3 ms·
>that is, the long term ability to raise price or exclude competitors. Apple doesn't have this power though. If they raised prices they'd lose sales. And they
by graeme 3y ago
>that is, the long term ability to raise price or exclude competitors.
Apple doesn't have this power though. If they raised prices they'd lose sales. And they haven't been able to exclude competitors, there is a robust ecosytem of Android manufacturers.
There's a reason the FTC has been losing almost all of their cases recently. They internalized the idea that a large successful company is inherently bad and focus on that rather than any objective legal standard.
- amadeuspagel 3y ago> Apple doesn't have this power though. If they raised prices they'd lose sales. Yes, that's true for every company. So monopolies don't exist?
- graeme 3y agoIt isn’t true of monopolists. That’s the whole point of pricing power. You can raise prices higher than they’d be otherwise. There are lots of inexpensive phones on the market
- toast0 3y agoApple does seem to have pricing power. They don't sell (new) phones under $400.
- graeme 3y agoThat’s a choice though. Pricing power means *no one* sells phones under $400 because the monopolist has the ability to raise overall market prices.
- mrkeen 3y ago> Apple doesn't have this power though. And they haven't been able to exclude competitors Where does your mind drift off to when you read the phrase "walled garden"?
- graeme 3y agoSamsung has a similar ecosystem if one wants to buy it. Plenty of people have macs and android phones, or windows computers and iphones. Certainly other companies can't be in Apple's walled garden, but in antitrust exclude means exclude from the market. Apple hasn't done that, there's a vibrant market in phones, computers, tablets, smartwatches, etc.