Dad of a friend ran a store selling designer underwear for men. He sold boxer shorts for $70 over 25 years ago.
He once told me that he also had a rack of thongs. Now, the thongs didn't have a lot of material, obviously, and were inexpensive to manufacture, so if he'd do his regular markup on them they'd end up selling for $15.
"However, notice the price tag is $25. I add an extra $10, because if a guy's looking to buy a thong, he's going to buy a thong".
I think about what he said when I see the chip prices on these high-end server CPUs.
He once told me that he also had a rack of thongs. Now, the thongs didn't have a lot of material, obviously, and were inexpensive to manufacture, so if he'd do his regular markup on them they'd end up selling for $15.
"However, notice the price tag is $25. I add an extra $10, because if a guy's looking to buy a thong, he's going to buy a thong".
I think about what he said when I see the chip prices on these high-end server CPUs.