Re:The Ultimate Guide to Inflation
by chupchap on Monday May 10, 2021 @01:31AM
(#27103036)
> The marginal cost for a new subscriber is practically zero, so there should be no price increase caused by a shortage.
This is true in a vacuum. With a bigger customer base a company will need to invest more in support. Also, in the case of Netflix, they need to invest more in sourcing content to cater to the now increasingly varied demands of their customers or else they'll lose them to competition who might also be offering their products at the same rate.
This is true in a vacuum. With a bigger customer base a company will need to invest more in support. Also, in the case of Netflix, they need to invest more in sourcing content to cater to the now increasingly varied demands of their customers or else they'll lose them to competition who might also be offering their products at the same rate.