The theory is simple: instead of buying a household item or a piece of clothing or some equipment you might use once or twice, you take it out and return it.

  • Squizzy@lemmy.world
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    6 months ago

    The companies who have 20x the mark up necessary to survive will quickly see new businesses occupy the space to undercut them.

    • Fried_out_Kombi@lemmy.world
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      6 months ago

      Yeah, this is the one piece a lot of people miss: in any decently competitive market, individual firms have effectively zero power to set prices; they must instead accept the prices determined by the market.

      Knowing that, the solution to that sort of corporate BS, then, is to ensure markets are competitive by busting monopolies, lowering barriers to entry, and getting money out of politics to reduce the effect of lobbying.

    • exanime@lemmy.today
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      6 months ago

      Hmmm I wouldn’t be so sure… It depends on their position in the market and how well they lobby the government

      • Squizzy@lemmy.world
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        6 months ago

        Not really, not every business is in bed with the politicians. This was a worse case scenario where rentals became the main method of purchasing, so everyone would be on level ground. Those making 20 times profit margins are not everyday businesses, they ae luxury brands who would still thrive on their branding alone.