Carl wrote:

> And I'll take issue with one thing: probably "most businesses" do "figure
> out ways to appeal both to the
> price-sensitive customer and to the customer that doesn't care about paying
> more", but that is not always the best business model. There are businesses
> which cater to the high end only (and there are, of course, the reverse
> model businesses).

Yes, I was referring to businesses that sell a product that is
essentially unlimited in supply. These businesses find many creative
ways to sell the same product to different market segments at vastly
different prices. They may sell the product under a different brand
name, they may have all sorts of complicated discount schemes including
rebates, coupons, corporate discounts, friends and family discounts,
discounts for certain clubs and organizations etc., or they may just
engage in plain haggling.

A prime example is how Verizon allows MVNO's to resell their service at
substantially lower cost than Verizon itself charges. Clearly Verizon
views most of the MVNO business as pure upside, or they wouldn't resell
to MVNOs.