Oldies

[George]

>DATE:   Tue, 6 Feb 1996 15:37:21 -0500
>FROM:   Ronkarate at aol.com
>
>???? writes:
>"The deal is that the companies own the rights, and cutting CDs is economic
>in smaller runs---no lp masters for pressing vinyl, etc. "
>
>---
>Take it from someone who has run a small record company for the last few
>years: small runs of CDs are NOT economical. While mastering an LP usually
>costs somewhere in the $250-$500 range, making the digital reference tape
>(not DAT) for CDs is much, much more expensive. The one CD I have produced
>cost me nearly two-thousand dollars in pre-manufacturing fees, while the
>equivalent LP was under one thousand.
>(I know this in no way adds to this thread)
>
>-Ron

The explanation I heard was that the greater price, thus greater profit 
margin, of CD's led to a greater selection. Thus, the breakeven point 
on a $7.99 LP is several magnitudes higher than the breakeven point on 
a $13.99 CD, or, you can sell fewer, but more expensive CD's and still 
make a buck.

ObPynchon: You can make a living as a Harlequin novelist, but you have 
to sell a lot of them, or you can make a living as TRP, and not sell as 
many, but price them higher (I'm reaching).

george


===============================================================================
"The computer," he began gently, once again, "never has to sleep, or even go
take a break.  It's like it's open 24 hours a day...."
--Thomas Pynchon