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> If everyone has a level playing field from an information access perspective, you cease to have functioning markets of exchange. The essential point of busine
by davemel37 11y ago
> If everyone has a level playing field from an information access perspective, you cease to have functioning markets of exchange. The essential point of business is information arbitrage...
This is a brilliant insight!
Still, we are in a sufficiently connected world that the balance is shifting from businesses having the higher value information about the cost to deliver a service and the consumer having immediate access to information about competitors and the relative value being offered. The cost of that information for consumers is diminishing and creating new market opportunities (i.e. an uber driver knowing where to go to find a paying customer...which greatly expanded the actual market size.)
All this is to say... That while businesses thrive on information assymetry, those that can find a way to even the playing field will expand markets and create much bigger opportunity than those that try to sell the information for ads or subscriptions.
The users post is a clear monetization path for soundcloud. Sell the downloads and own a piece of the transaction... Like uber does and like Google is trying to do with their buy buttons and comparison ads.
- josh2600 11y agoWould you say that Uber is less or more information asymmetric than the taxi companies?