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No more SME arms!

Bizarre.... Have they hired Gerald Ratner as business development manager?

So they can't cope with making arms and TT's simultaneously.... and as a result will continue making arms and TT's simultaneously... but not sell arms separately.... mental!

It's what they are known for... their core business!
 
They are only able to make enough arms to satisfy turntable sales? That's my guess. How many people were involved in arm manufacture I wonder?
 
I don't know the factory site, but there is obviously attractive return on investment after the company was bought, but they cannot justify expanded production facilities. If the work was not such precision stuff, requiring skilled labour, the answer would be extended working, assuming they are just days or two shift currently.

I suppose it is a good news story in that they are expanding t/t production.
 
They are in a very small market, their stand alone arms are very expensive so probably not selling many 5's at £5k.
 
Of course -w e do not know how many turntable arms they have been selling recently, nor how many turntables.

But (I have been in manufacturing business a long time) it is always a question...do you sell out the capacity as best you can, or do you pursue a growth path and increase capacity to make more? It could be that the bean counters have worked out that the return on such investment may not be secure enough to justify an expansion, or that the needed staff are not available. Good toolmaker types are not hanging around on street corners in the SE of England.

Even worse if an increase in capacity would need more factory space. Moving skilled workers even a few miles could be disastrous. And I doubt they would even countenance licensed production elsewhere.

And, forgot not, they do not only make Audio kit - they may make far better profits from other sectors - like Medical or F1 for instance.
 
This sort of stuff always happens when someone buys a family run firm like SME. I confidently predict it will not exist as a hi-fi brand in a year's time, unless it's sold on to a Chinese based outfit.
 
I've personally never been a huge fan of SME arms, but nevertheless, I'm really surprised at this news! It looks as if SME's acquisition of the Garrard name is going to amount to nothing now.
 
SME dont just build turntables and arms this is a high quality engineering company making stuff for aerospace , operating theater equipment. Precision engineering company not just a hifi company.
 
wylton said:
I've personally never been a huge fan of SME arms, but nevertheless, I'm really surprised at this news! It looks as if SME's acquisition of the Garrard name is going to amount to nothing now.
Click to expand...

Yep I never liked the 3009 II or III. Virtually anything will beat them on sound quality. Nice looks and build though.
 
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