"The market obviously wants to spend a lot more money on gear these days"
I agree with you're statement. The 64k question is why?
I agree with you're statement. The 64k question is why?
Audio Research discontinuing lower lines components?
Great points jmcgrogan2 - good job expressing economics. I am ready for a revolt! The other issue for a company like ARC is the ceiling they reach when economies of scale have run out. The necessary step to keep growing and making money is to reinvent, innovate, and have a long term growth plan. That takes cash and upfront investment. Don't forget about rising costs Jmcgrogan mentioned because that is reality! So now for a fictitious example, maybe they were spending 31 cents on every dollar they made, At some point to maintain that ratio or improve it, again, you need a plan. You sure as hell cannot survive if it goes the other way. Now I could be wrong about ARC reaching their ceiling but when your brand is is global with a good distribution network there are not a lot of gaps to fill. Time to sell to new owners who have a strat plan and rarely if ever is it business as usual. My favorite audio company Thiel is another example. But they are going the other way, value versus premium. Interesting information from Elberoth.... |
czarivey2,343 posts"They've also become less reliable, less helpful and certainly
less useful when it comes to servicing discontinued units. " I haven't found this to be true at all, either with new units or older ones. Do you have any actual experience that you can cite, or is this just the usual ARC-bashing that's so common here? |