LETTERS - Letter to the Editor

Industry Standard, The, May 28, 2001

DEJA VU

REGARDING "BUSINESS GETS BRAINY" [May 14], I have been mystified why [the PT Cruiser], a boxy, utilitarian and frankly ugly vehicle, ever left the drawing board. I had one of those "Of course!" moments when I read that "renowned French anthropologist G. Clotaire Rapaille had a hand in designing DaimlerChrysler's PT Cruiser".

Martin D. Webley

The PT Cruiser is simply a tartedup, curvaceous version of the old Citroen 2CV ("deux chevaux," or "two horses," indicative of its horsepower) that still trundles around France like some chicken coop on wheels (not my description). This proves you can take the anthropologist out of France, but you can't take France out of the anthropologist.

Principal

Webley & Associates

mdwcbley@aol.com

STRATEGY: THINK ABOUT IT

IN "STRATEGY CAN BE DEADLY" [MAY 14], Larry Downes makes some valid points about the Internet failures to date of large, traditional businesses. Rapid industry changes are making certain planning exercises obsolete, and no one with large company experience will deny that dysfunctional budgeting processes can stifle new ideas.

However, blaming the destruction of billions of dollars in shareholder wealth on poor execution, rather than on poor strategy, is akin to hitting on 18 in blackjack and blaming the dealer when you bust. No one would argue that poor execution can break a good strategic technology investment, but it is unlikely that perfcct execution can make up for a bad strategy.

Michael Porter's concepts of linking strategic (including technology) investments to a company's market economics and competitive position are as true today as they were 20 years ago.

Andy Simonoff

Consultant, Marakon Associates

asimonoff@marakon.com

ALTHOUGH I'M SOMETIMES AMUSED BY the humorous last page of your magazine, I have to confess Larry Downes' "Strategy Can Be Deadly" is the only article you've yet published that had me laughing out loud. His unsupported criticism of strategic planning in general, and Michael Porter in particular, is a perfect example of with-the-Internet-everything-is-different thinking that has resulted in a meltdown of Internet and technology businesses.

Downes' contention is that the value of strategic planning decreases as the pace of technology increases. Following this line of reasoning, we would be left to conclude that the faster cars go, the less we need road maps.

Daniel J. McAdam

President and CEO

Wooden Horse Books

woodenhorsebooks@yahoo.com

FORGET THE MINIBAR

"ROOM SERVICE PROVIERS" [GROK, APRIL 23] says hotel guests "typically pay just $10 a day for high-speed access." Just? I travel frequently. But just as I go to the lobby to use a pay phone, rather than pay $1.25 for a toll-free call from the room, I dial up the local access number and download my e-mail. When the price drops to $2 a night, I'll start using the hotels' high-speed lines.

Stuart Gitlow

Founder, Healant

drgitlow@aol.com

ERRATA

"FALLEN IDOLS" [MAY 21] NEGLECTED TO say that Benchmark Capital's third venture fund had invested in a software company, Collabra. Due to an editing error, the story inaccurately said Benchmark III had no investments in networking; it should have said the fund had no investments in networking equipment. Also, the story failed to specify that a $10 million loss the fund faced on an investment in 1-800-Flowers was as of Sept. 30, 2000. The Standard regrets the errors.

AFTER PUBLICATION OF "THE RETREAT OF the VCs" [Metrics, May 21], Venture-One decreased its estimates of how much venture capital was raised to $18.1 billion and $14.3 billion, respectively, for the fourth quarter of 2000 and the first quarter of 2001.

"THE NAME GAME" [POSTS, MAY 14] incorrectly noted the Oilers were still playing football in Houston; the team is now known as the Tennessee Titans.