Old-Biscuit wrote:
Those 2 examples just go to show that they are not run the WAY you would do it.
BUT that doesn't mean they aren't profitable........you do not have access to their books.
I don't like the way CW does business so I don't shop there but they are still in business
Please take the time to read my last post to RVparkowner on this subject. And the follow-up about Peavey Electronics.
And you are right, they MAY be profitable, but that does not mean they are AS Profitable as they COULD be. And frankly I don't really need access to their books. After so many years in business I have a pretty good idea what things cost businesses and to estimate income, apply some well known formulas for profitability and come to a pretty close conclusion in many instances. What I don't know is their debt load and or debt servicing needs without actually consulting with them. But even with those taken out of the equation (and those are both negatives in this instance) it is easy to get close with some well educated guesses.
And as I asked above: Do you really believe that what I describe are actually GOOD business practice? If you did I'd be shocked.