- Forum: iPod + iTunes + AppleTV
The deleterious effects are not on this sale but on the long term brand value. The discounted retail price quickly becomes the norm demanded by all future customers. Wholesalers demand a lower wholesale price to maintain their profit margins. The manufacturer is then forced into the position of developing the same product at lower and lower price points over time. This is likely to happen any way but manufacturers want to slow the process any way they can.