bananaking21 said:
MakeAmazing said: Lets be honest Pachter is great, he gets such a hard time from gamers. He got the Wii-HD should be out now (2 years ago) totally right.. everyone laughed at him. In terms of PS3 some people are forgetting basic business practice... the money you lose from cutting the price will be negated by increased sales. Sony have already been profiting from the latest PS3 slim, its cheaper than the previous version to make, so the margin they are making is actually higher than it was before it came out. If by reducing the price, they are still making a profit but have the chance of selling more units and will sell more software/accessories. Of course cutting the price of a product doesnt always help increase sales, but they will still be making a profit from it. That doesnt mean i agree there will be a PS3 price cut this week, just that if Sony feel they need to this year to improve the sales of the PS3, then they have it as an option, its going to happen sometime this year, its just a case of when. I will say their PR has been amazing this last two weeks and its all Sony in the gaming news at the moment... perhaps they want that good news to continue... |
but will the extra sales really make up for the lost 50 bucks of profit for each console?. with the new super slim im expecting they are profiting quite a lot of it, why would they go and heavily decrease that great profit margin? and yes there PR have been amazing 
i would say pachter a lot of times makes sense, though a lot of those time he is just stating the obvious. but gamers like to hate and troll on him (he is funny to troll of) including me too lol. but a lot of times he is just talking bullshit.
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Well, you have to think of it this way. The loss of $50 in profit is a one time deal that comes with the initial purchase of the console. However, they will more than make up for it with SW and controller sales from that customer in the coming years. So, more HW sales, even at a lower profit, will bring in larger profit in the end.