Originally posted by Fototim As far as I know, every brand has problems being profitable.
To many options cannibalizing each other could be part of the reason for some brands. I'm not saying it is the reason, but I don't think we can rule it out as a possibility.
I think you could be right. In a new economy where constant access to more and more credit is not going to be possible, I'm not sure the smartest strategy is to offer so many variations. Perhaps Pentax is getting it right this time by offering 3 bodies.
Having so many different bodies is probably very difficult for inventory control. In this respect it's very similar to what American car manufacturers are going through. How many variations on an SUV did they offer?
I could be wrong, but I think it's highly unlikely, at least for America, that you will see people spending so freely (on credit) anytime soon.
My personal opinion is that Pentax is never going to be Cannon or Nikon. They will always be a niche player. Those companies can really thrive if they are run right, especially in the economy we are in. The K7 is down to $1150. If it bottoms at $1100 I don't see a Cannon or Nikon product as good in that price range. Going forward, a price diffence of a few hundred $'s will seem like a lot to American consumers. Again, that's only from an American perspective.
The country cannot continue to run a negative savings rate and borrow our prosperity from China and Russia.
No offense to the Chinese or Russians. I'm not a right winger.