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Why on earth would a consumer care about profit margins?
by xanderstrike 9y ago
Why on earth would a consumer care about profit margins?
- rm_-rf_slash 9y agoA consumer might not care about profit margins per se, but a producer will. Hence why most money-making apps are built for iOS first before being ported over to the less-profitable Android. An incentive structure like that means that the Apple ecosystem will typically have the first-and-best development support. That is why a consumer might care.
- euyyn 9y agoNone of that has anything to do with Apple's own profit margins.
- throwawaymsft 9y agoA company is incentivized to keep supporting a product that is profitable.
- r00fus 9y agoUnprofitable companies historically become unviable options. Profit can be a measure of quality, assuming an efficient market.
- empath75 9y agoThey shouldn't. This was a business analysis. Apple doesn't want to have 70% of market share, they want 90% of profits. Apple and Samsung are the only companies making a profit selling mobile phones, and apple makes vastly more profits than samsung does, with a much smaller fraction of the market share.