Have been asking myself business scaling questions (mostly on how it pertains to Viddler) as I have been listening to Jeff Jarvis’s new book,What Would Google Do. Jeff has a huge point in the book where he points out that to scale like Google/Facebook/etc, you price based on what the customer can pay not on what the company needs to meet it’s margins.
I never really thought this concept applied to “physical businesses”. Ones that make things physical for people to buy (Google t-shirts do not count).
Toyota recently announced they will not go down GM route as it’s doesn’t make business sense for typical margins. Larry responded very “google-like” to one of my questions with regard to cost of the new lithium-ion batteries.
It’s great to see GM act as Google would. One more reason to get the Volt!