>> Because people WANT a Mac. How does BMW get away with charging a price
>> premium when they only have a 5% market share. People will pay the price
>> because they want the item.
>>
>I wouldn't go there ... BMW's are infamous "hangar queens." Having worked in
>more than one group with several BMW owners, I've often driven people to the
>shop in my Maxima. One time I noted that every BMW needed a day in the shop
>every week. While I'm sure that was the exception rather than the rule, I'm
>sure I'll never covet one of the things.
Yes, but you are just re-inforcing my point. Sure YOU might never want
one... but despite the fact that they may be built like crap (I can't say
personally, but your experience seems to imply they might be), people
will STILL buy them. BMW is no where near worried they will go out of
business due to lack of sales. People will buy them, and they will pay
the higher price for them, and they will take all the good and bad that
comes with them, and do it with a smile... because they WANT one.
If BMW doesn't suit your fancy as an example, replace it with any small
market share high priced vehicle. Like maybe the Lotus, or Lambrogini, or
Ferrari.... or for more mainstream, the Jaguar. People aren't buying
these cars because they need them, they are buying them because they WANT
them.
That is what is going on in the Mac world for most of Apple's sales. They
are sold for no other reason than people want one. It might be because
they prefer the Mac, it might be because they think they look cool, it
might be because they hate MS... for most of the sales... it is simply
bought out of desire, NOT out of neccessity. Once you have an audience
that buys from desire, you can safely raise your prices to the highest
point that audience will bear.
And for the most part... this is perfectly fine with Jobs... he isn't
interested in ruling the PC world, he is interested in making stuff
people desire. He WANTS to be the BMW or Jaguar of the computer world.
MS, Dell, Gateway, et al can be the Ford or Chevy, let them deal with
having the bulk of the sales churning out the same old tired but reliable
designs at cut throat prices.
-chris
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Received on Thu May 02 2002 - 08:15:30 BST