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SuperMac War Story 4: Repositioning SuperMac – “Market Type” at.

Steve Blank

Was the company attempting to be a low cost provider by introducing cheaper products to an existing market? While we sometimes cut the price of graphics boards, it was only because we offered our customers no compelling reasons to buy one that was priced equivalently to the market share leaders. No, not really.

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Durant Versus Sloan – Part 1

Steve Blank

Sloan put in place GM’s management accounting system (borrowed from DuPont) that for the first time allowed the company to: 1) produce an annual operating forecast that compared each division’s forecast (revenue, costs, capital requirements and return on investment) with the company’s financial goals.

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The Curse of a New Building « Steve Blank

Steve Blank

Lets Fix Everything that Was Broken At SuperMac we were excited to finally get out of the crummy tiltup we had occupied since the company emerged from bankruptcy. Are his costs in control? That’s when things went south. Now with cash in hand, we wanted to fix everything that seemed broken and annoying about our office environment.

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No Business Plan Survives First Contact With A Customer – The 5.2 billion dollar mistake.

Steve Blank

But nine months after the first call was made in 1998, Iridium was in Chapter 11 bankruptcy. When Iridium was first conceived inside Motorola in 1987, worldwide cell phone coverage was sparse, calls were unreliable and per minute costs were expensive. Cell phone handsets were the size of a lunch box and cost thousand of dollars.

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supermac War Story 7: Rabbits Out of the Hat - Product Line Extensions

Steve Blank

Our calculations had us losing money on the two lowest cost boards, breaking even on the third and making great margins on the other six. As customers saw them, they were a new family of products aimed directly at the color desktop publishing market with astonishing performance and a low-cost entry price.

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Piercing the Corporate Veil of Sweat Equity

grasshopperherder.com

But maybe not in all countries and the cost of litigating will probably be more than your tiny share is worth. BTW: putting your staff into a separate corporate entity and then forcing bankruptcy is a time honored way of getting rid of undesirable employees without having to pay their severance packages.). Customer Development (27).

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Why The ‘Fail Fast’ Mantra Needs to Fail

Both Sides of the Table

This means looking at what your buyer pays for similar products now, what the history of other people who have tried to monetize in this way have experienced, what your costs to acquire customers will be and what you believe you can make over the customers’ lifetimes. Validate that you can make money before starting.