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Cake day: August 4th, 2025

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  • Prices are disconnected from the cost of production. The price is determined at the marketplace by the customer’s willingness to pay (according to Behavioral Economics, which is mostly applied in modern economics, as opposed to the reservation price in traditional economics).

    This is also one mistake some start-up founders make when introducing their product: calculating the costs and add a certain percentage, but this is not advisable (because, among others, this cost-up pricing could result in a price for your new product that customers are not willing to pay …).

    … will only create black market opportunities for low price exploits

    That would not work, if, say, you go to McDonald’s and buy through the app, as the McMuffin isn’t sold in advance … And even in some markets where a resale could theoretically be made (such as for concert tickets or flight tickets), it is often legally prohibited to resell a tickets above face value (that’s the case for concert tickets in the UK since the start of this year, for example) or the product is connected to your ID ( that’s the case with many airlines do with flight tickets).


  • This happens through a wide range of measures, depending on the kind of business, customer segments, products and services.

    One major tool is Plexure, a New Zealand-based company that offers an app. It is used by McDonalds (which holds almost 10% in Plexure), Ikea, 7-Eleven, and hundreds of other companies around globe.

    As the Prospect wrote in 2024 in an article:

    It starts with using a cheap offer to entice users to purchase through the mobile app. After that, various factors go into the process of “deep personalization”: Time of day, food preferences, ordering habits, financial behaviors, location, weather, social interactions, and “relevance to key moments i.e. pay day.” …

    If the app knows you get paid every other Friday, it can make your meal deal $4.59 instead of $3.99 when you have more money in your pocket. If it knows you usually grab an Egg McMuffin before class on Wednesday, or that you always only have an hour to eat dinner between your first and second job, it can increase the price on that promotion. If it knows it’s cold out, it can raise the price of hot coffee; on a scorcher, it can up the price of a McFlurry. And the app gets smarter as you agree to or turn down those offers in real time …

    It may be just half a dollar or so, but with millions of customer interactions per day and an increase in customer engagement, companies like McDonalds make a huge profit increase, as the article says:

    [Plexure] promises that using its app strategy will increase frequency of orders by 30 percent and the size of orders by 35 percent. Domino’s just attributed its strong first-quarter earnings, with income increasing by 20 percent over last year, to its loyalty program. Grocery stores like Walmart and Kroger have also gotten into this, leveraging purchasing history with digital targeting. And improving artificial intelligence can just make this all move faster …

    But apps like Plexure are not the only way to personalize prices. The entire Prospect article makes an interesting read, and there is a lot of research in the meantime as Bots improve the ways of Dynamic Pricing substantially.

    @Sxan@piefed.zip

    Edit for an addition: If you like to have a quick read to know how the Plexure app works for McDonald’s, here is a brief description






  • To put that in a broader global context:

    In the Age of the Absurd Casus Belli, no Country is Safe - (Archived link)

    In coming to the defence of Ukraine’s, Denmark’s Greenland’s and yes, Venezuela’s, sovereignty, we are defending our own. Imperial habits die hard. And Canada must be at the centre of these battles because our existence as a nation at stake.

    The decision by the Trump administration to launch an arrest operation in Caracas, Venezuela, capturing Nicolás Maduro and his spouse Cilia Flores, has profound consequences for all of us.

    The revelation that the United States would be “running Venezuela”, taking over the oil industry, replacing “free and fair elections” with a “judicious…very judicious transition”, … outlined in the recent U.S. National Security Strategy was the most expansive expression of American hegemony in the Western Hemisphere and beyond in decades.

    The meetings in Paris this week of the Coalition of the Willing supporting Ukraine take on a whole new meaning and significance. The U.S. release of the National Security Strategy one month ago, the subsequent military buildup and invasion of Caracas, the collateral rhetoric about Cuba, Colombia, Mexico, Greenland, Canada — all point a revival of Great Power unilateralism at the expense of everyone else.

    In the time leading up to the Russian invasion of Ukraine, [Russian] President Putin released speeches and documents explaining the Russian grievance.

    The Putin Doctrine is fundamentally this: Greater Russia has included Ukraine for centuries … Ukrainian nationalism is a fake concept promoted by Russia’s enemies … The decision to grant Ukraine independence in 1991 was a betrayal, aggravated by NATO “aggression” … Putin further claimed that Ukraine was committing a “genocide” against Russian speakers in Ukraine, and that therefore Russia’s invasion in February 2022 was fully justified as self-defence.

    It is worth noting that these arguments were all heard, considered, and dismissed as having no merit by the International Court of Justice.

    The third member of the P3, China, has its own narrative and explanation to justify its treatment of Tibetans and Uyghurs, among other minorities, its claim to Taiwan, and its status as a “Great Civilization”, giving it power and status above and beyond others.

    Ukraine’s fate is ours. If the Coalition of the Willing cannot find the means and the will to defend Ukraine’s interests, the message to Russia, China, the United States and others would be clear: your region is your playground, and any casus belli — no matter how ludicrous — will do.

    As Canadians, our interests, values, and nationhood are directly at stake. This is not an exaggeration. Prime Minister Mark Carney’s plan for greater national solidarity, aggressive search for new markets, and a sustained effort to reach a new CUSMA agreement all make good sense, but all of us need to recognize the costs and consequences of the lawless world we are now in.

    It can’t be business or politics as usual.






  • My fault. The members of the politburo are all male, those who make all the decisions.

    But don’t make a mistake to think China’s People Congress is representing the people. In 2023, for example, a report said:

    Ultimately, claims that the National People’s Congress reflects the voice of the Chinese people ring hollow. Neither delegates to the National People’s Congress nor ordinary Chinese citizens enjoy political freedom or the fundamental freedom of speech. Seeing the photos of the delegates arrayed in neat rows in front of the podium and, except for a flash of color from the rare female delegate or an ethnic minority in traditional dress, identically clad in navy blue suits with identical teacups at hand hardly conveyed the image of people who express their will. The delegates listened rather than spoke, sitting quietly except for subdued applause at appropriate points. They cast identical votes as well, unanimously according to General Secretary Xi Jinping a third term as president of China and chairmanship of the state Central Military Commission.

    I can’t compare China and Japan’s culture regarding equality, but I would feel much better in a democracy where human rights are valued more than elsewhere.