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twesterm on 16 October 2010
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unknown_soul89 said:
thranx said:
unknown_soul89 said:

So still no actual numbers on how much it sold and ps move still outselling it on amazon, something tells me neither supply nor demand is as wide spread as MS would have us believe 


It hasn't even released yet. As far as I know amazon is sold out of pre orders so no one can buy it there any more. Could be wrong on the amazon part.

how the hell can you be sold out on preorders, preorders are what companies use to judge how many to ship, unless theres serious shortage of them being made I don't see how thats possible, so the sold out is definitely on the supply end of the chain 


Retailers have already committed to buying a certain amount.  If they have more preorders than that amount then they are out.  It's a really simple concept.

The reason they can sell more later is because they can then go to the supplier and ask for more.  If they can get more, then they allow more preorders.  If they can't get more until the next scheduled shipment, then they're simply out until the next scheduled shipment.  Really easy concepts here.

So in Microsofts case, if Amazon commits to buying 300,000, Best Buy commits to 250,000, Gamestop commits to 400,000 and Wal-Mart commits to buying 350,000 (and lets just pretend that's every retailer) then they are only going to make 1.3 million or something really close to that.  They aren't going to make many more because having that extra stock sitting around costs a lot of money.

So preorders are not what companies use to guess how much to ship.  All the retailers have already committed to a certain amount of the product, preorders are there to get you to commit to the retailer and to judge how much more they need to order.