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From: boomsma@ark.UUCP (Raoul Boomsma)
Newsgroups: net.micro.amiga,net.micro.atari
Subject: Re: New Atari Toy Computer
Message-ID: <635@ark.UUCP>
Date: Wed, 15-Jan-86 10:14:12 EST
Article-I.D.: ark.635
Posted: Wed Jan 15 10:14:12 1986
Date-Received: Fri, 17-Jan-86 06:44:02 EST
References: <37@sbcs.UUCP> <402@tekig5.UUCP> <1302@sdcsvax.UUCP>
Reply-To: boomsma@ark.UUCP (Raoul Boomsma)
Distribution: net
Organization: VU Informatica, Amsterdam
Lines: 37
Xref: watmath net.micro.amiga:1567 net.micro.atari:2383

In article <1302@sdcsvax.UUCP> cs195@sdcsvax.UUCP (EECS 195) writes:
>
>Companies that don't get into price wars will stay around alot longer.
>Remember, a computer is not a commodity.  Software, service, support
>the manufacture's financial situation, and advertising are far more 
>important than price, particularly to businesses. 
>(the amiga *is* a business machine and would lose that market if it's 
>price was lowered too much.)
>
>Most people don't understand market positioning.  They think that "you
>get what you pay for".  And if machine A costs more, it must be better.
>As long as the amiga keeps a unique market position, it will have NO
>problem, regardless of what Atari or Apple does.
>

This is a really interesting theory. This guy says that as long as
the prices of the Atari and other companies are kept low, the
Amiga keeps a unique market position, which the others cannot
threat. So the only thing Atari has to do, is to raise the
price of their ST, to start the competition with the Amiga.

This is the most ridiculous marketing theory I ever heard. Of
course, the Amiga is more a business machine than the Atari, but
do you really think business people would buy a computer because
of it's higher price? If you think so, Commodore must have terrible
fears for Apple, 'cause the price of the Mac is about twice as
high as the Amiga and is even much more developed as a business
machine.

I think you must read some more books about 'Price and Quality' and
'Customers Behavior' before saying such heavy statements.
-- 

	Raoul Boomsma
	Vrije Universiteit
	Amsterdam
	...!mcvax!boomsma@ark.UUCP