2 ms·
In what year did the first car sell for a net profit?
by jpwagner 17y ago
In what year did the first car sell for a net profit?
- bena 17y agoEvery car that rolled off the line would be sold for more than it cost to make it. Per unit, cars are profitable. And even considering sunk costs like automobile design, management overhead, blah blah blah, every car sold makes the company money. They weren't sold at or under cost to entice people to buy them. Whereas YouTube's bandwidth isn't free and every time they serve a video, they incur a cost that they don't get recompense for. Sure, the automobile industry may not have been immediately profitable in the beginning (because constructing cars is a costly business), but don't confuse per unit profits with overall profits. YouTube had neither for the longest time and is only now dropping ads into videos. You cannot under any circumstances make money giving your product away for free.