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@Sandyb wrote, “I know they are ok with transitioning to a “leaner” model, but selling less and less at higher and higher prices is awfully risky.” Can you or someone give me the Econ-101 on this?
Presumably there is a breakover point where less&less&less&less becomes “awfully” risky, but at the beginning of the curve, what makes it risky at all? Ignoring any alleged marketing benefits like “scarcity breeds interest”, “rich people buy B&O”, etc. is there any inherent reason to desire, or fear, same revenue on fewer sales? The weak spot seems to be the assumption that you actually *do* continue to keep revenue the same and it doesn’t gyrate unexpectedly, but I don’t see how that’s any riskier than being in business in the first place?