Diehard_89 SG what are the 2 problems that iron ore companies may experience if the demand for their product is unstable?
Diehard_89 SG ohh care to explain? sorry this is a question from 2002 and I am studying the new H1 syallabus so don't understand..what do you mean by high fixed overheads?
FireIce SG overheads are like rental, utilities, manpower, office inventory....oso include certain taxes, licensing payments and insurance...... even if there are no operations or production, u still have to pay these........
Phoebie SG undervaluing and underappreciating of these mentioned companies, iron ore price decrease (if there's little or no buyers), aging stocks (if no or little buyers), cash flow problems etc
