2 ms·

So if Louis Vuitton made a version of their bags that’s the same but a different logo, at only a 50% margin instead of 98% or whatever their current margins are

So if Louis Vuitton made a version of their bags that’s the same but a different logo, at only a 50% margin instead of 98% or whatever their current margins are, you’d be angry at them too? But because they only sell the version with the super high margin and not the “crippled” cheaper kind, it’s somehow just fine? Same with iPhones, those margins are huge, they could totally sell you a crippled cheaper version of the same hardware and still make money. They just choose to only sell things at the highest margins, because their UX and brand are so strong. How is “pricing everything super high” fine and “also sell a few cheaper options with lower end-user value” terrible greed? That’s totally upside down to me.

krab 3y ago
If LV did that, it would damage their brand. People justify paying for premium brands by convincing themselves they get something exclusive. If LV showed you can get the same product, just with a different brand, then it's no longer exclusive. Those who previously believed in the brand would be angry.
ilyt 3y ago
> So if Louis Vuitton made a version of their bags that’s the same but a different logo, at only a 50% margin instead of 98% or whatever their current margins are, you’d be angry at them too? Useless comparison, bag here is only fashion statement, not something you use for technology. And it's weird assumption they made any of them "first", they most likely designed both in parallel (design time != start of production time) and just put worse sounding version in cheaper one to not cannibalize the market.