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And this is why bundling destroys a la carte for zero-marginal-cost items.
by pbreit 10y ago
And this is why bundling destroys a la carte for zero-marginal-cost items.
- shostack 10y agoCan you elaborate on this?
- bpicolo 10y agoPretty sure he means that bundling performs very well for items that don't cost extra to produce more of (in this case, digital content). Distributing more PDFs costs effectively nothing. People can feel like they get a lot of value for little money, without the sellers explicitly losing.