There's a huge one-time demand from consumers. But, if it's an amazing device that never needs repairs (or that can easily be repaired by the consumer) and it has no bells and whistles, that's a problem: there's no repeat business.
Once you've supplied everyone with it, figure out how to keep a buffer stock and move onto the next product. By the time you've sold every viable customer a washing machine, vacuum cleaner, fridge, freezer, mixer, cooker, dryer (whatever) they'd be fine, new stock still needs to be sold eventually so keep a trickle coming. Replacement parts etc.
Biggest issue is it's going to be expensive - will people pay?
Not true at all. Businesses didn't move onto the next product, they specialized, making the exact same thing year after year. Because manufacturing tolerances weren't great, things would need repairs and replacement, so there was repeat business. Nobody kept a buffer stock and moved onto the next product.
They did specialize, yes, but the products did last longer and there was a goal to keep quality high so their reputation would pull customers back later on.
But that socialization wasn’t strict. Companies changed focus all the time.
My washing machine and dryer likes to throw about AI. The model came out around or just before the current LLM craze started, and I'm guessing they wanted to capitalise on the buzzword.
AI in the case of my washing machine means that it keeps track of the time and day of week, and what washing programmes I tend to run within a certain timeframe. It then suggests that programme when you turn it on. For the dryer, AI means "suggest the programme matching what the washer just washed."
Lately the washer has taken to flash "AI Cycle Complete" on its stupid little screen whenever it completes a wash, even if I keyed in every single setting myself. Such AI.
Nothing has Ai. Everything that does refuses to explain what their use of that term means. It's like buying the name brand cereal over the generic because someone slapped an "asbestos free" sticker on it.
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There’s a huge demand from consumers for that. Just not from investors.
There's a huge one-time demand from consumers. But, if it's an amazing device that never needs repairs (or that can easily be repaired by the consumer) and it has no bells and whistles, that's a problem: there's no repeat business.
Who cares?
The people running the business, presumably. Generally people don't want to go out of business because they can't find any customers.
Once you've supplied everyone with it, figure out how to keep a buffer stock and move onto the next product. By the time you've sold every viable customer a washing machine, vacuum cleaner, fridge, freezer, mixer, cooker, dryer (whatever) they'd be fine, new stock still needs to be sold eventually so keep a trickle coming. Replacement parts etc.
Biggest issue is it's going to be expensive - will people pay?
That sounds like a difficult way to run a business.
It’s how businesses were run for literally hundreds of years.
Not true at all. Businesses didn't move onto the next product, they specialized, making the exact same thing year after year. Because manufacturing tolerances weren't great, things would need repairs and replacement, so there was repeat business. Nobody kept a buffer stock and moved onto the next product.
They did specialize, yes, but the products did last longer and there was a goal to keep quality high so their reputation would pull customers back later on.
But that socialization wasn’t strict. Companies changed focus all the time.
But does it have AI?
My washing machine and dryer likes to throw about AI. The model came out around or just before the current LLM craze started, and I'm guessing they wanted to capitalise on the buzzword.
AI in the case of my washing machine means that it keeps track of the time and day of week, and what washing programmes I tend to run within a certain timeframe. It then suggests that programme when you turn it on. For the dryer, AI means "suggest the programme matching what the washer just washed."
Lately the washer has taken to flash "AI Cycle Complete" on its stupid little screen whenever it completes a wash, even if I keyed in every single setting myself. Such AI.
Lately? Does that mean your washer is getting some kind of regular firmware updates? Why? In case "laundry" changes?
Nothing has Ai. Everything that does refuses to explain what their use of that term means. It's like buying the name brand cereal over the generic because someone slapped an "asbestos free" sticker on it.
Investors need not be shareholders, to be fair.