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Message   Eric    Prowler   Re: Royalties???   February 7, 1996
 3:16 AM *  

�������[ You Said Something Like This: ]
 RB#@> This is pure bullshit, since I've actually bought a 4-CD set of Linux
 RB#@> for $15, regular price. What's $15 / 4, class? $3.75? Obviously, to
 RB#@> make any profit at all, the cost for each CD must be less than that.
For a company that has been mass-producing, as with any other company that
buys
in quantity, the price is lowered.  Ever heard of the law of supply and
demand?
That is why a store where I work can get a pack of gum for 1 cent, but even if
we buy wholesale, we pay 4 or 5 cents.  Class?  Econ would suit you well.
Linux is freeware, not a full-blown commercial product like most of what else
is on the market.  The main reason it is now being distributed on CD has
nothing to do with size or cost, it has to do with convenience.  Newer
versions
of Linux will allow you to run the OS off of the CD, and thus not need to
partition your hard drive and install the OS.
�������[ Here Are My Thoughts: ]

First of all, what does ANY of this have to do with SUPPLY AND DEMAND.
SUpply and demand states that supply and demmand have an inverse effect on
one another in relation to cost. Demmand up, supply down, Price up.  Demmand
down, supply up, price down.  I see no relation here.  If you could explain
it, since you are the economics professor here, I would appriciate it.

And yes, distribution on CD has EVERYTHING to to with size, cost AND
convenience.  CDs can be packages MUCH smaller if need be.  With a 4x writer
you can record a 680MB rom in about 15 minutes.  Which, those two things alone
have saved you time, which saves money.  Package size, again, money.  Need for
printed manuals, they can be on the ROM, again, money.  4 CD's <cpacity of
2,720 MB possible OR APPROX. 4080 1.44 <rouned to 1.5 to quickly figure>
floppies.  If that isn't a SIZE difference AND more convenient, WHAT IS?
PLUS at .20 per floppy that would be $816.00.  *I* can buy CD rocordable for 6
bucks a piece.

SO, say Lunix DID completely fill 4 floppies:  <it doesn't, but pretend here>

In materials along it would cost: $816 to put it on floppy.

For that I could buy 136 CDs at $6 each.

THEREFORE yeilding me 34 coppies for the cost of your one.

Now, I didn;t consider time to make the copies, or volume discounts for disks.
 HOWEVER, you would have to purchase your 1.44 for LESS than 1 cent.  <4,080
1.44 floppies at 1 cent = $40.80> to beat my RETAIL cost of $36 to buy 4 CDs.


WHO needs ECONOMICS HERE???

I HOPE you don't run or plan to run a business....


       ������=[Message Status]: Respond If You Want=������

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�Posted by : Eric 1@1502001
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�������������������������You Might be a Redneck if...�������������������������
               You think heaven looks alot like Daytona Beach.
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