Why do companies like Apple, PlayStation, and Xbox, launch new hardware before they’ve manufactured enough to meet initial demand?
In: Economics
Many great answers here, but it really boils down to spikes and valleys in demand. Initial demand is the highest you’ll see: no one has one, and everyone wants one. As the population of buyers is satisfied, the demand curve starts to drop; less and less people need one over time, as they get them and the population needing one continues to drop, and so on.
Then you look at production rate. This isn’t arbitrary; it is carefully crafted on research and analysis and market trends and who knows what else in terms of data points, and a decision on “how many should we produce in a <time frame>?” is made. That determines the size of their logistical operation (factory, transit, storage, etc.) and ultimately how fast the supply chain can fulfill the demand.
Eventually – 1 month? 2 or 3? No one knows – the two lines meet; supply replenishment speed lines up with demand purchases, and you no longer have stock shortages.
Unless there is a component shortage that would impact this supply design, you can be confident more are on the way, and everyone who wants one will get one.
Bottom line: don’t buy from scalpers, it is artificial scarcity and FOMO they are selling!
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