Verno wrote on May 18, 2011, 14:21:
Again though, your idea literally cannot work because that's not how the used game industry functions. Companies don't just accept used products willy-willy, they will stop accepting inventory for titles that they don't think they can sell back or give you so little money that they will profit eventually when it sells for $5 or whatever. It would be an ongoing price battle that the industry couldn't win, especially in the face of companies like Amazon, Wal-Mart and Gamestop. Everyone is doing used games now unfortunately.

Retailers like Gamestop can afford to go lower on price than Sony who depends on retailers like Gamestop to help sell their consoles and new games too. That's exactly why the industry is so upset. The whole point here is that they have created an imbalance in what was a symbiotic relationship and the industry is now seeking workarounds. If it was as simple as opening a few used game stores or stepping up XBL Games on Demand they would have done that already.

Not really, in fact there is a great deal of price competition on both new and used games. It just often takes place in the form of credits, special offers or DLC.

The manufacturing side of the industry can't do this with its own store place on a widespread scale because it devalues the product and will just cause prices to go lower through other sources even faster.