Messages in this thread | ![/](/images/icornerl.gif) | | Date | Wed, 10 Sep 2003 11:02:34 -0400 | From | Timothy Miller <> | Subject | Re: Scaling noise |
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Larry McVoy wrote:
> > You don't make that much money, if any, on the high end, the R&D costs > dominate. But you make money because people buy the middle of the road > because you have the high end. If you don't, they feel uneasy that they > can't grow with you. The high end enables the sales of the real money > makers. It's pure marketing, the high end could be imaginary and as > long as you convinced the customers you had it you'd be more profitable. >
I think some time in the 90's, Chevy considered discontinuing the Corvette. Then they realized that that would kill their business. People who would never buy a Corvette buy other GM cars just because the Corvette exists. Lots of reasons: It's an icon that people recognize, it makes them feel that other Chevys will share some of the Corvette quality, etc.
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