What’s the Difference between GEC-Marconi and Barratt Homes?

A. Nothing apart from a few years.

  • Both companies were/are long established businesses, at the top of their game.
  • Both were managed by whizz-kid fly-boy management just before their collapses. See here for the Marconi fiasco and here for Barratts’.
  • Both collapses were brought on by splurges of massive company expansion financed almost exclusively by debt at a time of overly optimistic stock market trading.
  • Both fell rapidly in value, Marconi losing 99.5% of it’s value, Barratts so far has fallen by 91%.

The question is, why didn’t anyone at Barratts see this coming? The GEC-Marconi collapse wasn’t long ago. They are all supposed to be financial experts. People really are sheep.

By Strangely

Founding member of the gifted & talented band, "The Crawling Chaos" from the North-East of England.

One comment

  1. Barratt profits hit by downturn

    Well there’s a surprise. I never saw that one coming!
    Sorry. I forgot to issue a sarcasm alert before that.

    However, in light of the information in this post, it’s a bit rich blaming all one’s failings on the “credit crunch”. The writing was on the wall ages before that kicked in.
    It’s poor, if not casino-gambler-like management. That’s all.

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