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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?


To: Oeconomicus who wrote (2611)2/10/1998 10:40:00 AM
From: Pancho Villa  Read Replies (4) | Respond to of 18691
 
Actually any competitor with half a brain knows that raising prices is not the way to gain market share. You see the problem (and I read this somewhere yesterday) is that the 19.95 rate hurts AOL pretty badly because compared to for example MCI they are a high cost provider in a small margin business. They are spending all this money to create something the internet has plenty of: content! If there is one thing there is plenty of in the internet is all sorts of stuff from porno (wonder why it is the first one to pop into my subconcious (sp?) mind) to investments to leisure to kids stuff. IMO there is no need fo what AOL is trying to do.

Pancho