Sony's answer to MSFT's price cut this holiday season is:

[Bodhesatva]

MontanaHatchet said:

Sony needs to understand that to most consumers, the actual cost of something is far more important than the value.

 

 

No, no, no, no Montana, this is nonsense. Obvious example: if a Toyota Camry were sold for 500 dollars, what would happen? Answer: The Camry would make up 99% market share within weeks. I don't think that's an exaggeration at all.

Value is a perception. Some products (like the Camry) would sell ridiculous amounts at 500 dollars; others would not (let's say, a normal box of Kleenex).

The problem is that most people do not value a Playstation 3 at 500 dollars. Or 400, apparently.