🚀 go-pugleaf

Note followups.

In article <3601dfcb.117330572@news.rmond.mindspring.com>,  </dev/null> wrote:
>>This is patently false.  Firms can and do sell below their VCP on a regular
>>basis. The prime motivator is usually to gain market share.
>
>Two prime examples of this are:
>1)  ISP's, whose variable costs per subscriber are most definitely
>more per month than 19.95 (I know, I've worked at an ISP);

I have also worked at an ISP, and have a number of friends and
aquaintences who have or had their own ISPs.  Selling personal
accounts at $20/mo is not a money loser unless the ISP is very
poorly managed or designed; margainal costs per end user should
be more like $12-15.  I've had any number of people try and
argue to the contrary, but the fact remains that there are many
existence proofs of ISPs which made money and grew at very
healthy rates with that pricing.  This is one of the ba.internet
perenial debates.

>and 2)  Microsoft, who has priced Internet Explorer
>infinitely below VC, i.e., free.

This case, is hard to argue with.


-george william herbert
Retro Aerospace
gherbert@crl.com