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Building a halo product that attempts to compete in a luxury niche is very different from running your (whole) business like a luxury niche leader. We see simi

Building a halo product that attempts to compete in a luxury niche is very different from running your (whole) business like a luxury niche leader. We see similar cases with the highest end Chevrolet Corvette. If you look only at statistics and performance numbers, they are arguably competitive, but cheaper. But GM intends to sell as many Corvettes as they can. They do not particularly restrict them in quantity or with a particularly inflated price that represents their role as a status signal or unobtainable luxury piece.

trynumber9 1y ago
That's why I choose two cars that are at effectively in the same target market at around the same price from the same time period, from Ford and Ferrari.
- neogodless 1y ago
  That's fine, but maybe missing my point. You're choosing cars (single products) but claiming that businesses are operating in a similar manner. All Ferrari cars are part of how Ferrari operates, while the GT was an exception to how Ford operates.
  - trynumber9 1y ago
    And I don't dispute that. Simply that Ferrari is the Ford of super cars, building in large quantity for that market. And I really doubt the applicability of the luxury approach to software. People will vastly overpay to have a 5% faster automobile because it's a personally-owned status symbol and has racing-pedigree. I don't recommend building a company around a new 5% faster database since it isn't a source of prestige for anyone. For many potential customers it'd barely put a mark in their bottom line. And it might be negative if it compromised in any other aspect to obtain it. Benchmarking isn't a reliable winner-take-all marketing approach like racing-based marketing (and it sure isn't as popular).
    - binary132 1y ago
      let’s do a little thinking about how mobile computers got to costing $2000 and then come back to this subject.

trynumber9 1y ago

That's why I choose two cars that are at effectively in the same target market at around the same price from the same time period, from Ford and Ferrari.

neogodless 1y ago
That's fine, but maybe missing my point. You're choosing cars (single products) but claiming that businesses are operating in a similar manner. All Ferrari cars are part of how Ferrari operates, while the GT was an exception to how Ford operates.
- trynumber9 1y ago
  And I don't dispute that. Simply that Ferrari is the Ford of super cars, building in large quantity for that market. And I really doubt the applicability of the luxury approach to software. People will vastly overpay to have a 5% faster automobile because it's a personally-owned status symbol and has racing-pedigree. I don't recommend building a company around a new 5% faster database since it isn't a source of prestige for anyone. For many potential customers it'd barely put a mark in their bottom line. And it might be negative if it compromised in any other aspect to obtain it. Benchmarking isn't a reliable winner-take-all marketing approach like racing-based marketing (and it sure isn't as popular).
  - binary132 1y ago
    let’s do a little thinking about how mobile computers got to costing $2000 and then come back to this subject.