Lingyis on 07 June 2007
i've read that forbes article before, but the % representation which leads to publisher's profit is obviously wrong--design, development and programming are fixed costs.
the $12 retailer's profit, $7 royalties, $3 packing are marginal costs, which is what i'm looking for, so they add add to $22. distribution is probably primarily a marginal cost, so add $1, brings to $23, with $37 left.
i have read that licensing fees are generally a fixed cost, though it varies from case to case. i'm not sure about marketing, advertising and the likes. store placement might be a marginal cost, i dunno.
estimating $4 for those marginal costs, brings us to $33. which is 55%. i guess that would be a figure to go by.
the Wii is an epidemic.
