"I Need Help" . . . most rational poster on iFlub.
Post# of 72440
I Need Help Tuesday, 11/19/13 03:51:39 AM
Re: Ahrdee post# 46332
Post # of 46335
Excellent post, as usual. I always learn something.
Just a wrinkle to add. PR's and news can have wide ranging effects. As an investor , I prefer to know as much as possible. Granted, it is not wise for companies to over do or even abuse the power of media. What is the right balance? Doubt anyone has mastered the subject.
Todays PR does seem to serve several purposes. Most likely, Leo is trying to send a message that CTIX is a player in the "hot" antibiotics arena . His message was probably aimed at investors, potential investors, and potential partners.
I can't fault Leo for talking up CTIX. Better than him talking it down (ask Musk). If not the CEO , who? Also, I tend to believe him. Hyping is not as prevalent these days as in decades ago. There is just too much liability associated with spreading misinformation.
I think your view on the long-term significance of PR's concerning new corporate activities, the chances for success, is very informative. One would be a fool to assume that CTIX is guaranteed success from very early findings (petri dish or animal studies).
Now, from the Business School perspective. Granted one can not assume success, nor can one assume failure, one can only make an educated guess using probabilities. Therefore, today's PR was important. Where there was no probability that CTIX would have gram negative products, now we know of 2. Each investor must apply their own probability for success. But, even a low 10% probability should raise the value of CTIX for the rational investor.