Replies to post #74123 on Wave Systems Corp. (fka WAVXQ)

[Weby]

Buffetguy

Dell's success can be measured in its very high revenue per employee ratio statistic.

You might start keeping track of that for us. right now it's around rather sad 4,000 bucks an employee over the year.
(100 or so employees - $400,000

[go-kitesurf]

Software companies do not have to deal with material inventory. Therefore, a 25% expantion of business to someone that manufactures capital equipment would require a 35% investment into inventory for each inventory-turn they would experience per year. So if they turn inventory 100 times per year like Toyota, you're looking at massive expenditures to have the materials to expand production. Wave doesn't have this requirement which makes it much easier for them to expand and react to vertical markets.