Quote:
Originally Posted by Fritzly
Actually come out with a price and then lower it because buyers are not attracted is not a good business strategy in general.
I do not see anybody in this thread suggesting that everything should be free and a company profits are not generated solely by the markup on the single unit for sale; actually it is a little bit more complicated.
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Fritzly,
I guess you never took business classes or economics classes because that is every businesses strategy. How do you think a free market works? You release something believing the demand will be this high but it is a lot lower, so you lower your prices. And vice versa, if the demand is higher you raise your prices. You sell your product at the equilibrium where what consumers are willing to buy is equal to what you are willing to sell. It happens everyday and does not hurt the business in any way.