The iPods are a great example.
If all people wanted was maximum storage size and capabilities and reasonable physical size and weight, then there would be only one iPod. The classic.
The nano has *far* less storage. Their total cost per gig of content is way more than the classic. It even has a smaller, not as bright, screen.
And yet people buy them even though they are very similar in cost? Why?
Because size matters. And making things smaller costs money and adds value for those who want small things. And people are willing to give up 80-90% of the capacity to get the smaller device. Even though the classic will still fit in most pockets.
If all people wanted was maximum storage size and capabilities and reasonable physical size and weight, then there would be only one iPod. The classic.
The nano has *far* less storage. Their total cost per gig of content is way more than the classic. It even has a smaller, not as bright, screen.
And yet people buy them even though they are very similar in cost? Why?
Because size matters. And making things smaller costs money and adds value for those who want small things. And people are willing to give up 80-90% of the capacity to get the smaller device. Even though the classic will still fit in most pockets.