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The market price is the equilibrium of both supply and demand. What you're saying is the fact people are buying their machines means they shouldn't change pric

The market price is the equilibrium of both supply and demand. What you're saying is the fact people are buying their machines means they shouldn't change price or value proposition... because there are in fact purchases; which, is quite frankly, baffling, to me, a humble idiot. Mercedes must think their EQC is positioned perfectly in the market with 55 sales? I now imagine Magic Leap will be leaping to raise prices with their next version?

uncle_j 7y ago
> The market price is the equilibrium of both supply and demand. Obviously. > What you're saying is the fact people are buying their machines means they shouldn't change price or value proposition... because there are in fact purchases; which, is quite frankly, baffling, to me, a humble idiot. If Apple are selling the machines in sufficient quantities at whatever they are priced at (I haven't cared to look) then obviously Apple's customers think they are worth it. It isn't really more complicated than that.
- rubyn00bie 7y ago
  You assume without any facts or supporting evidence that they are achieving optimal sales. What you're saying is literally something you're just making up out of thin air. It's okay to be completely full of shit, just don't market it as truth.
  - uncle_j 7y ago
    Just doing a quick web search and the company made $224 billion dollars in 2018. Do you honestly think they aren't achieving optimal sales? The proof is in the pudding and they have a very very large pudding. > It's okay to be completely full of shit, just don't market it as truth. I know you think you are being big brained but not everything is "you must provide a citation". It is pretty obvious Apple knows the market well, knows exactly what they can and can't charge for certain products. You pretending otherwise because I haven't provided you with a citation is a complete joke, it is like asking someone to cite for evidence that the sky is blue.
- jodrellblank 7y ago
  > "Obviously the way it is, is the way it is. Obviously". In conclusion, you think no company should adjust their prices, ever? Because the current price is the market price which is obviously the right price because it's the market price? It's circular reasoning, which can be applied to any sales situation - and if it explains everything, it explains nothing.
  - uncle_j 7y ago
    > In conclusion, you think no company should adjust their prices, ever? Obviously not. I am saying they have no incentive to change the price if the sales are inline or above with what they would have forecasted. > Because the current price is the market price which is obviously the right price because it's the market price? > > It's circular reasoning, which can be applied to any sales situation - and if it explains everything, it explains nothing. Again you don't seem to understand basic market economics. Your product is only worth what people are willing to pay for it. There is the odd exception to the rule (Head and Shoulders Shampoo being one of them, which is priced far higher than they originally intended because people assumed it didn't work because it was cheap). Generally if there are two or more companies producing product X (in this case Computer Workstations and Laptops) then the market will coalesce around a particular price point for a particular specification. Sure there are those that will always stick to a brand, but the vast number of consumers won't be loyal. Whether or not the company makes a profit on each unit sold is irrelevant to its market price. If they price their product higher than their competitors people will look at the alternatives. e.g. I bought a MacBook Pro in 2015 because Apple's machine was cheaper than Lenovo, Dell for the same spec and had a better screen than any of the competitors machines. This really isn't complicated stuff. I think that personal bias seems to cloud people to some basic truths.
einpoklum 7y ago
> The market price is No. There is usually no such thing as _a_ market price. There's a distribution of prices for purchases of the same item (and that's when we ignore the cases of transactions involving more than just the transfer of money). > the equilibrium of both supply and demand. Supply and demand for a specific products are more the _result_ of socio-economic processes and phenomena rather their _causes_.
- rubyn00bie 7y ago
  You must have never seen a supply and demand graph, let me elucidate you: https://cdn.britannica.com/70/74270-050-317C4423/Illustration-price-relationship-demand.jpg https://cdn.britannica.com/70/74270-050-317C4423/Illustratio... If you're talking to me about socio-economic processes when we're talking about something simple, it pretty clearly shows you're you're not very educated in Economics.
  - einpoklum 7y ago
    You _do_ realize that if you say something with a chart instead of with text it does not become more valid, right? https://en.wikipedia.org/wiki/Supply_and_demand#Criticism https://en.wikipedia.org/wiki/Supply_and_demand#Criticism If you like your charts and economic formalisms, and believe in "market prices", perhaps you should take the time to read the Candide-like "Production of commodities by means of commodities" by Piero Sraffa.

