Pachter calls the UK Retail Market “a Joke”
He makes sense.
Michael Pachter, Wedbush Morgan analyst, has called the UK retail market a joke, and he blames their policies due to all the bankruptcies the market is seeing right now.
GAME, HMV, have all filed for bankruptcies, and Pachter believes it is due to selling games for below market price resulting in them not making money, all for traffic.
“The UK games retail market is a joke, with retailers pricing below cost to drive traffic,” he told Digital Spy.
“That’s great for consumers, but retailers can’t make any money on games, hence the bankruptcies of GAME, HMV and Blockbuster, and the refusal of GameStop to expand into the market.”
He was also in support of used game sales and believed the absence of retailers like Gamestop was one reason why gamers haven’t had the credits to purchase new games.
“The absence of GameStop and the demise of GAME limits the ability of consumers to trade in used games, depriving many of credits that can be used to purchase new games.
“Retail needs to make money to exist, and games retail in the UK doesn’t make money.”
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