Saturday, May 23, 2009

High Cost of Poverty?

An interesting article in the Washington Post, titled "The high cost of poverty: Why the poor pay more"
The author tries to highlight the fact that the poor are unable to reap the "whole sale" benefits that the supermarkets and retail giants offer. A reverse trend is seen however in developing countries . For Example: An upcoming release of Microsoft's OS , Windows 7, has an edition specifically targeted for emerging markets. Microsoft and other companies have been doing this for quite some time now where they strip off features from the main product and sell a bare minimum version at a relatively lower price.
This process is evident in other industries too. Indians have been sachet lovers. From shampoos to jams and ketchup, Indians will prefer spending "a little" to get "a little". Ray Ozzie, Chief Software Architect at Microsoft, is said to be inspired by this piece meal concept as he introduced the various software editions targeted at Indians.

1 comment:

Dan said...

Hey buddy. I also want to learn economics on my own so that I can help a friend. I don't like to read, I'd prefer hands on learning methods and or a lot of visual aids and audio aids. Have you come across other resources are they in your blog archive? I'm trying to help with Microeconomics~Deriving Labor Supply curves