Yep, product prices are not based on costs but rather just the absolute maximum of what consumers are willing to pay.
Proton just seems to be an exception.
Yep, product prices are not based on costs but rather just the absolute maximum of what consumers are willing to pay.
Proton just seems to be an exception.
sugar_in_your_tea@sh.itjust.works 3 weeks ago
In a sufficiently competitive market, the maximum is related to costs.
Proton is trying to get cheap marketing.
Ulrich@feddit.org 3 weeks ago
It’s not. It’s just related to the competition AKA what people are willing to pay.
sugar_in_your_tea@sh.itjust.works 3 weeks ago
With enough competition, someone is going to compete on price to attract customers. They obviously can’t sell for less than their costs (again, sufficiently competitive so you don’t get monopolies starving their competition), so that’s the floor for what they can sustainably charge. It doesn’t matter what the service is, if there are enough viable alternatives, at least one of them will go for the value play.
Ulrich@feddit.org 3 weeks ago
What I’m saying is that competition is included in “what people are willing to pay”. Cost of production is not.