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In part two of our look at Atari and the reasons behind the crash of the mid-1980 we see how Atari's handling of the excess product led to its downfall. The idea that they could treat this like any other overstock of products and push through did not consider the consumer's lack of knowledge. Together with the massive price reduction in the hardware for not just the VCS, but also the 5200 further eroded consumer confidence and understanding. By the time Atari started taking the drastic measure they needed to right the company they were sold by Warner because Warner could not afford the depression in stock price. Though logistics may not be the most exciting topic. It really is the core of what lead to the crash, and how Atari got into and failed to manage it speaks volumes about what future companies would need to do in order to survive.