3 ms·
This Q&A is hilarious. The CEO is just giving the same PR-approved answer to a politically sensitive question. The real and politically-incorrect reason for the
by marcoperaza 11y ago
This Q&A is hilarious. The CEO is just giving the same PR-approved answer to a politically sensitive question. The real and politically-incorrect reason for the higher prices is that the cost of doing business is higher in Australia. For example, the minimum wage is very high and consumer protection laws require the company to provide a 2-year warranty at no additional cost. It sounds like some people want to have their cake and eat it too. They want Australia's high minimum wage and strong consumer protection laws, but they don't want to pay for it. There's no free lunch in this world.
As for the demand side of things, Australians must be sufficiently willing to pay the higher price.
The Australian dollar has gotten weaker since this video was taken, so now Adobe's prices are almost at parity with the US. I'm sure the risk of foreign exchange fluctuations is part of Adobe's pricing strategy.
- randomhunt 11y ago> The real and politically-incorrect reason for the higher prices is that the cost of doing business is higher in Australia. For example, the minimum wage is very high and consumer protection laws require the company to provide a 2-year warranty at no additional cost. I wonder what the price differential between Australia and Europe is, at similar points in time, then as these 2 example reasons also apply within Europe. Such a comparison might go some way to explaining if there are structural reasons, as suggested by these specific examples, or if it is simply price gouging.
- bmm6o 11y agoWhat's "politically incorrect" about saying that they have to provide additional services in the Australian market? And I don't buy that a 2-year warranty costs Adobe $1800 per user. How many hours of phone support is that?