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Subject: Re: Ed Schroder, you should have learned to dance!

Author: Jay Rinde

Date: 15:46:33 10/30/98

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On October 30, 1998 at 18:18:28, Djordje Vidanovic wrote:

>With all the hullabaloo about the Rebel price rise I think that most of us
>simply did not do some kind of simple arithmetic regarding Rebel's dealers --
>most notably the big ones, such as Gambitsoft (Bert Seifriz).  I was thinking:
>OK, Rebel 10 won the match vs Anand, lots of hype about its playing strength,
>etc., potentially many customers aiming at the state-of-the-art product.
>Accordingly, Bert may have ordered at least 200 copies just to make sure he's
>got them in stock, prudently expecting they'd be in demand.  Now that's about
>40,000 DM or 22,000 US $.  So, now Bert finds himself suddenly short of 10,000
>$. And, bear in mind, Bert has been Rebel's dealer for quite some time.  Even at
>the time Gideon came out (oops, Rebel 1.0)...
>
>Djordje
>
>
If you are correct that the dealers who purchased hundreds of copies will be
stuck with huge loses, then you have a point. I can't believe that, though. No
dealer would continue to do business with Schroder under those conditions. I
assume that the dealers will be given a rebate on all unsold copies at the time
of the reduction in price. Ed made a bad decision. I don't think he made it so
bad as to destroy his dealership. But, who knows?



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