Path: utzoo!attcan!uunet!pyrdc!pyrnj!rutgers!apple!claris!drc
From: drc@claris.UUCP (Dennis Cohen)
Newsgroups: comp.sys.mac
Subject: Re: Price Increases Vs Competition
Message-ID: <5376@claris.UUCP>
Date: 15 Sep 88 15:38:58 GMT
References: <3215@tekig4.TEK.COM>
Reply-To: drc@claris.UUCP (Dennis Cohen)
Distribution: na
Organization: Claris Corporation, Mountain View CA
Lines: 21

In article <3215@tekig4.TEK.COM> clarkm@tekig4.TEK.COM (Clark Morgan) writes:
>Finally, let's not lose sight of why Mac prices are so high:  there
>is no Mac clone market.  If your product has no competition and is
>popular, you can charge whatever the market will bear.
>

What then will explain why the price of IBM PC-ATs and, similarly, the
newly announced non-microchannel PS2 Model 30 is so high?  There is surely
an abundance of alternatives in this market, yet IBM's prices are still
right up there among the highest around -- including Apple's prices.
Maybe it just has something to do with the fact that corporate MIS departments
will pay more for the logo because they know it will be around for a
while, whereas CloneOfTheDay might not exist past the weekend.  Note also that
the really entrenched clones, such as Compaq, charge significantly more than
do the other knock-offs.  Whether there is a real or perceived quality
difference is irrelevent, as it exists and is a market force.

Dennis Cohen
Claris Corp.
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Disclaimer:  Any opinions expressed above are _MINE_!