Laser Business Focused on Future After Sell Off
01 May 2003
In March, The Cutting Edge Group sold its site, which was only 30 miles from London and close to Stanstead Airport, for residential redevelopment. It also sold off its flamecutting and waterjet departments after 31 years, and will focus the business in new premises on the laser cutting service that it started 25 years ago.
With a tinge of regret, managing director John Bishop says: "We need to retain a competitive advantage by constant investment. Laser technology tends to have a four to five year cycle so machines need to be replaced regularly.
To make this business worthwhile we need to cut metal 24 hours a day, five days a week, for 50 weeks per year for five years. This means buying the best, most reliable, and usually, the most costly machines."
"With the proliferation of small cheaper machines into end users, we are only able to undercut our customers' in-house metalcutting costs by economy of scale. We are seeing customers returning to us having gone this route. They do not wish to reinvest large sums in new machines as they have found that the returns are simply not there."
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