> I don't understand.

I probably don't either. I'd refer you to "Gresham's Law",
to further obfuscate the matter.

Substituting "goods" for "money" may help.

Hint: If you're selling 10 million units/month for $1 apiece,
and realizing a profit of 10%/unit, reducing your cost ~13%
while maintaining unit price doubles your profit.

And, if said reduction reduces performance in a way not immediately
apparent to end users, the bulk of the windfall can be funnelled into
executive compendsation, plus you'll have a chance to pump & dump
your shares before the marks, err.. markets, react.

Possibly not good for the firm, long term, but long term we're all dead...

No doubt my math is suspect, but you get the idea.

Jack
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