AMP 0.38% $1.32 amp limited

AMP & AMPP, page-1157

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    Anyone can reduce price. Sometimes a price reduction is needed to stay competitive in terms of sales volume and can be done while still retaining a decent profit. It almost always means less profit than in the past, but is intended to produce more profit than you would get if you did not drop prices.

    AMP has now used price drops a few times as a strategy or tactic. The profit margins on some old products were high and they could afford that - less so on newer products.

    The price reductions by AMP are most likely the right decision in that they will produce a better outcome than not reducing. But the reality is that profit will reduce from where it was.
 
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