09-16-2009 18:13
From: Rock Vacirca
True. But BMO could learn from LL's mistake. i.e. the mistake of initially absorbing VAT, to create a commercial level playing field for all its residents; then deciding not to any more, passing on the VAT cost to their Euro customers; then watching as revenues from Euro customers fall dramatically to a level where absorbing the VAT was actually less of a financial hit.

BMO will have to decide if getting up to 19% less from their Euro customers (by absorbing the VAT) will actually be more revenue than the drop in revenues (by 19% or more) if they do not absorb it, and Euro customers refuse to try to compete with US cusomers who do not have to pay it.

Rock


Spot on!

Inc
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"The wide world is all about you; you can fence yourself in, but you cannot for ever fence it out" - Gildor Inglorion, LOTR