this post was submitted on 06 Nov 2023
105 points (92.7% liked)

Technology

34818 readers
226 users here now

This is the official technology community of Lemmy.ml for all news related to creation and use of technology, and to facilitate civil, meaningful discussion around it.


Ask in DM before posting product reviews or ads. All such posts otherwise are subject to removal.


Rules:

1: All Lemmy rules apply

2: Do not post low effort posts

3: NEVER post naziped*gore stuff

4: Always post article URLs or their archived version URLs as sources, NOT screenshots. Help the blind users.

5: personal rants of Big Tech CEOs like Elon Musk are unwelcome (does not include posts about their companies affecting wide range of people)

6: no advertisement posts unless verified as legitimate and non-exploitative/non-consumerist

7: crypto related posts, unless essential, are disallowed

founded 5 years ago
MODERATORS
 

The idea that a company can do anything to create or perpetuate a monopoly so long as its prices go down and/or its quality goes up is directly to blame for the rise of Big Tech. These companies burned through their investors' cash for years, selling goods and services below cost, or even giving stuff away for free. Think of Uber, who lost $0.41 on every dollar they brought in for their first 13 years of existence, a move that cost their investors (mostly Saudi royals) $31 billion.

The monopoly cheerleaders in the consumer welfare camp understood that these money-losing orgies could not go on forever, and that the investors who financed them weren't doing so for charitable purposes. But they dismissed the possibility that would-be monopolists could raise prices after attaining dominance, because these prices hikes would bring new competitors into the market, starting the process over again.

all 12 comments
sorted by: hot top controversial new old
[–] Deceptichum@kbin.social 14 points 1 year ago (2 children)

Maybe a rip-off, but Amazon and other online retailers shook up the Australian market and I’m thankful for that.

Before we were so small there was no competition and local stores would gauge consumers, now they’re challenged and have to compete with the rest of the world.

[–] Zellith@kbin.social 7 points 1 year ago (1 children)

You could say the prices were.. Criminal.

[–] ReMikeAble@beehaw.org 4 points 1 year ago

This literally made me lol, if I was drinking something it would have been a spit laugh!

[–] DeltaTangoLima@reddrefuge.com 1 points 1 year ago

Yeah, so far, it's been OK here. Not incredible, not shit - just OK. We still have an issue of range of selection with Amazon here in Australia. I'm finding plenty of things I search for have to come from international sellers, with longer deliveries and/or at higher prices.

But, for average crap (need that replacement USB cable for my daughter's tablet tomorrow, can't find the time to get to the shops today), it's hard to beat Amazon in Australia right now.

[–] MenKlash@kbin.social 6 points 1 year ago

Economists of the classical school were right to define a monopoly as a government-grant privilege, for gaining legal rights to be a preferred producer is the only way to maintain a monopoly in a market setting. Predatory pricing cannot be sustained over the long haul, and not even the attempt should be regretted since it is a great benefit to consumers. Attempted cartel-type behavior typically collapses, and where it does not, it serves a market function. The term "monopoly price" has no effective meaning in real market settings, which are not snapshots in time but processes of change. A market society needs no antitrust policy at all; indeed, the state is the very source of the remaining monopolies we see in education, law, courts, and other areas.

Amazon is just another big company that benefits from corporatocracy.

[–] Hogger85b@kbin.social 4 points 1 year ago

Absolutely high prices and absolute crap that is worse than eBay that from 1t years ago. I avoid.gor.maything that needs to be okay quality or can get in the £1 shop

[–] doctorn@r.nf 1 points 1 year ago* (last edited 1 year ago)

People tend to forget that governments are also just another company where you are its employee. It will make business-deals with other companies for (you guessed it) money...