Archived posting to the Leica Users Group, 1998/07/09

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Subject: Re: [Leica] Is Big Brother Listening?
From: Dominique PELLISSIER <pelliss@droit-eco.univ-nancy2.fr>
Date: Thu, 09 Jul 1998 14:42:32 +0200

>From: LEICAMAN56@aol.com
>Date: Wed, 8 Jul 1998 23:33:30 EDT
>Subject: Re: [Leica] Is Big Brother Listening?

>Some bad news from Solms.  S=F6nke Peters, M Product Manager and maintai=
ner of
>the Solms website, has left the company effective June 30th.  He was a g=
ood
>friend and a strong supporter of the LUG and the LHSA.  He will be sorel=
y
>missed.
>
>More bad news from Solms:  Klaus Dieter Hoffman, CEO of Leica Camera, ha=
s
been
>sacked.  Apparently as a result of poor stock performance in the last tw=
o
>quarters.  It seems that someone needed to take the blame.  Rather unfai=
r,
>since most of Leica's stock woes can be directly traced to poor sales in=
 the
>Pacific Rim. =20


Comment :I was told that the main reason is the S1 which is a primary
strategic mistake justifying the sack of the CEO. No sales  whereas costs
of production have inflated dangerously.Why ? The S1 is an equipment good
for museums, research centers, etc ; not for individuals. Now, since Leic=
a
is independent from the swiss holding, the target given to the former by
the latter was the market of consumer goods.Instead of the S1, Leica woul=
d
have to produce the...marvelous Fuji MX-700, the digital camera Oskar
Barnack would like to imagine.
Another reason :poor sales in Germany and in France (the salesmanager of
Leica France has been sacked) because of a lack of marketing management.I=
n
conclusion,i recommend to the Staff a careful reading of Kotler's book on
the subject.

Dominique Pellissier