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Re[3]: [OM] OLY PRICE INCREASES!

Subject: Re[3]: [OM] OLY PRICE INCREASES!
From: "Bruce Appelbaum" <Bruce_Appelbaum@xxxxxxxxxxxxxxx>
Date: Sat, 07 Mar 1998 14:37 -0500
     Denton
     
     Let's get real here -- the OMs are boutique cameras.  There is limited 
     demand and therefore limited production.  If Oly reduced the price, 
     there would likely be little additional demand.  Pros and amateurs are 
     looking for all the bells and whistles, more flashing LEDs/LCDs than a 
     pinball machine, multiaveraging autofocus, and low yield nuclear 
     devices.  Cameras that go on vacation and take the pictures for you, 
     while you stay home
     
     Your examples below don't really prove your point -- just go out and 
     try to buy a Model T or a Betamax VCR.
     
     By the way, I bought my OM4T body in 1987 for $400.  
     
     Bruce Appelbaum
     ----------------------------------
     
Yeah, I'm familiar with this BUT...   It is unlikely (for example) that OMs 
are made on the same line as Styluses. Carl's point is valid. Is it better 
to REDUCE the price of OMs so that Olympus can make bigger batches, or is 
it better to INCREASE the price which will result in SMALLER batches?
     
As you suggest, SMALLER batches = higher cost per unit. LOWER selling 
prices per unit = higher sales and lower cost per unit.
     
This has been borne out thru the history of industrial production, from 
Model Ts thru VCRs.
     
     
Regards,
Denton Taylor
     
....................................................... 
photogallery at www.dentontaylor.com

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