eReaders like the Kindle cost from $200 to $500, but they're overpriced for two reasons: 1) People are used to reading text on other devices, including small screens; 2) Everybody's used to new technology quickly falling in price. This article suggests that eReaders are essentially inferior goods that shouldn't fetch more than $50.
http://www.informationweek.com/news/hardware/handheld/showArticle.jhtml?articleID=219501468
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Interesting article. I found part of the argument a little flawed, though.
ReplyDeleteThe text says, "Based on a survey of 4,706 U.S. online consumers, the Forrester study extrapolated that 14% of the 181 million consumers who are online, or 25 million, would consider buying an e-reader at today's price range. If the price dropped to $149, then the potential number of customers rose to 22%, or 40 million consumers."
Is a survey of online folks the best (or only) approach here? What about folks who don't use the net but love to read? Incorporating more book readers' thoughts would have validated the article more.
Thanks for sharing that, Kelly!