Burek said: Import duties? VAT? Exchange rates? Different supply/demand curves? Less competition? Less consumers? Larger profit margins? Haven't watched the video, though :) |
Import duties - The U.K has a freer (slightly) trade market than the U.S.
VAT, how does the VAT compare to U.S sales taxes?
Exchange rates - I don't see how this should affect things, the GBP has been far more stable of a currency than the USD and therefore companies are able to predict exchange rates better.
Less competition? Possibly.
Fewer consumers? Possibly.
Larger Profit margins? Possibly.
Different supply/demand curves (with different elasticities) - I think this is the culprit. Of course it is hard to predict since video games are nowhere near perfect competition.