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Are y’all old enough to remember when you actually bought music? Like, not a streaming subscription service and DEFINITELY not an actual physical cassette tape/CD (btw the first cassette tape I bought was Offspring’s Smash album. I bought it without my parents permission. Total rebel, I know). Anyways, your great-grandparents used to buy music in the form of MP3 files from iTunes. They would then download those files onto their iPods (What’s an iPod? Think non-touch screen iPhone with only one app (music player) and an actual headphone jack. lol apple.) Anyways, Apple’s original pricing scheme was a single price system. Every song was 99 cents. Later, they developed a two-tiered pricing scheme. The article is attached.
As a group, discuss how Apple used their knowledge of elasticities to increase revenue and whether or not they achieved their goals. Based on the framework explained in the syllabus, use your small groups discussion board to discuss the above topic then submit on that same discussion board a single synopsis of the group discussion.
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