4 ms·
If you have virtually no pricing power and have to drop your $200/mo to $15/mo that's a big deal if your $300bn valuation is implying that not happening, which
by dauhak 2y ago
If you have virtually no pricing power and have to drop your $200/mo to $15/mo that's a big deal if your $300bn valuation is implying that not happening, which is what OP's point is about
Idk what you mean by saying this doesn't preclude a monopoly - having your pricing power eroded by competition is kinda one of the key features of what a monopolistic market isn't
- bobxmax 2y agoNot at all. Monopolies don't imply an anti-rigid price curve. In fact, monopolies almost never have that. A monopoly means a company has enough leverage to corner and disproportionately own the market. This is entirely possible (and usually the case) even with significant pricing pressure.