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Authored by: Anonymous on Thursday, November 08 2012 @ 03:48 PM EST |
Subsidized products has been a concept known to the business world for a very
long time. I would easily expect the concept to have been used in Rome 2000
years ago.
Try one, it's free!
Do you honestly think the first one was
free? Nope - it's a subsidized cost. Some sources for subsidizations
are:
A markup in the product cost so each unit sells for slightly more so
some free units can be given out!
Service fees: I believe RedHat can be
reasonably viewed as subsidizing it's Linux development efforts by the income
they receive from services.
Other products: Some of the models of
vehicle manufacturers sell for a lower price then what they cost to actually
build. However, their popularity means they stay in the product line while
other models of the same manufacturer subsidize the cost.
When the author
says the following, he is not speaking to "what" is subsidizing the device but
to the concept of susidization itself:
That bargain-basement pricing
is setting some decidedly unrealistic expectations, however.
So
.... 2000 years of business and marketing have had it all wrong?
I dun
think so!
And please... somehow claiming Google is setting such
unreasonable expectations for subsidizing costs when everyone in the telephone
market is playing that game and was playing that game long before Google entered
the scene:
Decidedly Disingenuous.
RAS[ Reply to This | Parent | # ]
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Authored by: jbb on Thursday, November 08 2012 @ 11:26 PM EST |
... in their non-apology apology department.
---
Our job is to remind ourselves that there are more contexts
than the one we’re in now — the one that we think is reality.
-- Alan Kay[ Reply to This | Parent | # ]
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