uncle_j 7y ago

> The market price is the equilibrium of both supply and demand. Obviously. > What you're saying is the fact people are buying their machines means they shouldn't change price or value proposition... because there are in fact purchases; which, is quite frankly, baffling, to me, a humble idiot. If Apple are selling the machines in sufficient quantities at whatever they are priced at (I haven't cared to look) then obviously Apple's customers think they are worth it. It isn't really more complicated than that.

rubyn00bie 7y ago
You assume without any facts or supporting evidence that they are achieving optimal sales. What you're saying is literally something you're just making up out of thin air. It's okay to be completely full of shit, just don't market it as truth.
- uncle_j 7y ago
  Just doing a quick web search and the company made $224 billion dollars in 2018. Do you honestly think they aren't achieving optimal sales? The proof is in the pudding and they have a very very large pudding. > It's okay to be completely full of shit, just don't market it as truth. I know you think you are being big brained but not everything is "you must provide a citation". It is pretty obvious Apple knows the market well, knows exactly what they can and can't charge for certain products. You pretending otherwise because I haven't provided you with a citation is a complete joke, it is like asking someone to cite for evidence that the sky is blue.
jodrellblank 7y ago
> "Obviously the way it is, is the way it is. Obviously". In conclusion, you think no company should adjust their prices, ever? Because the current price is the market price which is obviously the right price because it's the market price? It's circular reasoning, which can be applied to any sales situation - and if it explains everything, it explains nothing.
- uncle_j 7y ago
  > In conclusion, you think no company should adjust their prices, ever? Obviously not. I am saying they have no incentive to change the price if the sales are inline or above with what they would have forecasted. > Because the current price is the market price which is obviously the right price because it's the market price? > > It's circular reasoning, which can be applied to any sales situation - and if it explains everything, it explains nothing. Again you don't seem to understand basic market economics. Your product is only worth what people are willing to pay for it. There is the odd exception to the rule (Head and Shoulders Shampoo being one of them, which is priced far higher than they originally intended because people assumed it didn't work because it was cheap). Generally if there are two or more companies producing product X (in this case Computer Workstations and Laptops) then the market will coalesce around a particular price point for a particular specification. Sure there are those that will always stick to a brand, but the vast number of consumers won't be loyal. Whether or not the company makes a profit on each unit sold is irrelevant to its market price. If they price their product higher than their competitors people will look at the alternatives. e.g. I bought a MacBook Pro in 2015 because Apple's machine was cheaper than Lenovo, Dell for the same spec and had a better screen than any of the competitors machines. This really isn't complicated stuff. I think that personal bias seems to cloud people to some basic truths.

einpoklum 7y ago

> The market price is No. There is usually no such thing as _a_ market price. There's a distribution of prices for purchases of the same item (and that's when we ignore the cases of transactions involving more than just the transfer of money). > the equilibrium of both supply and demand. Supply and demand for a specific products are more the _result_ of socio-economic processes and phenomena rather their _causes_.

rubyn00bie 7y ago
You must have never seen a supply and demand graph, let me elucidate you: https://cdn.britannica.com/70/74270-050-317C4423/Illustration-price-relationship-demand.jpg https://cdn.britannica.com/70/74270-050-317C4423/Illustratio... If you're talking to me about socio-economic processes when we're talking about something simple, it pretty clearly shows you're you're not very educated in Economics.
- einpoklum 7y ago
  You _do_ realize that if you say something with a chart instead of with text it does not become more valid, right? https://en.wikipedia.org/wiki/Supply_and_demand#Criticism https://en.wikipedia.org/wiki/Supply_and_demand#Criticism If you like your charts and economic formalisms, and believe in "market prices", perhaps you should take the time to read the Candide-like "Production of commodities by means of commodities" by Piero Sraffa.