economics of innovation
Economic Consumer
Economic consumer is a skilled optimizer: an asocial hermit of fixed and pre-determined tastes, which he knows in details. And his behavior is not, apparently, influenced by others; given the same products, prices and income, he would never vary consumption. (G.M. Peter Swan 2009) Economic consumer will welcome cost-reducing process innovation and product innovations that increase a sought-after feature of a good, except the new characteristics which he never needed. ①
What is the attitude of economic consumer to iPhone, especially facing the upgrade the new iPhone5? Some of them won’t buy iPhone5. The reasons why you don’t need iPhone5, by an iPhone Owner: IOS6 cost more amount of electricity and new maps apps doesn’t as reliable as Google map. ②Considering the factor of price, they will retain their mobile phone. However, it is time for some of them buy iPhone4s or 4. With iPhone5 come in to the market, big price cut for iPhone4. Last year's iPhone 4S will now start at £449 for the 16GB model, a price cut of £50. While the iPhone 4 has had its price slashed by more than £100,③ Because cost-reducing process innovation is satisfied by economic consumer. Topeka Capital's survey found people buy iPhone5, which 11% of people were upgrading from the iPhone 4, 3% from the iPhone 3GS, and 36% were first-time iPhone owners. ④The old versions are enough for them, while the new characteristics from iPhone5 are not their needs. There is no doubt that iPhone5 is taller, thinner, and lighter and faster, ⑤which brings consumer a lot of surprise. It does not exclude that a part of economic consumer would like to buy iPhone5 because he will welcome product innovations that offer him more of characteristics that he values and needs.
Veblen/Bourdieu Consumers
“Veblen Consumers” is a name referred to Veblen’s concept of “conspicuous consumption”. The very main concept of these types of consumers are that, they tend to be “distinctive” from their
Economic consumer is a skilled optimizer: an asocial hermit of fixed and pre-determined tastes, which he knows in details. And his behavior is not, apparently, influenced by others; given the same products, prices and income, he would never vary consumption. (G.M. Peter Swan 2009) Economic consumer will welcome cost-reducing process innovation and product innovations that increase a sought-after feature of a good, except the new characteristics which he never needed. ①
What is the attitude of economic consumer to iPhone, especially facing the upgrade the new iPhone5? Some of them won’t buy iPhone5. The reasons why you don’t need iPhone5, by an iPhone Owner: IOS6 cost more amount of electricity and new maps apps doesn’t as reliable as Google map. ②Considering the factor of price, they will retain their mobile phone. However, it is time for some of them buy iPhone4s or 4. With iPhone5 come in to the market, big price cut for iPhone4. Last year's iPhone 4S will now start at £449 for the 16GB model, a price cut of £50. While the iPhone 4 has had its price slashed by more than £100,③ Because cost-reducing process innovation is satisfied by economic consumer. Topeka Capital's survey found people buy iPhone5, which 11% of people were upgrading from the iPhone 4, 3% from the iPhone 3GS, and 36% were first-time iPhone owners. ④The old versions are enough for them, while the new characteristics from iPhone5 are not their needs. There is no doubt that iPhone5 is taller, thinner, and lighter and faster, ⑤which brings consumer a lot of surprise. It does not exclude that a part of economic consumer would like to buy iPhone5 because he will welcome product innovations that offer him more of characteristics that he values and needs.
Veblen/Bourdieu Consumers
“Veblen Consumers” is a name referred to Veblen’s concept of “conspicuous consumption”. The very main concept of these types of consumers are that, they tend to be “distinctive” from their