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Article #2701

Re: goodbye Heathkits

#2701
From: Bob Furtaw
Date: Fri, 10 Apr 1992 15:45
27 lines
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In article <1992Apr09.163939.16559@microsoft.com>, gordonl@microsoft.com (Gordon Letwin) writes:
> 
The computer industry probably doesn't want to hear this but it was their 
industry, in a roundabout way, that caused the demise of Heath. 
> 
When "Z" bought them in '78? they were interested in the computer side 
of the business ONLY.  They let the kit business go.  The core set of 
people at the company either left or were required to focus on computer,
high volume, built products; the Air Force contract convinced them this 
could be a winner.  Anyway, they effectively either lost the "KIT formular" or
couldn't reach the critical mass to keep the kit business going.

The KIT formular is an instinct on how to produce kits, and there were only a 
handfull of people (at Heath) who "Knew How".  The manual, component mixes,
self testing, were only a part of the formular.  What product to market, and
how to market them was another point.

Complexity of product was NOT the reason.  Errosion of the labor to direct
material base contributed, but this could have beem offset by marketing
distinctively unique products, as was always their Hallmark.

It would take an extraordinary effort to rebuild this business.  And, who would 
want to anyway...it is a limited market...only a few hundred Million. 

Bob Furtaw

These are my own opinions and not necessary that of my employer's.
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References: <702078241.1139.0@elara.esl.acs.cmu.edu> <1992Apr1.204616.25739@src.honeywell.com> <754@amtfocus.amt.gss.mot.com> <1992Apr09.163939.16559@microsoft.com>

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Path: arc1-ca.pugleaf.net!sparky!uunet!ftpbox!mothost!lmpsbbs!furtaw@comm.mot.com
From: furtaw@comm.mot.com (Bob Furtaw)
Subject: Re: goodbye Heathkits
Organization: Motorola
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Date: Fri, 10 Apr 1992 15:45:27 GMT
Message-ID: <1992Apr10.154527.6276@lmpsbbs.mot.com>
References: <702078241.1139.0@elara.esl.acs.cmu.edu> <1992Apr1.204616.25739@src.honeywell.com> <754@amtfocus.amt.gss.mot.com> <1992Apr09.163939.16559@microsoft.com>
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