Msg: 4591 *Conference*

08-10-93 09:03:22

From: RICHARD HANSON

To : JAMES TOTH

Subj: REPLY TO MSG #4587 (THE GAME)

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I figured that you would probably reason it out that way.  Sorry, but $10 for a
ROM upgrade is not feasible.  $3 for shipping, is.  You're looking at this from
the product level rather then the company level.  Each product carries a
margional burden of the companies overhead--still about $3,000/mo +/-.  Each
product's price was initially developped both bottom-up and top-down (a best
guess) based on reasonable limits for breakeven on an annual basis.  1990 -
1992 tracking records indicate that most products meet or exceed breakeven;
thank God!  Some do not... not good.

The least I would accept for a ROM upgrade is $25 + $3 shipping.

I can not afford to lose money on a sale of a major item.  And you can't look
backwards to previous sales for margin on a current sale.  Ten bucks ain't
enough to breakeven on a ROM upgrade to a previous disk purchase so that's not
going to happen.  Furthermore, what does $25 mean to you in the scheem of life?
You spent more than $25 on food last week.  And the food is gone!  Right?  The
ROM, on the other hand, would still be serving your needs week after week.
We're talking small dollars, here, from your point of view.  From my point of
view there's this $3,000/mo +/- nut to crack each month.  -Rick-