Chris Anderson in his work Free! Why $0.00 Is the Future of Business talks about businesses getting burned by the free method. Now Gillette razors example is used to show how much profit is sent out by giving freebies to people yet barely getting revenue back. Over time Gillette build its reputation and now a disposable razor became a craze that had the business booming. The key point Anderson was putting is that businesses are having to reinvent themselves on selling their products. Because the Internet has the public in strong favor of receiving free stuff, and not going for even low priced material.
Now here comes in Malcolm Gladwell with his entry of Priced To Sell where he as well mentions this free method. Gladwell explains that companies try a nice maneuver of selling next to nothing of products to consumers to gain a better profit. Now the other take on this free method is to not even put a price on the product, and let it be cost free. Gladwell takes towards selling next to nothing rather to Anderson's completely free. Gladwell wants more of a main product will be the cost while the extra expansions are free. For example, the Iphone is the payment where the "free apps" is cost free.
Gladwell and Anderson are arguing against each other yet there is a nice balance they have created. The creation is the platform for businesses using both these methods and meeting different successful ends. The Internet and the increasing of information is so fast that its hard for companies to create strategies to keep up with it. These writers are explaining how fluctuating the market concerning the Internet is because consumers are having more say now. Which has companies testing out methods never done before. It really comes down to having the flexibility to switch between free or "free".
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