Archived posting to the Leica Users Group, 1999/05/03

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Subject: [Leica] corporate strategy and info
From: imxputs <imxputs@knoware.nl>
Date: Mon, 3 May 99 10:22:10 +0200

Alan wrote in part
>It is the responsibility of the Leica management to interact with this user
>          group and other user groups, one way or another, to make sure their
>stra
>          tegy is well documented. I would be surprised if there was a larger
 >more
>          interactively prolific Leica user group than the LUG anywhere.
>
>          It is a shame the Leica corporation does not seem to evaluate the
>          consequences on their image that derives from what is communicated 
in >this
>          on-line community. In the Internet age, any new prospective buyer 
is >going
>          to consult the web and the news groups to find out more about a 
line >of
>          product such as photography equipment. Leica's silence is not 
helping >them.
>          Leica is not the Kremlin of the Seventies: it needs to interact.
>
>          Asking luggers to be more modest and stop discussing Leica's
>corporate
>          policy is asking to have blind faith. Some luggers do have that
>faith, but
>          most of us are reasonable people who demand reasonable data and
>          information. Till the Leica company realises that, we are going to
>have to
>          rely on the exchange of information that is taking place here.

Alan, as usual a well reasoned reply. And I agree in part. I did not ask for 
blind faith nor to stop discussing Leica's policy. I did propose to stop 
discussing the company's future and strategy without having at least a clue of 
a) the organizational structure and economic realities of modern industrial 
companies with small scale production and shareholder responsability and 
b)some solid background knowledge (however acquired)about the economic 
realities of the photographic industry at large and c) some knowledge about 
the realities of small scale mechanical-optical production technology and its 
limits and strengths.

Without this body of information any discussion of the company's product line. 
future direction and strategic decisions to be made or the evalution of the 
decisions that have been made or are in the making is at best a wild guess and 
at worst misinformation that will deter prospective buyers of Leica equipment 
to invest in the product line.

I do respect any critical comment on this list, but we must realize (as you 
said )  that users will try to find info on lists like this and then we have 
as users of this list the responsability to be fair in our judgment and 
credibable in our facts. Now as example: the repeated discussion about the R8 
being dead (onlyx are produced), the R8 not being reliable etc are not true. 
The fact is the R8 is selling in much higher figures than anyone on this list 
would guess and yes there were some problems with he R8 at introduction. These 
problems have been straigtened out and now the R8 is a very competent, 
reasonably well selling (in Leica terms), excellent built camera.  Well that 
is not the impression the Lug discussion will give to a newcomer. The M6 
problems have been magnified far out of proportion and again that is not the 
truth of this product. The M6 is a very well built camera with very high 
precision mechanics, an excellent reliability and supported by a company that 
will replace any (small) defects that may arise out of the fact that any hand 
assembled product will et its statistical share of defects.
The company has a strategy for developing new products far beyond the wildest 
dreams of the Lug and it will not help any prospecive buyer to read here on 
the list any number of guestimates about the company's future direction (or 
what it should be). 
I am not aware that the choice of  any consumer product on which the user will 
rely for many years to come needs to be made with a sound info about the 
future strategy of this comapany. Apple sold and sells many computers even 
while any reliable market analist will tell you hat the long term chances of 
the company are very slender indeed. (I do use and buy even today new Apple 
equipment). The same for Polaroid: i buy their new scanner even after reading 
in the financial papers about heavy losses. I do not have a clue about Apple's 
or Polaroid's  future strategies. Still I can assess the value of their 
products for my business or hobby.

It is not probable that the Lug should be the premium forum for Leica to 
listen to and it is also not probable that Leica's management should discuss 
future directions in public. Frst of all a strategic direction and future 
product plans are part of the company's intellectual assets and part of it 
would be jeopardized if the competition would know about it. 
We seem also to forget that Leica has a large knowledge base and close 
relationship with tens of thousands of their customers (a small fraction of 
which is on the Lug) through dealers and distributors. We seem to overestimate 
the importance of the virtual community that the Lug is  in relation to the 
direct and face to face contact with dealers and customers. Leica also has an 
extended network of all kinds of users and a large database of service and 
repairment actions. 
So be assured that Leica knows their markets and customers through all kinds 
of information and relations. The Lug while no doubt of some importance is not 
that  big or influential to get special treatment. 
We as the Lug should be a bit more modest about our influence and stature. My 
message was quite simple. The Lug is a consumer forum, not a market research 
item nor an advisory group for the Leica management.
Let us continue in the good tradition of the Lug: helpful information about 
the use of Leica equipment

Erwin