ceejay Wrote: 
> Remember its a heck of a lot easier to bring a product price down if you
> find you've overshot than it is to put it up if you find you've
> undercooked it.
As a former marketing manager in a company that sold a variety of
consumer electronics products, I can confirm that ceejay is correct. In
fact, the business plan for many such products includes price reductions
over time, anticipating that as volumes rise, production costs will
drop.

The exception to this rule is temporarily lower "introductory pricing",
before the price goes up to the normal level. This primes the system
with an initial slate of orders and ensures cash flow at the outset of
product launch, without creating the appearance of the product being of
lower value. This is exactly what Slim Devices is doing with its
pre-order offer to include a free Squeezebox.


-- 
TiredLegs
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