Quote:
Originally Posted by BigHat
Nice theory, but if that's the case they'd be selling for millions. If you don't think they are pricing in order to maximize sales to both the rich and the less than rich (most WIS's?) you're mistaken. You make it sound like Rolex is the only watch in the world (you'll fit in well here). So let's say I'm filthy rich, I have PP, AP, VC, Lange, JLC and many others to choose from. If Rolex prices become uncompetitive to the other brands they WILL lose my business.
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But that is just you. There is a concept known as "prestige pricing" that is the exact opposite of the basic supply and demand curve that everyone learns in economics 101. With prestige pricing, demand actually increases as price increases.
Also, it isn't just Rolex. 2 years ago you could get a basic PAM 24 for $3000. Now they are like $6000.