he sent a letter to every tenant at that park in Grapevine, Texas, telling them the rent was going to more than double but was still below the market rate of $325.
“If you don’t like this or you think you can do better, here’s a list of all the other parks in Grapevine and a list of the owners,” he said in the letter. “Go ahead, call them if you want to move. How many customers do you think we lost? Zero. Where were they going to go?”
Says it all. When you've got a captive market, you can squeeze them for every nickel they have. You only have to leave them with just enough money such that they won't give up completely (although that's worth doing a few times; if they do just give up, you evict them and replace them, and the new tenants are paying the higher rate, and soon enough you've covered the costs of eviction and are making a higher profit).
Come now, you've dropped the context for that quote.
he sent a letter to every tenant at that park in Grapevine, Texas, telling them the rent was going to more than double but was still below the market rate of $325.
“If you don’t like this or you think you can do better, here’s a list of all the other parks in Grapevine and a list of the owners,” he said in the letter. “Go ahead, call them if you want to move. How many customers do you think we lost? Zero. Where were they going to go?”
“If you don’t like this or you think you can do better, here’s a list of all the other parks in Grapevine and a list of the owners,” he said in the letter. “Go ahead, call them if you want to move. How many customers do you think we lost? Zero. Where were they going to go?”
Says it all. When you've got a captive market, you can squeeze them for every nickel they have. You only have to leave them with just enough money such that they won't give up completely (although that's worth doing a few times; if they do just give up, you evict them and replace them, and the new tenants are paying the higher rate, and soon enough you've covered the costs of eviction and are making a higher profit).