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From: dave@onfcanim.UUCP
Newsgroups: comp.sys.mac
Subject: Re: More Mac prices
Message-ID: <15456@onfcanim.UUCP>
Date: Thu, 5-Nov-87 15:45:58 EST
Article-I.D.: onfcanim.15456
Posted: Thu Nov  5 15:45:58 1987
Date-Received: Sat, 7-Nov-87 15:56:40 EST
References: <460@aucs.UUCP> <57900011@sfu_cmpt>
Reply-To: dave@onfcanim.UUCP (Dave Martindale)
Organization: National Film Board / Office national du film, Montreal
Lines: 17

There is an interview with John Sculley in the current issue of "Inc."
which says something about this topic.  (The context of the discussion
is that Sculley is discussing how he tried to recover from the
recession in the personal computer market in 1985).  He says:

	"Early on, I thought we should go for maximum growth to
	reach as large a critical mass as we could, and worry
	about profit margins after we established our dominant
	position in the personal-computer industry.  But what I
	soon realized was that the business market was a better
	one for us than the home market, because in a business
	market we had a chance of getting the high gross margins
	that would pay for R&D.  That business market was
	considered very, very high-risk waters for Apple, because
	up to that point we had not done it successfully.  But on
	the other hand, it was an even higher risk to keep going
	after the consumer market."