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Don't forget that games are also bought by teenagers that don't have a lot of money. $ 49 was a lot when I was a teen.

The right price changes from one person to another. That's why you segment the market.

That's what Valve does. People willing to pay $ 49 already bought the game. People who didn't were probably stopped by the price. If you lower the price, you lower the barrier.

In other words, you segment the market based on the willingness of someone to wait for the price to lower.

Segmentation maximizes your revenues.

As for Windows, most people don't buy Windows, it comes with the new PC they're going to buy for X-mass. People who buy upgrades are a different market segment.




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