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Of course the question is...

Are the printer cartridges profitable enough to sell the printer at a loss?

Are the HD disks profitable enough for Wal Mart to sell the player at a loss? In selling each $99 player, Wal Mart has created a potentially long stream of profits from the sale of HD formatted disks, disks that would not have sold at all otherwise.

If the disks are to sell people have to have a player.

If Wal Mart sells groceries at a loss, it drags people into stores past more profitable merchandise with a higher margin. Sneaky people, those retailers.

D

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