While Colt has been continually losing money, S&W and Ruger have done very well.
Colt could have changed its catalog and production efforts to meet market demands for their products, but that requires corporate management experience and savvy, as well as a desire to compete in the broader market. Putting all of your eggs in one basket (military & LE sales) can be risky.
Modernizing manufacturing and production, and putting emphasis on products which not only attract the attention of consumers, but also meets the demands and expectations of both old and new consumers, is necessarily one of those "let's sit on our laurels" business models.
Both S&W and Ruger have been adapting and adjusting to an evolving market. Yes, that may annoy some potential 'traditional' buyers while it interests and thrills others, but it has been keeping them in the market place and creating consumer demand for their old and new products.
S&W has continually invested millions of dollars in both new and updated manufacturing equipment, creating more manufacturing floor space, training new employees, etc. They've also been acquiring other companies to both augment their manufacturing capabilities and diversify their products and market participation.
The ball is in Colt's court, right where it's always been. Guess we'll see what happens. Kind of like what's happened with Remington and Winchester regarding firearms in recent years.
