Aprisaiden said:
Retail mark-up is usually $5 to $10 for consoles, maybe a little more if the retailer dosn't want to stock a certain product (eg. i think PSP Go had $30 retail mark-up). This is because the retailers make there money on selling games and accessories which have much higher mark-ups. |
Correct.
The business model is called THE RAZOR BLADE BUSINESS MODEL.
I notice that Most people that like to talk "consoles", they seem to not know or understand how it works or pertains to the consoles themselves.