With Printer Sales Drying Up, HP Looks to Upend the Business Model
Many businesses use the razor-and-blade model of giving away the razor and marking up the price on the replacement blades, but few have managed to gouge customers quite as exquisitely as printer companies.
HP (NYSE: HPQ) is the biggest printer maker, and has virtually given away its printers so it could greatly make up the difference selling ink and toner. But with the need to actually print out a hard copy significantly lessened these days, HP is finding the business is not as profitable as it used to be, and it is ready to shake up the industry with a new model.
Image source: Getty Images.
Source Fool.com
