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[Geekosystem] Australia Finally Investigating Its Absurdly High Software Prices - Page 3

post #21 of 83
^ what he said.
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post #22 of 83
Quote:
Originally Posted by mott555 View Post

They charge that much because people are willing to pay it. That's free market. If it was a problem, people would quit buying and companies would be forced to drop prices to make sales.
Government regulations rarely simplify or make anything better. For example, in the U.S. gas stations are highly regulated on fuel prices. As a result, gas stations can't legally make more than a few cents per gallon profit, meaning there is very little profit in selling fuel. Most got around it by also being convenience stores and trying to get people to come inside and pay $1.50 on a 32-oz pop that costs maybe 10 cents (no one complains about price gouging there!), but due to regulation several gas stations in my area actually quit selling fuel because of the hassle and only do groceries and such. One gas station actually had to totally shut down because they couldn't even survive on that.
Assuming the government has your best interest in mind is as big a mistake as assuming for-profit companies have your best interest in mind.

Australia already regulates games with the rating system. It is kind of the same reason why American 5 year olds cannot buy porn.
post #23 of 83
Wow, I didn't know digital distr. games had higher pricetags. Hope the Australian Govt. does something about it. All it does is encourage piracy atm.


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post #24 of 83
Quote:
Originally Posted by Riou View Post

Quote:
Originally Posted by mott555 View Post

They charge that much because people are willing to pay it. That's free market. If it was a problem, people would quit buying and companies would be forced to drop prices to make sales.
Government regulations rarely simplify or make anything better. For example, in the U.S. gas stations are highly regulated on fuel prices. As a result, gas stations can't legally make more than a few cents per gallon profit, meaning there is very little profit in selling fuel. Most got around it by also being convenience stores and trying to get people to come inside and pay $1.50 on a 32-oz pop that costs maybe 10 cents (no one complains about price gouging there!), but due to regulation several gas stations in my area actually quit selling fuel because of the hassle and only do groceries and such. One gas station actually had to totally shut down because they couldn't even survive on that.
Assuming the government has your best interest in mind is as big a mistake as assuming for-profit companies have your best interest in mind.

Australia already regulates games with the rating system. It is kind of the same reason why American 5 year olds cannot buy porn.

I'm not sure what that has to do with price regulations.
post #25 of 83
Games good what about hardware the pricing on this stuff is even worse yay $750 gtx 680's
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post #26 of 83
Thank goodness... this is well overdue.
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post #27 of 83
Quote:
Originally Posted by mott555 View Post

It's a scary day when governments start thinking they decide how much companies charge for their products. That is not how a free market works.
Quote:
Originally Posted by mott555 View Post

They charge that much because people are willing to pay it. That's free market. If it was a problem, people would quit buying and companies would be forced to drop prices to make sales.
Government regulations rarely simplify or make anything better. For example, in the U.S. gas stations are highly regulated on fuel prices. As a result, gas stations can't legally make more than a few cents per gallon profit, meaning there is very little profit in selling fuel. Most got around it by also being convenience stores and trying to get people to come inside and pay $1.50 on a 32-oz pop that costs maybe 10 cents (no one complains about price gouging there!), but due to regulation several gas stations in my area actually quit selling fuel because of the hassle and only do groceries and such. One gas station actually had to totally shut down because they couldn't even survive on that.
Assuming the government has your best interest in mind is as big a mistake as assuming for-profit companies have your best interest in mind.

Just because people pay for it doesn't mean that such sort of business model is right. The fact of the matter is that when an industry is that much expensive than its counter part in the other side of the world, there needs to be an explanation...and offer/demand clearly ain't, because licenses to sell software are, at least here, hard to come by, which means that you will have very few players...but they will be very big.

So, the GVT needs to make sure that everybody is playing fair. If everybody has high prices it means that they are all price-fixing (and thus, eliminating competition...which is anti-capitalism), and thus screwing the system.

