POX on OBX

Bruce.Hearn at cd-tech.com Bruce.Hearn at cd-tech.com
Mon Jan 26 11:18:12 CST 2004


Wow!  I'm late to the party but thank goodness there's a blow-by-blow.
Haven't visited the forums yet...

I'm am 100% on Mike's and Hotshot's side on this issue. Granted, Hotshot
has not made particularly astute business decisions but they are a victim
of theft.

Anyone who rationalizes the price as a plus for OBX has:

1) a lack of moral fiber if they persist after being informed of this
issue, and
2) never experienced business from the other side of the counter.

Crying about Hotshot's pricing shows complete ignorance of what it takes to
run a business for profit and longevity.  I'm only now becoming involved
with manufacturing and selling but I took accounting courses for grins
several years ago.  What an eye-opener when it comes to invisible costs. If
Hotshot could sell a header for the actual cost of material and
construction, it would probably go for $150.  But, how does John pay for
his building(s)?  How does he meet his payroll? Where does the money come
from to purchase building, business and employee insurance? Where does the
money come from to pay for warranty claims (not open for discussion)?
Where does the money come from for electricity, water and all the other
basic services? Where does seed money come from to start development on the
next SR20 header, or the next generation turbo kit?  Where does the money
come from to pay for the dyno time?  Not to mention sponsorship, like the
SR20 Cup. There are many other costs involved I've not mentioned.  Take a
business accounting course to learn more.

I work for a company that does R&D as its prime income source.  It takes
$20,000 per **DAY** to operate our facility.  That's called overhead.
Every company has overhead.  You have to pay for it from profits on the
products and services you sell.  If you can't, you go out of business or
change business model.  We get mighty pissed when a competitor tries to use
sell our processes as theirs.  It's completely understandable that Mike
(and by inference, John) is apoplectic over the OBX issue.

I own a Hotshot Gen 4.  I have Hotshot license plate frames on my SE-R.
I'll never use an OBX product nor advertise for them in any way.  I will
thank anyone who informs me of other disreputable vendors so I can boycott
them, too. (I learned about $tillen on my own, not that they're
disreputable...)  If you think I'm just kissing butt, I've have you know
I've never used Kazaa or Napster because it outright theft to do so.  I
have no problem paying people for their work, it's the American Way.

Bruce in Houston


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