this post was submitted on 01 Mar 2024
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So many companies cut their workforce as much as 10-15% citing that those jobs can be fully automated by the use of AI but I am still waiting to see any meaningful price cuts of their products from the said companies, etc.

Otherwise this will mean that they are doing this just to increase their profit margins and please their shareholders and don't care about their customers or workforce.

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[–] [email protected] 14 points 8 months ago (7 children)

The way supply and demand works is the thing that forces companies to give up profit is a competing company willing to take a little less profit (and hence undercut prices).

It doesn’t work if there’s no competition, or insufficient competition.

[–] [email protected] 8 points 8 months ago (6 children)

So in other words, it doesnt work in the real world

[–] [email protected] 6 points 8 months ago (2 children)

It does work in the real world. That’s why food doesn’t cost a billion dollars a meal.

That being said, the forced business closures we had a couple years ago definitely consolidated markets, reducing competition and driving prices way up.

[–] [email protected] 1 points 8 months ago (1 children)

Sounds like there is a space for a competitor if anyone with enough capital wants to invest. It's one industry, Michael. How much could it cost, ten million dollars?

[–] [email protected] 3 points 8 months ago

That's pretty much it in a nutshell. Anyone with the hundreds of billions of dollars necessary to compete in that space is already there, and doing layoffs.

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