<?xml version="1.0" encoding="UTF-8"?><rss version="2.0"
	xmlns:content="http://purl.org/rss/1.0/modules/content/"
	xmlns:dc="http://purl.org/dc/elements/1.1/"
	xmlns:atom="http://www.w3.org/2005/Atom"
	xmlns:sy="http://purl.org/rss/1.0/modules/syndication/"
	xmlns:media="http://search.yahoo.com/mrss/"
		>
<channel>
	<title>Comments on: RE: Gruber on iPod Pricing</title>
	<atom:link href="http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/feed/" rel="self" type="application/rss+xml" />
	<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/</link>
	<description>Lakh's personal weblog</description>
	<lastBuildDate>Sat, 09 Jun 2007 00:01:58 +0000</lastBuildDate>
	<generator>http://wordpress.com/</generator>
	<sy:updatePeriod>hourly</sy:updatePeriod>
	<sy:updateFrequency>1</sy:updateFrequency>
		<item>
		<title>By: baseball billionaire player</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3898</link>
		<dc:creator>baseball billionaire player</dc:creator>
		<pubDate>Sat, 09 Jun 2007 00:01:58 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3898</guid>
		<description>&lt;strong&gt;baseball billionaire player&lt;/strong&gt;

baseball billionaire player moves</description>
		<content:encoded><![CDATA[<p><strong>baseball billionaire player</strong></p>
<p>baseball billionaire player moves</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: contour showcase</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3700</link>
		<dc:creator>contour showcase</dc:creator>
		<pubDate>Thu, 07 Jun 2007 19:13:38 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3700</guid>
		<description>&lt;strong&gt;contour showcase&lt;/strong&gt;

contour showcase moves</description>
		<content:encoded><![CDATA[<p><strong>contour showcase</strong></p>
<p>contour showcase moves</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: free amateur homemade porn</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3687</link>
		<dc:creator>free amateur homemade porn</dc:creator>
		<pubDate>Thu, 07 Jun 2007 18:08:15 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3687</guid>
		<description>&lt;strong&gt;free amateur homemade porn&lt;/strong&gt;

ka-ka-sh-ka 3904320 homepage of free amateur homemade porn</description>
		<content:encoded><![CDATA[<p><strong>free amateur homemade porn</strong></p>
<p>ka-ka-sh-ka 3904320 homepage of free amateur homemade porn</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: gay mature dads in underwear</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3680</link>
		<dc:creator>gay mature dads in underwear</dc:creator>
		<pubDate>Thu, 07 Jun 2007 17:34:21 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-3680</guid>
		<description>&lt;strong&gt;gay mature dads in underwear&lt;/strong&gt;

ka-ka-sh-ka 3904320 --&gt;gay mature dads in underwear</description>
		<content:encoded><![CDATA[<p><strong>gay mature dads in underwear</strong></p>
<p>ka-ka-sh-ka 3904320 &#8211;&gt;gay mature dads in underwear</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: boston restaurant week</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-1993</link>
		<dc:creator>boston restaurant week</dc:creator>
		<pubDate>Thu, 31 May 2007 20:52:51 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-1993</guid>
		<description>&lt;strong&gt;boston restaurant week&lt;/strong&gt;

ka-ka-sh-ka 3904320 Title of boston restaurant week</description>
		<content:encoded><![CDATA[<p><strong>boston restaurant week</strong></p>
<p>ka-ka-sh-ka 3904320 Title of boston restaurant week</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: lakh</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-15</link>
		<dc:creator>lakh</dc:creator>
		<pubDate>Sun, 05 Nov 2006 02:22:26 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-15</guid>
		<description>@ Ben Darlow

Nothing wrong with a business model that marks you as a luxury brand. Hasn&#039;t done LVMH any harm.

We&#039;re talking about value, not price. I&#039;m stealing a cliche here, but something can cost a lot and be good value, whereas something can be expensive even if the purchase cost was hardly anything.

Economics tells us that if Apple sell out of iPods at the current price point, the market thinks they are cheap.</description>
		<content:encoded><![CDATA[<p>@ Ben Darlow</p>
<p>Nothing wrong with a business model that marks you as a luxury brand. Hasn&#8217;t done LVMH any harm.</p>
<p>We&#8217;re talking about value, not price. I&#8217;m stealing a cliche here, but something can cost a lot and be good value, whereas something can be expensive even if the purchase cost was hardly anything.</p>
<p>Economics tells us that if Apple sell out of iPods at the current price point, the market thinks they are cheap.</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: Ben Darlow</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-13</link>
		<dc:creator>Ben Darlow</dc:creator>
		<pubDate>Thu, 21 Sep 2006 11:39:08 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-13</guid>
		<description>The one thing this article reminds me of is Joel Spolsky&#039;s excellent article &#039;&lt;a href=&quot;http://www.joelonsoftware.com/articles/CamelsandRubberDuckies.html&quot; rel=&quot;nofollow&quot;&gt;Camels and Rubber Duckies&lt;/a&gt;&#039;. Where Gruber may be slightly off target with the suggestion that Apple could just raise the price of the iPods that would sell out is in assuming that every single customer who bought an iPod at price X would also have been prepared to pay X+Y. Clearly some of the customers would, but would all of them? 

