“Let Me Say This About That” – Title of a New York Times Book Review of "The Arrogance of Power," a biography of Nixon (October 8, 2000)
Let me be perfectly clear … I have no opinion either way on Sulphco. I have no idea whether it is a good investment. I have no idea whether they own a truly cost-effective desulfurization technology.
The reason I post the following is that it provides a good case study in determining whether a company with new technology offers promise for your organization.
The problem with promising new technologies is that, without a track record, it is impossible to be sure whether they can deliver the goods. The best you can do is to check credible sources so that you can make a decision on whether to take that leap of faith that commits you to an unproven technology.
Conducting a full scale background check on a technology and the company that offers it is expensive and time consuming. Which is why you are better served by a preliminary search to determine whether a full scale search is warranted.
The checklist of sources for a preliminary search should include, at a minimum …
• News (e.g. Yahoo finance) … including legal difficulties, strategic alliances, etc.
• Patents (e.g., Google Patents)
• Journal articles (e.g. Ebsco Academic)
• Analyst reports (e.g. Wikinvest) … for help in determining how to make sense of it all
That last bulleted item can be crucial. A search on a controversial company like Sulphco can result in a range of opinions, ranging from sonocracking is the greatest thing since the invention of the wheel to a Barron’s article describing the whole Sulphco enterprise as nothing more than an elaborate hoax.
How do you make sense of it all in a limited amount of time? One way is to read what various analysts have to say about a company.
One place to start, especially if it is a publicly traded company, is Wikinvest (http://www.wikinvest.com/). The Sulphco article (http://www.wikinvest.com/stock/SulphCo,_Inc._(SUF)) provides a reasoned, unemotional description of the company, its technology, and the challenges it faces in implementing its technology in the context of global trends. It mentions the legal issues, the technological challenges, and the competitive hurdles with which Sulphco leadership must deal.
One of the most interesting comments is, to quote from the article …
“Finally, it is worth considering that gas prices are rising, and the market is demanding new types of non-fossil fuel energy. A large scale acceptance of Electric Cars or Hybrid and Alternative Energy Technology could throw a serious monkey wrench into SulphCo's future business. Companies which provide and develop these technologies could be viewed as SulphCo's indirect competitors”
Source: http://www.wikinvest.com/stock/SulphCo,_Inc._(SUF)
A preliminary search, it is needless to say but I say it anyway, can be fairly time consuming. Your corporate librarian or a trusted independent information professional can help you leverage your time.
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Jean offers these tips in the hope that they will actually be used. If you have any tips of your own to share, please post to the blog or email Jean at http://www.jeansteinhardtconsulting.com/
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