Pages

Tuesday, June 22, 2010

Supply And Demand In a World With Competition

When you price your product above what consumers feel is reasonable, they will stop buying it (movie revenues and legit DVD sales). When a competitor that looks legitimate comes out with a lower priced source for your product, they will use them instead of you as their provider. If you continue to refuse to use a reasonable pricing model and refuse to adapt to the changes in your industry (streaming content, home delivery), you will end up with news items like: Overseas mob-run websites allow you to stream pirated movies to your television for cheap.

No comments:

Post a Comment

I will review your comments prior to publishing them. Almost all comments are approved and published within a day or two. When you post a comment, Please bear in mind that you are addressing me personally. To be clear: I generally prefer clarity to agreement. Make your point, but be nice about it and don't annoy me, and you will likely see your comments published here.

Comment Moderation Statement