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Re: does anyone have list price of 1.2 gig drive handy?



> "        What does historical prices have to do with IBM's *current*
> pricing on this drive being so *far* out of whack with the current
> market?"
> 
> You have not given a shred of evidence that this is "out of whack" with
> the current market. That would be hard to do, as IBM is leading this
> market technologically, so right now, there are no comparison points.

	Did someone not already point out that IBM was providing these
drives to OEM's for resale/inclusion in their machines at the low price
of $800 or so?

	Robert, does this or does this not tell you something?  Quantity
discounts aside, this should tell you that IBM can sell these things at
a *lot* lower price and still make money.  Now I don't expect the
consumer to get OEM prices, but paying well in excess of 2x as much
as the OEM does is a pretty nifty trick.

	From a pricing point of view--and I'm speaking this only from
my education and experience--it appears to me that priced it at a point
where they could maximize their dollar--maybe.  I personally think they
could do better by pricing it lower and selling more of them.  *But*--
maybe they can't make enough and this is their way of controlling demand.

	There are many reasons for pricing--perceived value being the best
method.  But all you get with that one is the suckers (or the desparate).
Their money is as good as anyone else's, so I see no reason not to take
it.  I just consider the extent that IBM has taken it in this instance
to be a bit insulting to its customers.  The OEM pricing shows it certainly
isn't necessary.  This is the "old" IBM resurfacing.  They can't afford
to keep doing that regularly.

> you may say, well I don't want a small disk if its that expensive. Fine,
> that's up to you, but lots of us need the maximum disk space on a notebok
> and are willing to pay the price, which is good, since it provides the
> funding to keep this technology marching forward. Personally, if there
> were a 3 gigi 2.5" disk at $3000 or so, I would order it immediately.

	And I quite thank you for providing the funding to finance
the cutting technology which I will later buy much cheaper.  ;)

-----                                          ____________________________
Randy Whittle    whittle@usc.edu               |    Making South-Central  |
USC Graduate School of Business (Fight on 'SC!)|  L.A. a better place by  |
-Counselor, USC Business Expansion Network     | helping small businesses |
                                               |      help themselves.    |
                                               ----------------------------