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How do satellite/cable TV providers determine how much to charge customers?

October 25th, 2009 by admin

Posted in CableTV Providers

6 Responses

  1. David Wilsen

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  2. Yahoo Answer Rat

    They make it up as they go
    References :

  3. 0976

    They charge according to how much they know people will pay.

    They don’t care if it’s fair, they want all the money they can get.

    Just like the gas companies, if the public will pay, raise the price to the highest level, and then if sales start to drop, then they will lower the price a little.

    Thats why I like Dish Network, you get some lower price packages if you don’t want to pay the higher price.
    References :

  4. Boomer Wisdom

    There is a set formula for charging customers.

    It is: P=R x 3, where P is the price and R equals a rip off.

    Books are a cheaper and healthier form of entertainment.
    References :

  5. Daniel C

    The companies do vary in their pricing strategies. However most will firstly determine their total cost (Fixed cost+variable cost) and that will be the basis of their price.
    Then, (presuming the firm is profit maximising) it will operate a "cost-plus" pricing plan. Which means they will add a percentage mark-up on top of the price they require to stay afloat.
    References :

  6. Alice Chaos

    This isn’t an answer to your question – I don’t subscribe to anything. But I would subscribe if I could hand pick a few select channels and not have to bother with crap laden majority of junk!
    References :

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