Allow me to translate (Gaming)

by squidnh3, Tuesday, July 07, 2020, 09:42 (1691 days ago) @ Cody Miller

Think of it this way. Very simply, You project you will sell X units, so you bring in 60x dollars. So this is your development ceiling if you want to stay in business.

But if you charge 70, your ceiling is 70x. Now you can make your game more complex. Spend more time on it. All the things that cost money, because you have more coming in.

This is too simple of a way to think about it. It ignores the concepts of risk and present value vs. future value, which are essential to consider.