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samboct -> RE: Record U.S. Poverty Rates. (9/13/2010 3:47:29 PM)
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DomYngBlk I can give you a few examples from the aviation industry- it's one I know well. Prior to WWII, Boeing developed what would become the B-17 after NOT being awarded the major contract (which went to the B-18- a turkey of an airplane.) because the management of the company was convinced that when war broke out, the airplane was going to be desperately needed. Boeing was eventually rewarded with a contract for a few airplanes (around a dozen)- at a LOSS- which they still took. Actually, I think even the first hundred or so airplanes were cut to the bone, and Boeing wasn't making any money. This was compared to Curtiss who was selling lousy fighter planes and making a good buck. Arguably a gamble for Boeing, and one which eventually paid off, but the smart move was what GE did- don't set up manufacturing of turbo superchargers- a critical war component, till war actually broke out and there were firm contracts in hand. Of course, this meant that our "front line" aircraft such as P-40s, P-38, and P-39s were without these critical components and our pilots were shot out of the skies- but hey- GE has to make a buck- right? But the best example I can come up with is DeHavilland. Back in the 50s, DeHavilland developed the first jetliner, the Comet. Beautiful airplane, faster than anything else and in demand- until they unexpectedly began raining down pieces out of the skies. Turns out that we didn't understand metal fatigue well and the pressurization/depressurization of the cabin weakened the fuselage near the windows and it cracked. DeHavilland published its research! The company said that it was too important to keep this information for competitive advantage. A few years later, Boeing took a tanker design for the airforce and turned it into a larger and more economical airliner known as the 707- and DeHavilland was history. Needless to say, Boeings airplanes incorporated fixes based on DeHavilland's findings. So how's that for an example of a large corporation doing the right thing- and going bankrupt because of it? But you're right- those types of examples are hard to come by.... Sam
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