fabrego wrote:We can blame the cartels or former CEOs but two things are clear.
Poor management & Inefficient operations- The previous managements of Mumias have not been able to turn Mumias into an efficient sugar miller. High operational costs and cheap imported sugar have brought the firm to its knees.
In this day and age, firms that produce above average quality at the cheapest price will eventually take over the global market.
Mumias might get a bailout but that cash will have to be paid back(debt).
As an investor why invest cash in a business that cant produce their main product in a profitable way. We can hope for a turnaround but have we forgotten the rights issue a few years ago. Investors are still licking their wounds.
Memory is usually not a strong point, many people tend to behave like goats to the slaughter, its just another valentines day full of love, laughter and lots of caring and togetherness. What happened to others happened to them and that was their misfortune.
“You can get in way more trouble with a good idea than a bad idea, because you forget that the good idea has limits.” - Ben Graham