Maybe a story or metaphor will convince you...
Company A has a van (PLS) that hauls 10 people around for a month at $100 each at a total cost of $500. Profit = $500.
Company B has a van (ALO) that hauls 10 people around for a month at $60 each at a total cost of $600. Profit = $0.00.
An opportunity is seized upon for Company A to buy Company B... but they park the ALO van even though they can pick up 6 people at $60 each at a much reduced cost of $450 due to lower interest and smarter management. They sacrifice a Profit = $150. The further problem is the Cost of keeping the van in the garage must be paid each and every month.
So Company A starts losing money even if customers pay more because of lost profits and garage costs.
Only solution is puttung the ALO van to work and stop the drain and lost profits even if its less efficient.
BCNU
When is $2,00 Party ?, page-143
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