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To: Stock Farmer who wrote (7465)2/13/2006 9:54:30 AM
From: GVTucker  Read Replies (3) | Respond to of 15857
 
Stock Farmer, RE: Evaluating the automatic-click business model for a second, fixed costs are low, marginal costs are near zero and scale (revenue) is unlimitedly large. Gross margin is nearly 100% as a result.

... Hmmm... with such opportuntity out there, why would anybody bother to invest in inferior business models?


Because in the long run, price = marginal cost.