Chapter 44

Robin Hood

Take from the rich and give to the poor

A tall building bent into a curve, depicting a bow, while an arrow is mounted on its string, with a pair of shoes tied near its head.

The pattern

It would be difficult to find a more evocative title for the Robin Hood business model, whereby a product or service is sold to ‘the rich’ at a much higher price than to ‘the poor’. The bulk of the profits are generated by the rich customer base. Serving the poor at a low price is often not directly profitable but creates economies of scale that other providers cannot achieve. Additionally, accommodating the poor in this scenario can have a positive effect on a company’s image.

Following in Robin Hood’s footsteps, a company pursuing this philosophy supports the ...

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