Thread 712377093 - /v/ [Archived: 1121 hours ago]

Anonymous
6/12/2025, 12:29:12 AM No.712377093
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1724033759381590
md5: 18fbdabd4d3f9bcddd37ad102322daee🔍
Why don't game consoles go down in price any more even though they make more money than ever?
Replies: >>712377240 >>712377942 >>712378731 >>712380414
Anonymous
6/12/2025, 12:30:47 AM No.712377240
>>712377093 (OP)
>they make more money than ever
This is why.
Anonymous
6/12/2025, 12:35:00 AM No.712377590
I think shareholders are happier when you use profits to benefit them rather than consumers (in the form of price drops). Of course, a well-managed company will convince shareholders that sometimes reducing the potential profit per unit a little, but in return increasing the consumer and fan base to support you, is a good thing, but this idea doesn't even seem to cross the minds of modern CEOs. And some companies like Nintendo are kind of right not to do this when consumers are more than happy to pay more over time rather than the opposite.
Anonymous
6/12/2025, 12:38:54 AM No.712377942
>>712377093 (OP)
one company makes 90% of the chips in the world. Everything in the world has to be "smart" now and have a chip in it. Which means that consoles are competing with toasters for the same production slots which raises prices due to insanely high demand.
Anonymous
6/12/2025, 12:47:32 AM No.712378731
1716955610039361
1716955610039361
md5: 2a620fd75f4923840a742fb8cb1e1e5c🔍
>>712377093 (OP)
No reason to when it's been proven that people will buy it even with an increased price. Every major console creator has established their fan base. It's locked in. Well actually I don't know about Xbox, that one's weird, but the other two for sure have impossible to lose fanbases.

Sony just spent like 2 years upping prices on everything and nobody gave a fuck. Nintendo has $80 games now and nobody gives a fuck.
Anonymous
6/12/2025, 1:08:01 AM No.712380414
>>712377093 (OP)
In any business, you lower the retail price of a product to encourage more sales. You'd be dumb, and probably fired, if you dropped prices but the additional amount of units sold doesn't make up for reduced profit per unit. You have to remember that by the date in that picture, it was clear the GameCube was going to lose that generation, and the Dreamcast was discontinued barely a year prior. The goal getting a lot more of the console into people's living rooms, even if it meant sharply cutting into their profit margin, meant more of an install base to convince 3rd-parties to release more games for the system (from which Nintendo collected licensing fees).