Cuisinart, pick your example.

>
>
> Man, you know how to pick some bad examples. Hertz/Avis bought by auto
> manufacturers to dump unwanted cars, declining market share due to
> Enterprise et al,
> http://www.findarticles.com/p/articles/mi_km3609/is_200301/ai_n8624267
> in as bad shape as airlines. American/United/Delta - do you not read
> the papers? "These days no one can make money on the goddamn airline
> business. The economics represent sheer hell." - C. R. Smith,
> President of American Airlines. "A recession is when you have to
> tighten your belt; depression is when you have no belt to tighten. When
> you've lost your trousers - you're in the airline business." - Sir
> Adam Thomson "This is a nasty, rotten business." - Robert L.
> Crandall, CEO & President of American Airlines. "Today, the situation
> is exacerbated with costs exceeding revenues at four times the
> pre-September 11 rate. Today, we are literally hemorrhaging money.
> Clearly this bleeding has to be stopped - and soon - or United will
> perish sometime next year." - James Goodwin, chairman and CEO of
> United's parent company UAL. The unions of the (at the time) employee
> owned company forced his replacement. 17 October, 2001 "I didn't take
> this job to preside over a bankruptcy. I refuse to accept that United
> Airlines is collateral damage from Sept. 11." - Jack Creighton, new
> chairman and CEO of UAL Corporation, 28 October 2001. UAL entered
> bankruptcy on 9 December 2002. "You fucking academic eggheads! You
> don't know shit. You can't deregulate this industry. You're going to
> wreck it. You don't know a goddamn thing!" - Robert L. Crandall, CEO
> American Airlines, addressing a Senate lawyer prior to airline
> deregulation, 1977. "Deregulation will be the greatest thing to happen
> to the airlines since the jet engine." - Richard Ferris, CEO United
> Airlines, 1976. "If we went into the funeral business, people would
> stop dying." - Martin R. Shugrue, Vice-chairman Pan Am. "I can't
> imagine a set of circumstances that would produce Chapter 11 for
> Eastern." - Frank Lorenzo "As a businessman, Frank Lorenzo gives
> capitalism a bad name." - William F. Buckley "If you would look up
> bad labor relations in the dictionary, you would have an American
> Airlines logo beside it." - U.S. District Judge Joe Kendall, issuing
> a restraining order against an American Airlines APA pilot union sick
> out, 10 Feb 1999. http://msnbc.msn.com/id/8703311/ Delta about to
> croak... Don't know anything about the Germans besides
> http://www.gutenberg.org/dirs/1/1/6/6/11662/11662-h/11662-h.htm#17 and
> Braun makes a lot of money with shaver cleaning device refills.
>
> jg
> --
> @home.com is bogus.
> http://www.damtp.cam.ac.uk/user/jono/negative-information.html
>
Received on Mon Aug 08 2005 - 20:25:08 CDT

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