InvestorsHub Logo
icon url

BOOYAHH!

07/05/12 1:42 AM

#45488 RE: es1 #45487

KBLB is looking to have a partner, a partner and their already integrated system. Thus step 5 and 6 wont exist. KBLB is not in the market to make silk (spun and woven). Hence why a partner is necessary to integrate this into their existing products.

The more streamlined process is to take cocoons ship them to XYZ partners processor, and thats it, either get paid in royalties or as a supplier of raw materials.

Nowhere did KBLB indicate that they have a warehouse to store spun and woven material, nor is the business model one to ship silk in those forms to customers. KBLB is looking for a partner.
icon url

FACT-MASTER

07/05/12 2:40 AM

#45489 RE: es1 #45487

The attitude of "they need us, more than we need them" imo is a recipe for failure; and a failure specifically for just that - the attitude.

A successful business is a cooperative relationship, each party has its roles. The supplier produces a superior product at a competative price and slowly over time, and together, with the distributor/wholesaler/retailer, integrates and dominates on those principles/ coupled with outstanding customer service.

The assumptions of uses, values, partners lined up at the door, are heresay, we will not know what MS is worth until somebody steps up to the plate and buys it and that information released in the form of news from KBLB headquarters. KBLB at .055/share, doesn't look like many companies are breaking down the doors for our spider silk.
icon url

FACT-MASTER

07/06/12 1:19 AM

#45521 RE: es1 #45487

Just want to repond back to your scenario step 1-6.

I do not beleive shipping cocoons would be feasible, it appears that in the industry, growing and processing into thread are a one shop step, and logistically that makes sense.

I do see something though to establishing an exclusive grower/thread processor as an outsourced exclusive manufacturing partner. China or India would probably be the most cost-effective areas to do such manufacturing. I was wondering today if the reported trip to SE Asia in 2011 would have possibly been to set up such a relationship. imo, it makes sense to have manufacturing for consumer textile products done in the most cost effective way where labour is relatively cheap as compared to here in North America..

The next step would be to have an exclusive distributor/wholesaler partner who is a major player in the textile world. KBLB would have the outsouced manufactured product delivered to them and be paid in full for the product. This I could see as putting KBLB more in the REVENUE than the licensing scenario i had. Delivering the product to the wholesaler would be the end of KBLB's responsibility and the distributor/wholesaler would then be responsible for marketing. This I could see as a link wherby the distributor/wholesaler would be bending to KBLB in order to have the distributorship.

Penetration into markets still remains a big unknown, how industry integrates KBLB's products still remains to be seen.

I'm still thinking about this, but generally, a partner for manufacturing, and a partner for distributorship could allow KBLB to gain a sizeable chunk of the revenues, and that's what i've been wondering about.

The stock price? there are sometimes ("usually" in other stocks i have had) tell tale signs in volume and movement in price that indicate something is up, KBLB? if a commercial deal was coming i would think some signs would show up, nothing lately.