ISP Information:
Second generation wireless technology (2G) with incomplete third generation (3G) technology added to it. ISP Glossary:
2.5G - Trimmed headers to include only appropriate consumer groups.In article ,"Dark Knight" wrote: Increasing prices doesn't automatically translate into increased revenue. It can actually have the opposite effect.That's what I meant by risky. OTOH, risk is part and parcel of doingbusiness. Although the company has been very conservative with its money(no debt, reinvesting its profit back into the business, and so on), Idon't think Netflix has any other realistic means of raising funds tocover capital investment necessary for growth. Wal-Mart can draw fromits retail revenues, for instance, much like Microsoft draws from itsWindows revenues to support the Xbox. If a cookie costs $1 you'll probably buy one. Raising the price to $5 will insure the store will sell none, reducing their cookie profit to zero.It depends on how good the cookie is, whether it's available anywhereelse and so on. Some people, like me, will continue with Netflix becausethey feel it's still a good deal. New customers will still continue totry it out. And some, like the OP, will abandon the service to tryanother. If Netflix's cookie is better than the others--and I think itis--the company will succeed.
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