So company AXU wants to ofter a computer that is better than company ZTM they can simply choose to use a faster processors to show their difference. While there may not be any major performance difference between the two processors; the company with the faster processor will draw the business over the other one. So we offer the large number of processors because their is a demand for them.
I think that sounds good on paper, but what ends up happening is a handful get clustered around the same price, and then only the fastest one makes sense to purchase. I think you could acheive the same goal with, say 300Mhz $10 increments instead of 100Mhz $3 increments.
Just as an example, right now in the $65-70 range, you can buy the G620, G630, G640, g645 and the G860. Tough call, 3.0Ghz for $68 or 2.7Ghz for $65.
The Celeron G530 and G540 are ONE dollar apart. The G640 and G645 are ONE PENNY apart. Way to much crowding at the bottom for logic to explain.
1). You're looking at the processors the public buy which does affect the cost of them at the point of sale. Demand will raise or lower prices depending on supplies.
2). When you're buying for big business, I don't by the way, you've got to take all those little increments of price vs performance into account as they soon stack up when your buying 10,000+ machines.
Price fluctuates based on demand. Many online prices are based on the behavior of consumers. Not just their own website, but others as well. The price-bots then sets the prices according to a complex algorithm used to calculate what prices should be set for each product. As demand increases so does the price.
The small spread amongst the various "value orient" Pentiums could mean that there is in generally low demand. If more consumers buy a product, then that means the demand for that particular CPU is increasing. The price bot adjusts the price upward to increase profits. While this may deter some potential buyers, price bot algorithms are designed to generate the most revenues for the e-tailer. That's different from trying to sell the most.
While selling a particular CPU for $70 many be attractive to so many buyers that the entire stock is completely sold out, setting it for $75 could mean more profit even though some stock will still remain.
Price bots can sometime go "rouge" though. The simple example is the Nexus 7 on Amazon. The price for the 16GB version of the Nexus 7 reached as high as $250 this week and the 32GB version of the Nexus 7 was priced as high as $329.
Those tablets can be bought from Newegg or directly from Google for $199 and $249, respectively. Those are the normal street prices for the Nexus 7. I bought my Nexus 7 32GB from Newegg a couple of weeks ago for $249 while Amazon was selling it for $279 back then.