4 ms·
People seem to be thinking of "affording" as merely a property of having more cash. It is more than that, it is about the potential RETURN on the investment. Th
by cortesoft 2mo ago
People seem to be thinking of "affording" as merely a property of having more cash. It is more than that, it is about the potential RETURN on the investment. The businesses that can 'afford' to pay more are the ones who are going to put the chips to the most valuable use (at least in the macro sense). A company might have plenty of money, but won't pay above a certain amount for the chips because the business case they are using them for is not valuable enough.
Raising prices is a way to filter for most valuable use.