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Old 05-03-2014, 05:40 PM   #451 (permalink)
aerohead
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business model

The Senior Corps of Retired Executives at the Federal Bldg. in Dallas shared some things with me when contemplating manufacturing/sales:
*Strong patent/copyright protection to protect venture capitalists.
*Strong cash position to handle infringement,@ $ 250,000 per lawsuit
*Three-years working capital
*Sell at a loss at market entry
*Learn manufacturing efficiency as you progress
*Break even at 3-years
*Any profit accruing after the initial 36-months
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In the 1990s,Volkswagen AG was operating at an average $46 per vehicle profit,but on global sales of millions of units spread between VW,Porsche,Audi,SEAT.
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Elio will,in addition to everything else,be creating a market which doesn't presently exist.
This is not for the weak of heart.

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