Buyers Gambled, Lost on PlayStation Resales

[Gordon]

If you refer to all of the posts, you will notice that that is not the case in reference to the opinion on greed.

[Quo]

Wow Gordon, quite the opposite:

Ahh, by your position I figured that you had done the eBay thing. It technically does make you greedy since you were trying to get something hefty out of the deal. If you were doing it for friends and they gave you like $20.00 it would be cool, assuming they just wanted to keep the system.

I read all of your posts. I'm not trying to pick on you, I just think you're giving the impression that you somehow think that making money is, by nature, greedy or evil. You made a vague reference to buying and selling being "capitalism at its best," but the overall tone of your post looks down its nose at those that would attempt to profit from resales.

Who's job is it to decide at what price point greed occurs? Since Brew apparently made about $200 a unit, is that greedy while $20 charged to a friend is not? Personally, I think $20 charged to a friend is greedier than $200 charged to a normal market participant (who is, by the way, a willing buyer-- one who has other options!)

Sure, these people are taking advantage of an opportunity, but they've also taken the risk. They have opportunity cost, carry cost, and in some cases the risk of restock fees. When people buy stocks, are they greedy because they bought at $20 when the current price is $60 and you have to pay $60? Obviously not! They took the risk! They get the reward.

I didn't buy any PS3's. And I can empathize with everyone who posted here and doesn't like resellers, especially those who caused fights, behaved badly, etc. But to call people greedy just because they pre-order for resale is a little blind, it's a blanket statement. Not everyone who does it is in it to make big money and screw the little guy. For some people, it was the only way to pay for a system, so they took the risk. Some reaped the reward... and some got taken down.

[MadBryan]

Gordo's mak'en friends
lets go play some xbox

[BrewCityUpstart]

Originally Posted by ZoomZoom71

Hey, Gordon. The only reason these "greedy folks" were able to sell the PS3 outside of retail is because buyers were willing to spend the money. These "greedy folks" took a risk and it paid off for them. I suppose all investors are "greedy folks" since they're looking to profit off an investment, huh? I guess I'm greedy, then, since I bought a few houses on the cheap and will make some money because people are willing to buy them at a higher price than what I paid for them.

Well said. Thank-you.

[Quo]

Originally Posted by MadBryan

Gordo's mak'en friends
lets go play some xbox

It's all good. There's no argument as far as I'm concerned. There's room for all opinions. Sometimes it's good to look at things from all angles.

[BrewCityUpstart]

Originally Posted by Quo

Wow Gordon, quite the opposite:



I read all of your posts. I'm not trying to pick on you, I just think you're giving the impression that you somehow think that making money is, by nature, greedy or evil. You made a vague reference to buying and selling being "capitalism at its best," but the overall tone of your post looks down its nose at those that would attempt to profit from resales.

Who's job is it to decide at what price point greed occurs? Since Brew apparently made about $200 a unit, is that greedy while $20 charged to a friend is not? Personally, I think $20 charged to a friend is greedier than $200 charged to a normal market participant (who is, by the way, a willing buyer-- one who has other options!)

Sure, these people are taking advantage of an opportunity, but they've also taken the risk. They have opportunity cost, carry cost, and in some cases the risk of restock fees. When people buy stocks, are they greedy because they bought at $20 when the current price is $60 and you have to pay $60? Obviously not! They took the risk! They get the reward.

I didn't buy any PS3's. And I can empathize with everyone who posted here and doesn't like resellers, especially those who caused fights, behaved badly, etc. But to call people greedy just because they pre-order for resale is a little blind, it's a blanket statement. Not everyone who does it is in it to make big money and screw the little guy. For some people, it was the only way to pay for a system, so they took the risk. Some reaped the reward... and some got taken down.

Quo, my respect for you at this site grows every day. You conveyed every point I wanted to make that I had either forgot about or just didn't think of. BTW, you only charge $20 to be a friend? Thats a steal! I'll pay double! lol

[Quo]

Originally Posted by BrewCityUpstart

Quo, my respect for you at this site grows every day. You conveyed every point I wanted to make that I had either forgot about or just didn't think of. BTW, you only charge $20 to be a friend? Thats a steal! I'll pay double! lol

Thanks man. And I'd believe you on the paying double thing, but you're already behind on your payments!

[BrewCityUpstart]

Originally Posted by Quo

, but you're already behind on your payments!

My ass ain't selling like it used to...

[MadBryan]

Brew's a pirate, its what they do.
jk!! I say "Don't hate the playa, hate the game!"

[GoatMother]

Zoom and Quo are right on, well said guys

[BrewCityUpstart]

And another thing- If people that bought them to sell and lost money on them, then that means the guy that couldnt find one in the store for his little brat would've gotten a better deal on Ebay, Hmmmm?