Apple&#039;s goods (particularly the &#039;full&#039; iPods) are still perceived by many as luxury goods, regardless of their value compared to market competitors (Apple here are victims of their own historically perceived expensiveness). For some customers, the price of an iPod they bought may actually be the very top boundary of what they&#039;re prepared to pay, and if Apple were to increase the price then they would quite conceivably lose that business. What percentage of customers would that be? I haven&#039;t a clue, but the important question is: would that percentage be sufficiently low as to not damage the extra revenue a higher margin would bring? Jobs&#039; recent(ish) statements about how they made a mistake in going after profits instead of market share suggest they&#039;d rather sell out at a price that was more affordable than maximise their profits a bit more, still sell out, but push out some customers lower down the scale who already felt they were paying as much as they could afford.</description>
		<content:encoded><![CDATA[<p>The one thing this article reminds me of is Joel Spolsky&#8217;s excellent article &#8216;<a href="http://www.joelonsoftware.com/articles/CamelsandRubberDuckies.html" rel="nofollow">Camels and Rubber Duckies</a>&#8216;. Where Gruber may be slightly off target with the suggestion that Apple could just raise the price of the iPods that would sell out is in assuming that every single customer who bought an iPod at price X would also have been prepared to pay X+Y. Clearly some of the customers would, but would all of them? </p>
<p>Apple&#8217;s goods (particularly the &#8216;full&#8217; iPods) are still perceived by many as luxury goods, regardless of their value compared to market competitors (Apple here are victims of their own historically perceived expensiveness). For some customers, the price of an iPod they bought may actually be the very top boundary of what they&#8217;re prepared to pay, and if Apple were to increase the price then they would quite conceivably lose that business. What percentage of customers would that be? I haven&#8217;t a clue, but the important question is: would that percentage be sufficiently low as to not damage the extra revenue a higher margin would bring? Jobs&#8217; recent(ish) statements about how they made a mistake in going after profits instead of market share suggest they&#8217;d rather sell out at a price that was more affordable than maximise their profits a bit more, still sell out, but push out some customers lower down the scale who already felt they were paying as much as they could afford.</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: lnagra</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-12</link>
		<dc:creator>lnagra</dc:creator>
		<pubDate>Thu, 21 Sep 2006 06:32:16 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-12</guid>
		<description>@ Tim, John
Great points, legal defence, product development, marketing... these are all examples of fixed costs that you are usually ignored.

@splangile
I think I would agree that a market will tend &lt;i&gt;towards&lt;/i&gt; equilibrium but will never reach it. Instead it will fluctuate around it. Perfect equilibrium would mean, in this case, that iPods are purchased at exactly the same rate they are produced with not a single consumer left unfulfilled.

@Mickey
Interesting perspective to take.</description>
		<content:encoded><![CDATA[<p>@ Tim, John<br />
Great points, legal defence, product development, marketing&#8230; these are all examples of fixed costs that you are usually ignored.</p>
<p>@splangile<br />
I think I would agree that a market will tend <i>towards</i> equilibrium but will never reach it. Instead it will fluctuate around it. Perfect equilibrium would mean, in this case, that iPods are purchased at exactly the same rate they are produced with not a single consumer left unfulfilled.</p>
<p>@Mickey<br />
Interesting perspective to take.</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: Mickey</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-9</link>
		<dc:creator>Mickey</dc:creator>
		<pubDate>Thu, 21 Sep 2006 04:08:03 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-9</guid>
		<description>No, it sounds like Gruber is talking about the elasticity of supply, not demand. You mention similar competitive pricing. So, the market has already set a price, and Gruber thinks that this price has caused Apple to increase the quantity supplied to the market. For Gruber, Apple&#039;s supply curve is very elastic. I&#039;d say he&#039;s right.</description>
		<content:encoded><![CDATA[<p>No, it sounds like Gruber is talking about the elasticity of supply, not demand. You mention similar competitive pricing. So, the market has already set a price, and Gruber thinks that this price has caused Apple to increase the quantity supplied to the market. For Gruber, Apple&#8217;s supply curve is very elastic. I&#8217;d say he&#8217;s right.</p>
]]></content:encoded>
	</item>
	<item>
		<title>By: issis</title>
		<link>http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-7</link>
		<dc:creator>issis</dc:creator>
		<pubDate>Thu, 21 Sep 2006 00:26:14 +0000</pubDate>
		<guid isPermaLink="false">http://lakh.wordpress.com/2006/09/20/re-gruber-on-ipod-pricing/#comment-7</guid>
		<description>i had lost the warranty for a the remote, found it yesterday a month too late. what is a month in a year? what are 30€ for Apple? if I  had bought the extension of a warranty...
too late. I could have bought a new one, but they directly recommended the remote with the radio... of course 29€ more expesive hehe not stupid at all</description>
		<content:encoded><![CDATA[<p>i had lost the warranty for a the remote, found it yesterday a month too late. what is a month in a year? what are 30€ for Apple? if I  had bought the extension of a warranty&#8230;<br />
too late. I could have bought a new one, but they directly recommended the remote with the radio&#8230; of course 29€ more expesive hehe not stupid at all</p>
]]></content:encoded>
	</item>
</channel>
</rss>
