Before choosing and commenting, I want you all to know that this question is based on hypothetical price cuts for the PS3 in 2009. Let's say Sony decides to cut the price of the PS3 (base model) by $100 by the end of 2009, how would you guys plan the price cut(s) if you were in charge.

• Choice A.

A $100 price cut on March (or sometime during Spring) of 09.

• Choice B.

A $50 price cut on March (or sometime during Spring) of 09, and another $50 price cut close to the holiday season of 09.

• Choice C.

A $100 price cut during (or shortly before) the holiday season of 09.

• Choice D.

Some other time in 2009.

Which of these options would have the largest and best impact regarding total hardware sales?

note: These choices are based on the competetion keeping their prices and models unchanged for the entire year.

I'd say the most logical answer is choice B. 

The sooner the better. Just look at the horrible sales it's having right now compared to the 360.

Choice A

Sony will get a hit at first but will profit later

I'd take B as it would put less hurt on their wallets during the slower sales seasons and improve their sales considerably during the holiday.

Definitely B

Keeps them going through the summer months with solid sales, and gives them another boost just in time for the holidays.

From those, choice B sounds more likely and best.

Choice A in my opinion, sure it would hurt them, but it would get them market share.

Choice B and C are equal to me.

B gives more units sold.

C gives Sony a chance to eat into that 3Billion dollar red ink.

Choice B

Come on - this is kind of a silly question. The larger price decrease and the earlier the more impact on the sale Sony will get.

Dropping the price by $50 will achieve very little. It will still be $199 vs $350. Huge difference. The only way to make an impact is to drop the price by $100.

Of course, that will translate to $1B of lost revenue, which in turn will translate to 30,000 employess fired to make up for the lost, but I guess it is not what you asked.