Thats why markets need to be regulated, because if they aren't the big players get away with everything the small ones have. History has been proven this point to be totally correct. There is a very funny slogan "too big to fail"...
Quote:
Originally Posted by AgentHydra View Post

By definition a free market has no government regulation. In a truly free market, in the case of price fixing, an enterprising third party would step in to provide the same product at a much lower price, undercutting all the other companies. A truly free market effectively self-regulates prices, although it presupposes that buyers are educated and will not buy something if its too expensive, which is not always the case.
Sounds like self-regulation is already at work.

Truly free markets don't exist. Right now, markets are totally screwed up, since small business go to hell and nobody cares, but when the big ones do the gvt. step in and bails them out. Its not fair-play whatsoever, and its even worse when you see sinking companies get rescued only to have a ton of money give to its directors (who are the ones who sinked the company in the first play). I'd change those huge "compensations" they get when they ruin their companies...for a good rope and a tall tree so that at least we could have some entertainment.

---

Lets be honest here, the markets work for those who are already powerful. Too much regulation is bad, but so is not having regulation at all. In Spain the software market is SO expensive you wouldn't believe...and thus why many of us buy nothing inside, and get everything from the UK (amazon, play.com, you name it). Reasons? Every single game sold in Spain has not more than 2 distributors...which means that the chance that somebody new steps in and starts selling the same products is 0 and, thus, the market is just screwed up...
Edited by prava - 5/1/12 at 8:16am
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post #28 of 83
Quote:
Originally Posted by mott555 View Post

They charge that much because people are willing to pay it. That's free market. If it was a problem, people would quit buying and companies would be forced to drop prices to make sales.
Government regulations rarely simplify or make anything better. For example, in the U.S. gas stations are highly regulated on fuel prices. As a result, gas stations can't legally make more than a few cents per gallon profit, meaning there is very little profit in selling fuel. Most got around it by also being convenience stores and trying to get people to come inside and pay $1.50 on a 32-oz pop that costs maybe 10 cents (no one complains about price gouging there!), but due to regulation several gas stations in my area actually quit selling fuel because of the hassle and only do groceries and such. One gas station actually had to totally shut down because they couldn't even survive on that.
Assuming the government has your best interest in mind is as big a mistake as assuming for-profit companies have your best interest in mind.

That's because those petrol stations aren't the only place to buy pop. IF you could only buy pop at $1.30 even though it costs 10c to buy then there'd be an investigation.

If you're going to preach anti government regulation and free-market, learn about how ti works first.
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post #29 of 83
Quote:
Originally Posted by Kleingetier View Post

This is not completely true. The most games I see there are priced at 50$ and 30£, about right.
But there is no doubt that there are pretty unfair prices on Steam, for me as European this is even worse, paying in Euros.
We usually get to pay the dollar price in Euro, thats 25% more than the US price.
The gifting part is probably not right, though. I regularly get games with the help of people from other countries, some games from Canada, some from the UK or some from Ukraine.
There are always workarounds to the unfair pricing and I think that Australians use them regularly so the state loses enough tax money to realize so they act now.
I thought they'd hit down on the gifting. That's good to know. But I'll say this that the games are only £30 because of sales run by the stores to get people in to buy them. There's still a lot of £40-£50 PS3/360 games. Then there's hardware also and pretty much just about everything :/
Quote:
Originally Posted by AgentHydra View Post

By definition a free market has no government regulation. In a truly free market, in the case of price fixing, an enterprising third party would step in to provide the same product at a much lower price, undercutting all the other companies. A truly free market effectively self-regulates prices, although it presupposes that buyers are educated and will not buy something if its too expensive, which is not always the case.
Sounds like self-regulation is already at work.

Yeah, free-markets don't work, though, because companies can't be trusted not to band together and create cartels. Market regulation is nothing but a good thing for the consumer.
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post #30 of 83
Australia may have expensive software, but you do have 4-door Ford Rangers down there. They don't sell them in the US. frown.gif
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