openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | reply to RARPSL
Re: In one sentence. We've had this discussion before. I don't believe you can assume that just because you receive a discount for purchasing multiple services, that the discount is the base cost of extending a cable to your house. |
|
|
|
 RARPSL
join:1999-12-08
Suffern, NY | said by openbox9:We've had this discussion before. I don't believe you can assume that just because you receive a discount for purchasing multiple services, that the discount is the base cost of extending a cable to your house. If it is not then the cable company is cheating the customer by not giving the full discount. I am using the accounting method of computing the cost. IOW: The Fixed Cost of the connection and the Variable cost of each service.
How do you explain what the true cost of the connection is other than the above method? |
|
openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | I wouldn't call it "cheating the customer". Companies (not limited to just cable companies BTW) use discounts to upsell their products and sell additional products/services that consumers might not ordinarily purchase. The concept is similar to "buy one, get one half price" deals to entice consumers to purchase more than they need/want....and those deals don't mean that the retailers' base costs are 50%.
Only the providers can identify their true costs of their services. You and I can guess all day long, but we can't definitely answer the question. |
|