[Serren]

The funny odd thing is that nobody expected the PS3 market to dry up so fast. Must people just returned them to the stores, some made a bit of money though.

I payed over retail for my launch 360 (RIP dead little buddy...) and didnt think I was getting ripped as I was playing games many months before I would have had one otherwise. Im sure there are PS3 buyers that are kicking themselves in the ass everytime they now enter a Best Buy, bay area excluded.

Houses are a different monster, but the same risks exist. There are a bunch of "flippers" in my development that got stuck when the bubble deflated. Now they 'might' break-even, so they are putting most of them up for rent.

[Gordon]

I still have to go for the opposite of it. I figure selling it for another $20.00 is totally fair, since you had to deal with a lot of people in line that were trying to be greedy. Those giant lines were pretty much for people trying to sell those systems on eBay to hopefully make considerable cash. But selling consoles for 33% above what they were selling for in stores is pretty bad, let alone the few that sold for over $2000.00. If they were selling a single system too, not three or four systems, it would be a little bit more acceptable. These kinds of actions, like the Japanese fellow that apparently purchased 100 Jap systems, caused plenty of grief for those that wanted the system at the retail value. Lets go back to what if the stores were selling the systems at higher prices you would probably give them the nod for being greedy.

Now something like people buying stocks is totally different than someone buying a Playstation 3. When you buy a Playstation 3, you probably know that it has a depreciating value, while a stock generally appreciates (Of course lets not talk about Sony stocks as of late...). It only took a few weeks for the Playstation 3s to drop to around market value. I am fairly confident that a lot of the people that purchased the system at an inflated price are kicking themselves now. Though when Sony made the systems, do you think that they were made so that the systems sold so that they could play videogames, or so that they could be re-sold on eBay?

Looking back on the event, I still think that it gave gamers a black eye. It caused plenty of problems for players, but also stores. Not all of the re-sellers were gamers at that, which was another kick in the teeth. I am totally cool with people making a little money, but an over abundance of it for menial tasks is questionable. It is mainly taking advantage of people in any situation, whether it was a parents buying the system for a kid, or just a gamer wanting a system. Indeed they were willing partners in the venture, but if you believe that having them pay $200.00 over what the retail value is...

I did buy a PS3, but I was one of the many that pre-ordered them from EB Games. I needed a PS3 for my job after all. Just thinking of the situation where I would not be able to get one because someone with a little more time to wait in line wanted to sell it on eBay is a bit shameful. There were plenty of people there trying to make a profit as well, so I know what the lines were like. I know how this crowd acted either first hand, or via the inflated media reports. With so many people out there trying to be a middleman, it was a shameful day in general. Worse were the days near the release.

But I believe we probably all have had enough of this. I can totally see it from their side, where they wanted to make money by exploiting the need of those around them. It was their original intention to hopefully make $1000+ on the $500ish system. But even when the giant retailers -- whose jobs are to make those big bucks -- are not doing it, is it right to be the ones who do? It is like holding them to a different standard than you would hold yourself. I do not know... I just try and see the best in man, but many out there are trying to take major advantage of one another due to situation I simply cannot agree with it.

But I think we have all had enough of this.

[BrewCityUpstart]

Why do you think its ok to make $20 rather than $200? Either way, a profit is profit.


Heck, if I had three more on launch day, I would've sold those, too. You act like I charged them for air or forced someone to buy a PS3. Besides, it was other people that bid in my auctions that set the price- not me.

[Quo]

Originally Posted by Gordon

But I think we have all had enough of this.

Yeah, it sounds like we have to agree to disagree on this one. I can see how you'd feel the way you feel as the PS3 is a necessity for your job. Most people don't look at a gaming system as a necessity, though, or even something they "need." There are many things in society that are viewed as "needs" when, in fact, they are not. Kids can get by just fine without video game machines... especially when it's just a few months until demand and supply meet equilibrium. Heck my parents would have waited much, much longer than that for a $600 system -- about as long as it takes a kid to earn $600 throwing the local newspaper.

I abhor the actions of those involved in the fights, yelling and carrying on as much as anyone. But I don't think they gave gamers a black eye any more than people gave parents a black eye in the cabbage patch doll idiocy several years back. People are idiots, and the masses generally expected them to carry out idiocy at every turn. I, too, look for the good in people... but I kinda see the whole thing (the PS3 launch, or any video game console launch) as relatively meaningless in the scheme of things. To me, finding fault in someone for making a few bucks off of a console release is looking for the bad in people.

Anyway, it's all good, we just see it differently. Thanks for stating your opinion so clearly and being a good sport. It's good when people disagree but no one gets their hackles up.

[MadBryan]

reaches for dictionary to look up hackles