BD vs DVD -- Is it a lie to present market share in terms of revenue?

[prlatino86]

Revenue can be relevant. Even if the price of item A is more expensive them item B. Its econ 101 in a sense. Example:

2 Products are competing. Product A is more Expensive, thus sells less then product B. If the perceived value and superiority of product A is high enough, its quite possible that even though it sells less units in comparison, that one can have a higher revenue (and possibility profit) over product B.

Generally, (I SAY GENERALLY, i know someone is going to be like "look at the Wii") higher priced items tend to have larger profit margins, mainly because when you get into higher numbers, its easier to add a few bucks with out a big deal. Ever wonder why when new Blu Rays come out, some stores for the first week well sell them for like 25 bucks, before raising them to 35 dollars? But do you ever see DVDs doing such a price drop now a days?

So the idea is that if the number of units product A sells, multiplied by the price, is greater then the value of number of units product B sells multiplied by its price, then in the end, what can be misleading isnt necessarily the revenue numbers, but using sales numbers to compare the general success of a product.

Granted, the economy is more complicated than this, but this is somewhat of an explanation of why revenue could be important.