3 ms·
So exactly what’s the difference between “predatory pricing” and pricing to gain customers and market share? Should Sony have to sell the first PlayStation off
by raw_anon_1111 8mo ago
So exactly what’s the difference between “predatory pricing” and pricing to gain customers and market share? Should Sony have to sell the first PlayStation off the line at $2000 (making up a number) so it can sell it at a marginal profit from day one or should it sell it below cost knowing that that over its lifetime if it stays at that price, it will both gain customers and sell at a profit in year 4 as the price of technology comes down and it gets economies of scale?
- tovej 8mo agoThe EU uses an effects-based model. If below-cost prices are driving other actors out of business or has other anti-competitive effects, it is predatory pricing.
- raw_anon_1111 8mo agoReason #1642 that the technology industry in the EU sucks…
- tovej 8mo agoThis is not it. This is reason #1 that the tech industry in the US is so dystopian.
- raw_anon_1111 8mo agoI’m sure that developers who work for boring old enterprises who make twice as much their EU counterparts would disagree. Let alone those working at BigTech and adjacent.