Anti-Capitalist Sentiment (with some morality)

[MadMojoMonkey]

No, I'm just saying that increasing prices is one of the 4 available options a business has when facing competition. I put it at number 1 because, well, you just (theoretically) increase the price and that's it, immediately more money coming in. Clearly you can't just keep doing that, but economically, this option is as good as printing money.



I'm saying cutting production costs, be it labor, manufacturing, marketing, materials etc. is the 2nd easiest option in the arsenal, and guaranteed profits as long as your product does NOT decrease in quality, and no major extra costs are required to go through with it, such as lengthy company reorgs etc.

@ first bold: You're still assuming that the businesses' customers are either too stupid to notice that their value is reduced or too loyal to search for other businesses' solutions.

@ second bold: The stipulation that "product does not decrease in quality" is a shift in position from your original stipulation.
If a business can cut costs while maintaining or improving product quality, then that's likely to be win-win. It's not a sure thing, though.
Just because something is an improvement, doesn't mean it's a move to optimal. Competition means that someone else may be able to achieve a more optimal solution than you, even though you've improved.

Am I really this bad at explaining, does anyone get what I'm getting at? I do know I hate explaining myself and spelling things out, but I figured the text coming out of my face would at least be intelligible.

I think we get what you're saying, but you've made too many or too strong of stipulations, which separate your thesis from realistic business scenarios.