Selling Nothing For Profit
by Johnny DebacleMost firms produce an object or service which they sell. This is normal “business.” But with margins where they are, is this type of business the best way to do business?
Why sell something which costs something, when you can sell nothing which costs nothing? The margins on selling nothing are 100%, a fact which Rambus (NASDAQ: RMBS) has known for years. Now nothing production has come to the mobile market with silent ringtones:
[Conceptual] artist Jonathon Keats has digitally generated a span of silence, four minutes and thirty-three seconds in length, portable enough to be carried on a cellphone. His silent ringtone… is expected to bring quiet to the lives of millions of cellphone users, as well as those close to them.
Recommendation: We are bullish on firms which embrace this contagion and switch from selling something to selling nothing. The margin improvements are completely post-modern.
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A much better business strategy than Ozzy’s plan to launch a nationwide tour (Ozzfest) with free tickets, wherein he doesn’t have a gross margin, because he has no revenue. Although this creates a great tax write-off.
Jonathon Keats has made a copy (note for note!) of the 1952 composition 4’33” by John Cage.
“I realized that anything was possible in this new medium,” says Mr. Keats, whose previous art projects include attempting to genetically engineer God.”
Wow.
It’s true- it is possible to attempt and fail at even the most impossible goals. You can’t just say crazy things and then attempt them for publicity, when there is no reasonable basis for believing in their success… or can you?
Surely the mark up would be infinitely high, not merely 100%?