Strange calculation, more than 100% saving?

Story: Microsoft Struggles in South Korea Total Replies: 1
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hkwint

Sep 18, 2005
5:36 AM EDT
The numbers in this article are a bit odd:

They say they saved 5 billion won (5 000 000 000 won if I'm correct) on 9 000 PC's, because they keep pressure on MS by also having the alternative Hancom-office suite, so they can negotiate about the price per license of MS-Office. I converted that to / calculated that would equal 500 Euro per MS-Office license. However, I suppose this is more than 1 Office-license cost. (A rough estimate: 1 dollar ~ 1 euro for simplicity, so even if you're not familiar with Euro's, you see this is a very strange number)

Did I make some mistake? Already send an email to the Korean Times to ask them. I hope to get an answer, if I get it, going to let you know.
tadelste

Sep 18, 2005
6:19 AM EDT
I don't have the country managers cost book, but it sounds correct. You're off a bit because the Euro is a premium to the dollar. So, it would be about $460 depending on the day. Costs of MS Office run higher in many countries outside the US.

The purchasing power partity price could be 10 times as high, however. That is - the number of days worked in countries with a lower Gross Domestic Product than the US would be more to purchase M$ products.

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