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Gibson Guitar to cut 50 jobs


Alouf

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http://www.tennessean.com/article/20090321/BUSINESS01/903210325

 

The company said that worldwide sales of musical instruments in the product categories it competes in have dropped more than 20 percent in the first quarter of 2009, compared with the same period last year.

 

20% drop, that is a significant number.

 

Hope that will not slow down significantly the new generations of guitars development.

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Not a surprise - many of the European customers are still waiting their DF. If customers don't get DF, company don't get money...

 

Also, now the company is fixing the product, taking back instruments, that is a huge cost where company don't get money.

 

And because building a DF takes more time (and resources?), it is costing more to the company than they thought.

 

Question: What this kind of messing up do to the company's reliability in public? +:-@

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