Economics Thread

[zitothebrave]

It was just like the iPhone, it was a way to get you to buy into their system.

Their games, their accessories etc.. the phones the cheap part. It’s all the other stuff that’s needed thats the margin maker

You clearly have no clue what you're talking about.

Traditionally non-Nintendo video game manufacturers have sold their consoles at a loss or minimal profit because they make a commission on every game sale and that's where they make their money. And correct Sony would make money selling things like accessories and games. But that has nothing to do with them not wanting to lose more money because of Trump's retarded tariffs.

 

[Tapate50]

You clearly have no clue what you're talking about.

Traditionally non-Nintendo video game manufacturers have sold their consoles at a loss or minimal profit because they make a commission on every game sale and that's where they make their money. And correct Sony would make money selling things like accessories and games. But that has nothing to do with them not wanting to lose more money because of Trump's retarded tariffs.

So I don’t know what I’m talking about but I’m correct ?

Lol

 

[nsacpi]

A lot like railroads. Investors know something big when they see but have trouble calibrating the effects on the bottom line.

 

[zitothebrave]

Pepsi to hike soda concentrate prices by 10%

PepsiCo will raise the price of its carbonated soft drink concentrates by 10% starting September 7, Beverage Digest reported on Wednesday. Sources told the beverage news outlet that finished canned an...

breakingthenews.net

Keep in mind pepsi raising the price on BiBs has no reason to do so other than tariffs effecting them. BiB's are just plastic and cardboard.

Their hope is that they can pass off their tariff price increases from aluminum etc. to other businesses.

 

[zitothebrave]

So I don’t know what I’m talking about but I’m correct ?

Lol

No you said they increased their price because they could.

They're increasing the price so they don't get fleeced.

 

[Tapate50]

No you said they increased their price because they could.

They're increasing the price so they don't get fleeced.

Hahahaha


Yes the company with best ever sales in 24 isn’t figuring out that they could charge more and people would easily fall over themselves to pay it still.

I’m sure some rise in cost is in there but it’s a new baseline for them even if tariffs go away.

 

[zitothebrave]

Hahahaha


Yes the company with best ever sales in 24 isn’t figuring out that they could charge more and people would easily fall over themselves to pay it still.

I’m sure some rise in cost is in there but it’s a new baseline for them even if tariffs go away.

Sony moved more units in 2022 and 2023 than in 2024. 2024 also featured the launch of the PS5 pro which lead to it's strong Q3 push.

So tell me how raising prices on a console that's less popular Q1 2025 (barely over Q1 2024)

 

[chop2chip]

5 year old products, especially tech don’t have 20% price increases. It’s clearly driven by tariffs.

And yea… corporations try to sell their products for the highest possible price. Welcome to capitalism.. it’s a feature not a bug. Been this way for centuries

 

[Tapate50]

So the prices will be Dropped once tariffs are relieved ?

That’s the test or else the new market is set

 

[sturg33]

So the prices will be Dropped once tariffs are relieved ?

That’s the test or else the new market is set

Its a big reason why these retarded tariffs are inflationary.

Its an artificial way for businesses to reset the market. Its the same way with inflation. MAGA is celebrating 2.7% inflation, but thats on top of the massive inflation already occurred

 

[chop2chip]

So the prices will be Dropped once tariffs are relieved ?

That’s the test or else the new market is set

Prices are sticky but it’s possible. Price theory shows companies are willing to lower prices to sell more than competitors / capture market share if they can turn a profit

 

[zitothebrave]

Prices are sticky but it’s possible. Price theory shows companies are willing to lower prices to sell more than competitors / capture market share if they can turn a profit

Sony will probably not drop prices, but if retarded tariffs are removed they likely launch bundles for the same price, so they make profit but at a better perceived value.

This generation is the first time consoles got more expensive mid cycle. It's not because they can do it but because they have to or can. But because they have to because they can't take massive losses. Consumers didn't just get retarded this generation of consoles.