Xantar |
04-22-2002 09:14 PM |
You know, companies like Nintendo have marketing departments. Now, the job of these marketing departments (aside from designing advertisements) is to gauge public reaction to things. How many people would buy at this price? What about this somewhat lower price? They are pretty good at it, too.
Nintendo's marketing has apparently decided that the GameCube will sell better if it's a certain amount of money cheaper than the Xbox, perhaps because otherwise Microsoft can start claiming "Sure, it's $50 more (or whatever), but you get a DVD player, broadband connection, hard drive and a CD player out of the box."
And Nintendo's marketing has apparently decided that the increase in sales that is likely to come from dropping the price of the GameCube is going to make up for incidental losses from selling below cost.
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