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Using VC backing to predatorily price your product (like the free rent in this article) is basically dumping, isn't it? I don't know how long we'll tolerate tha
by jackvalentine 7y ago
Using VC backing to predatorily price your product (like the free rent in this article) is basically dumping, isn't it? I don't know how long we'll tolerate that kind of behaviour.
https://en.wikipedia.org/wiki/Dumping_(pricing_policy) https://en.wikipedia.org/wiki/Dumping_(pricing_policy)
- dantheman 7y agoIt's not dumping because it's the primary market. Dumping is leveraging your primary market capacity to expand to another market. No one has ever successfully kept their prices low, drove out the competition, and then raised them.
- john_moscow 7y agoBeing sarcastic here, but many companies' primary market these days is the cash-burning-pocket investors.
- jumpingmice 7y agoWhat about Hynix? Didn't they drive all of the the Japanese semiconductor makers out of business? I know it was a national/political move, but it was still dumping.
- daniel-cussen 7y ago> No one has ever successfully kept their prices low, drove out the competition, and then raised them. Standard Oil did exactly this. It kept prices low under Rockefeller's leadership and raised prices dramatically under Archbold, when they already had the market sewn up. Very successfully. More recently, China did exactly this with rare earth metal prices. There's even a name for it, cornering the market.