13 November 2014


It appears to be an article of faith, among the New Age capitalists such as Jobs/Cook of Apple fame, that one need only target the few, at a high price, to be success in business (without, of course, really trying). In other words, as you learned in Econ. 101, demand is price inelastic. In fact, one might argue, that the Apple paradigm is to grossly overcharge the BoM, since if the widget's painfully expensive it must be good. Marketing has to convince the few who buy that they've gotten a good deal.

But price inelasticity isn't a given, and most often applies to things like food, water, and clean air. Necessities of further existence, in other words.

Now comes word that M$ has seen the light. Gee. Lower the price, take a smaller cut on lots more shifted, and abracadabra, more moolah. Gad.
Since the price cut was introduced on November 2, Xbox One sales in the U.S. have tripled.

Nobody, pimply faced adolescent males who don't bathe possibly excepted, needs any sort of game console. Go read a book, for crying out loud.

D'oh!!! Get me a Duff's.

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