Thursday, October 13, 2011
In the society we live in today, technology plays a vital role in the day to day life of the common American citizen. Our businesses, relationships, friendships, and even family all rely on some sort of technical device that enables us to conveniently communicate with one another. Therefore producers feel obligated to not only constantly generate new innovations but also improve and upgrade the current technology already in use. Selling these products is no challenge for the producers, knowing that it’s in majority of the consumers self interest to have newer, better, and more advanced items. The products prices are being sky rocketed once first out on the shelves because it’s known that the consumers demand for the product is more important than the actual price. Once the upgraded version hits the shelves the original products price drastically decreases. The conflict in this situation is if these upgraded and advanced items as advanced as the firms say they are and are they really worth the prices. A perfect example of this would be the Macintosh Company. A pretty big handful of the people today own some sort of Mac merchandise in their home. Macintosh initially began with the first iPod classic as the popular thing to have, then upgraded radically from there. After a couple of years you were started to see advancements along with frequently price changes. You had a touch screen, no screen, extremely thin and small, more gigabytes and many other improvements. Now the new product is the iphone. This is where I feel the money rip off is at its climax. Most of everyone is familiar with development of the original iphone to what it is now. Front cameras, more gigabytes, new shapes, and other, what I would call, futile improvements. When the original iphone came out it was give or take 500.00 dollars. You can now buy that exact phone for 50.00 because the demand for it is nearly extinct. I feel the macintoish company has done an extraordinary job, from an economist point of view, providing what the buyers want in return receiving profit from raising the price knowing buyers won’t care.