Thursday, December 18, 2008

The Financial Crisis

The financial crisis is too complicated for me to understand. Here's why:

In the last six months, Waterloo based Research in Motion has lost two-thirds of its market capitalisation.

At the same time, it has been selling its Black Berry product in record numbers and has just introduced a new line, the Black Berry Storm, which has become so successful that the firm is struggling to keep up with demand.

So, in short, RIM is making more money than ever before (and loads more money that its rivals) but it's stock price is dropping. How does this work?

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