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Software prices.
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this post was submitted on 23 Oct 2024
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There was another thread recently about what happened in your life that made you no longer feel like a child. I think for me one of those things was realizing that the price of things has very little to do at all with the cost of creating that thing.
Price = Cost of Materials + (Middle Man + Middle Man + Middle Man + Middle Man + Middle Man + Middle Man) + Cost of Labor.
It's Econ 101
Nah, the cost of labor + materials + distribution is the minimum price of an item. The actual price in practice will be that price + whatever the manufacturer can get away with charging.
What determines the premium they can get away with is whether or not alternative goods exist and whether or not the consumers are informed of them, motivated to seek them out, and capable of making the switch.
In this case, the manufacturer is a middle man