| September 29, 2011 Would A La Carte Video Save Consumers Money?  By Gary Kim, Contributing Editor
The recent news that U.S. cable operators are seeking more freedom to buy programming and sell it in ways that create lower-cost alternatives for consumers has raised the idea of a la carte access once again. The perhaps-intuitive sense most consumers probably have is that they would spend less money if they could buy just the video channels they want, one by one. Such an a la carte capability might actually be beneficial for lighter TV viewers who really want to buy just a few channels. But most consumers likely would find they pay higher prices when buying a la carte. Most often, bundling is a mechanism for lowering the per-unit cost of goods and services by spreading costs over a larger number of units. In the case of hot dog or hamburger buns, that benefits consumers because the price per bun is lower than it would be if the company was forced to sell their product one piece at a time... Read More | 
No comments:
Post a Comment
Keep a civil tongue.