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[News.com.au] Tech giants to Aussies: Screw you - Page 4  

post #31 of 82
glad the us soldiers are stationed here apart from the social priblems thet help the local economy and that ever present risk of invasion from various asian neighbours is somewhat reduced. sorry for being OT
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post #32 of 82
Quote:
Originally Posted by svenge View Post

Having high prices is legal, copyright infringement isn't. I don't see any logical contradictions with their reasoning.

It may be legal (thanks to our great government), but it's not ethical. These ridiculously high prices would definitely contribute to people's decision to download. They want to reduce piracy? Lower prices. It worked for the music industry! They're just too greedy. Saying people should "vote with their wallets" when you know your product has no direct competition is basically an invitation for people to find alternate means to acquire the product (ie piracy).
post #33 of 82
Quote:
Originally Posted by 8800GT View Post

That is the exact reason they do it. You literally just admitted that although you don't like the prices, you NEED the product. They have the power. And considering the fact Australia isn't a huge market, they could suffer the losses of a few discerned costumer. Or obtain their software in a slightly less morally respectable way...

And to further the argument, Australians are paid a lot more so it make sense that they should get charged higher. Think of it as a tax. I'm not defending it but seriously, when you're a student making 15$ an hour in Australia it's a lot easier to swallow a 300$ product than a student in the U.S doing the same job for 8$ an hour.


It has already been said......Yes we have a higher income in general...but the cost of living in AUS is many times more expensive than the US....

So in a nut shell, US has a higher disposable income, so in that it's you that can afford to soak up the premium not us in the AU...
post #34 of 82
Quote:
Originally Posted by 8800GT View Post


And to further the argument, Australians are paid a lot more so it make sense that they should get charged higher. Think of it as a tax. I'm not defending it but seriously, when you're a student making 15$ an hour in Australia it's a lot easier to swallow a 300$ product than a student in the U.S doing the same job for 8$ an hour.

Brings me back to a point I mentioned earlier. The US has a higher EXPENDABLE income than Australian's. Disposable income is basically your net income - necessities (housing, food, water, power, petrol etc.).

Yes, I'm a student and I make $19.75 an hour working at a supermarket, in the US I would likely get a measly $8-$10(?). However I live in Australia, I pay AUSTRALIAN prices for EVERYTHING. If I was making Australian wages in the US, then yes, I would be living a much higher standard life than someone on $8-$10 an hour. However I don't. I live in a city where 1 litre of petrol (91 RON) costs $1.65. In the US for 91 RON fuel you pay almost exactly $1.00 per litre. When I'm filling up 50 litres per week, thats $32.50 price difference in fuel alone. I live in a city where the median house price is $1.65mil and a small apartment/condo has a median price of $400k. For $400k in the US I can get a pretty decent 3 bedroom house in a nice suburb. Here, I'm looking at $1m+ for a nice suburb and about $600k for a crap suburb with high crime rate etc.

Then lets add water, food, electricity on top of that.

Seriously mate, you guys in the US have it easy. Do you know how sad it is that no matter how much I love this country, I will pretty much never own a house here? I will always be paying off a mortgage or renting. The chances of me ever paying off that amount of money, incredibly unlikely.
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post #35 of 82
Quote:
Originally Posted by zinfinion View Post

Econ 101: Charge what the market will bear.

Not saying it's a cool move, but eh, corporations.

Supply and demand.
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post #36 of 82
As mentioned, when your in a monopoly or duopoly, you can't stop buying their products. You are forced to pay what they charge. As mentioned, both MS and Apple are under investigation here, MS has roughly a 90% market share of the desktop OS market, Apple has about 8% with linux and others accounting for 2%. So basically, 98% of the market is controlled by 2 companies, both of which are under investigation here. So doesn't really seem like the market is dictating prices at all. Seems to me that the duopoly are dictating prices and force consumers between a rock and a hard place.

Linux is not user friendly enough for mass market roll-out, so its an impractical solution. So the only option is to force MS and Apple to bring their prices in line with what the market will genuinely bear, which is not what is currently being charged. We can accept a markup, its only natural. We're a massive island in the middle of nowhere, freight does cost money but it should be within the realm of reasonable. But when we are talking about digital software which is downloaded from US based servers, just as someone in the US does, there is no excuse for paying any extra with the exception of any applicable taxes.

