3 ms·
What exactly are you assuming are the costs when calculating the marginal cost of that cup of coffee? The rise in the total cost of producing another cup of co
by inafield 14y ago
What exactly are you assuming are the costs when calculating the marginal cost of that cup of coffee?
The rise in the total cost of producing another cup of coffee is not that much -- not anywhere close to the total price, or else nobody would be making any money and Starbucks wouldn't be on every corner! The supplies are cheap and the cost of employment and business expenses fluctuate depending on how well the coffee shop is run.
Apps will still likely have a lower marginal cost, depending on the distribution model, but I think to say that it is zero is false.