I BUSINESS
WHATEVER THE OTHER DEALERS CHARGE ...
MEL FARR WILE SHE FOR LESS!
"WE WANT TO EARN YOUR BUSINESS!
PLUS . . . DRIVE ANY OF THESE CARS
AND GET FEBRUARY DISCOUNTS!
FORD
-
,_.
24750 Greenfield Rd.
Oak Park, MI 48237
:
14750 Orseisfleld Rd.
id 10 IOW Rd.
MEL FARR
FORD
0 - .1 r
,
Israeli High Tech:
A Sure Thing?
Mel Farr Ford
967,3700
JOEL BAINERMAN
Special to The Jewish News
A
MIKE SCHNEIDER
MARK NESSEL
NEW '91
ESCORT
:."xx: mmOckW
", :
........
' ,//01
;.:
.....
BUY $ 6,557
• " ./
.
.
, .
Stk. #1006
48 mos. S175 sec. dep.
Stk. #888
36 mos. S250 sec. dep.
TOYOTA
1$11 S. Telogroph HT—
North of Square Lake
Dalton! Lk. Rd.
1951 S. Telegraph Rd.
Bloomfield Hills, MI 48013
)14k
"444,
- ---
NEW '91
TAURUS
BUY $11,733
...... .....
4116P
LEASE $ 166.96/mo.
MEL FARR
TOYOTA
LEASE $ 249.93/mo.
333.3300
Mel Farr Toyota
JAY PUZIO
NEW '91
CELICA
• ,•
BUY $11980
.
•
LEASE $198.70/ma
-- .
.
Stk. #1281
60 mos. S200 sec. dep.
.... .... .. .
.......
.........
15 to
choose
from
• ......
NEW '91
CAMRY
25 to
BUY 11,890 choose
from
Stk. #1450
60 mos. S200 sec. dep.
LEASE $ 249.93/mo.
Mel Farr
Lincoln Mercury
MERCURY
683,9500
LI NCOLN
4178 Highland Road
(M•59 near Pontiac Lake Road)
WATERFORD
LOU GORDON OR
MICKEY GOLDBERG
"Fully loaded'
NEW '91
GRAND MARQUIS
BUY $16,1745°
LEASE $339.37/mo.
Stk. #L0163
36 mos. S375 sec. dep.
sid
NEW '91
CONTINENTAL
BUY $ 25,163
LEASE $465.39/rno.
60 mos. 5200 sec. dep.
Stk. #L0520
All vehicles plus tax, Title, Lic. Lease pymt. on CONTINENTAL & GRAND MARQUIS BASED ON 24 MO. CLOSED END LEASE. 30,000 MI. LIMIT 11'
PER MILE EXCESS. CONT. REQUIRES 1ST MO. PLUS 5415,00 SEC. DEPT. GRAND MARQUIS REQUIRES 1ST MO. PLUS 5375 SEC. DEP. TO GET TOTAL AMT.
OF PYMTS. MULTIPLY PYMT. BY # MONTHS. WITH APPROVED CREDIT. PRIOR SALES EXCLUDED SALE ENDS 6 PM FRIDAY FEB. 15, 1991. PHOTOS MAY
'91 vehicles in stock only.
NOT REPRESENT ACTUAL VEHICLES ON SALE AT ADVERTISED PRICES.
52
FRIDAY, FEBRUARY 8, 1991
re Israel's high-tech
industries in trouble?
In 1989, Israel ex-
ported about 13 billion in
technologically advanced pro-
ducts, compared to $1.6
billion in 1983 and $400
million in 1975.
It's estimated that by 1995
the high-tech sector will ac-
count for more than 60 per-
cent of projected total exports
of $12 billion. Exports have in
the past five years exceeded
20 percent annual growth and
are targeted to reach $8
billion in 1995.
Yet, the president of the
Electronics Industries
Association, Moshe Or-Tas of
Israel Aircraft Industries,
says that due to rising labor
costs and an overvalued
shekel, he is apprehensive
about growth in the elec-
tronics sector of the high-tech
industry.
A recent survey of 40 elec-
tronic companies by the Elec-
tronics Industries Associa-
tion, a trade group represen-
ting the majority of elec-
tronics companies in Israel,
reported a marked decline in
investment in the industry.
Most firms surveyed plann-
ed to reduce its workforce this
coming year due to a shrink-
ing backlog of orders. The
most disturbing factor was
that only 20 percent of the
companies surveyed said they
planned on increasing capital
investment.
Against this backdrop the
annual conference of the
Association of High-Tech-
nology Companies, a consor-
tium of 1,200 companies, met
recently in Tel Aviv.
Its President, Moshe
Cohen, claims one of Israel's
major problems in its advanc-
ed technological industries is
the raising of funds for
marketing and production.
He points out that only 4
percent of Israel's high-tech
firms produce 71 percent of
the sector's exports. Typical-
ly, once a small firm moves
from research and develop-
ment to production and
marketing, the lack of
available expansion funds
means that it "can either go
bankrupt," or be taken over
by a larger company thus sap-
ping its youthful vitality and
independence.
He contends that only the
establishment of local ven-
ture capital pools will solve
this dilemma and his Associa-
tion has asked the Knesset to
approve a plan which would
create venture capital funds
of a truly unique type.
If the legislation passes, the
seven or eight venture capital
funds, which will operate
much like mutual funds,
could raise a total of about
$180 million on the Tel Aviv
Stock Exchange. Each fund
will be able to invest up to a
maximum of $4 million over a
period of seven years in a com-
pany's R & D and marketing
efforts.
If the investors are not
satisfied with the perfor-
mance of the fund the govern-
ment has pledged to reim-
burse them for 80 percent of
the value of their original
investment.
The plan also calls for the
establishment of private ven-
ture capital funds which will
carry an 80 percent govern-
ment guarantee. This means
TWenty percent of
the companies
surveyed said they
planned on
increasing capital
investment. Only 4
percent of Israel's
high-tech firms
produce 71
percent of the
sector's exports.
that even if the $20 million is
raised in Canada, and the
money is invested here, if the
original investors lose their
investment, 80 percent of it
will be returned.
The main problem, accor-
ding to Mr. Cohen, rests with
Israel's bureaucratic chan-
nels which have kept the pro-
posal from being im-
plemented for nearly two
years.
"If the government would
pass this legislation, it would
be a historical breakthrough
to establish a proper venture
capital industry in Israel,"
Mr. Cohen says. "Doing it
would be saying, 'We believe
in our high-tech industries
and are ready to put our
money where our mouths
are.' "
Mr. Cohen points out that
even by offering 80 percent
government guarantees the
public would be the ultimate
beneficiaries via the suc-
cessful companies. He claims
that in the U.S. in the early
1970s, 70 high-tech com-
panies raised $200 million