As another example to make my point clear; if I develop a new piece of software that becomes essential for the use of an ecosystem (ie. You need an OS to use a PC), then 1 other competitor comes along with a competing product. We keep the prices high because no matter what the consumer does, they only have 2 choices. If both are priced highly, is that what the market will bear? or is that just me and my competitor realising that people have no other options and we just want to bleed their wallets as much as we can so we can pocket some fat pay cheques and give ourselves a nice bonus at the end of the year for taking advantage of consumers for yet another year?

Seems to me like the latter is the case. As the market never had a chance to dictate prices. This isn't like copper ore where prices fluctuate on a daily basis based on what the supply/demand is. We are talking about software that is only offered by 2 companies who control ~98% of the market for an ESSENTIAL piece of software. Regardless of whether the supply was high and the demand low, the prices would still be high because they know they can take advantage of consumers because in order to use a PC you require an operating system. We live in a world where we rely on computers each and every single day. Heck, next semester I will be studying online at my university and have the entire course online. I REQUIRE a copy of Windows or Mac OSX in order to be able to do that. So I have no choice but to either torrent the software, which is illegal, or to pay through the arse for it because they know I require that software in order to be able to do my daily tasks.

So the market never determined the prices, the accountants and number crunchers got together and decided to bleed people dry for an essential piece of software. Its as simple as that.

Its just like in the Czech Republic when food became a higher valued commodity than money because there was a food shortage. Food vendors would sell food at exorbitant prices because people need food, they had it, and could charge what they liked. The market didn't dictate those prices, if it did, they would have been MUCH MUCH cheaper seeing as the general populous had absolutely no ability to pay that much money. But what do you do? You need food. You can either pay the high prices and be even more financially deprived, or you can steal it, which is illegal. No market forces at work there.
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post #37 of 82
Quote:
Originally Posted by Vengeance47 View Post

snip

While price is dictated by both the seller and the buyer in a free market, in a duopoly that essentially amounts to a hostage situation the buyer has no real price power. In regards to Microsoft and Apple, if both initially price high and the market buys the product anyway, neither seller has an incentive to price lower, especially if they know there is inertia that prevents a lower price from leading to greater market share (seriously, how many big corporations would switch out everything to Apple even if it were half the price?). They have reached Nash equilibrium, meaning neither Microsoft nor Apple can do better by unilaterally changing their strategy. It isn't until you get a larger number of sellers that it becomes a race to the bottom within each target market. So yes, buy purchasing the software at the current exorbitant prices, the market is bearing the price. Grudgingly, and at gunpoint basically, but still bearing it.

If I learned anything in my business classes, it was how to stick it to the little guy while still pretending to be his friend. And the other half I slept through.
Edited by zinfinion - 3/21/13 at 10:52pm
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post #38 of 82
Quote:
Originally Posted by Vengeance47 View Post

snip.

Ummmm you have the same duopoly/monopoly we have. You act as if we have a whole lot more choices between Apple and Microsoft ourselves (calm down linux kids you aren't selling anything)
 
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post #39 of 82
Quote:
Originally Posted by Darkpriest667 View Post

Ummmm you have the same duopoly/monopoly we have. You act as if we have a whole lot more choices between Apple and Microsoft ourselves...

When you put it that way, we could technically declare that their prices are exorbitant everywhere they sell, just some places more so than others.
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post #40 of 82
Quote:
Originally Posted by Psywolf View Post

Yep thats true and since everyone's doing it there's no real way to fight back.
If MS, Adobe and Apple are going to tell us aussies to get screwed, then us Aussies need to lobby the federal gov to make changes to gov procurement legislation to legislate that OpenSource software must be used, where available equivalent exists, by all Gov Depts in AU.

While MS, Adobe and Apple (and others) think they can screw general aussie consumers all they like, the AU Gov spends well over a hundred million each year in license and service fees for MS, Adobe and Apple products - so continue to screw aussie consumers at your peril, because eventually a future AU fed gov will be taken to task to make a change to legislation that will forever screw MS, Adobe and Apple out of that revenue each year.
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