US states are cracking down on EB games, by placing the chain in the same line as pawnshops. Pawnshops, in some states, are subject to a hold time of 30 days on all items before they are allowed to put them up for sale. With the time it takes for individuals to beat games, and an added month on top of it, those who prefer purchasing cheap versions have to wait a lot longer. EB Games naturally is suffering from these regulations as well, because as they’ve proudly stated, 50% of their profit tends to come from their used game market, and their high mark up prices.

So just who does gain from the whole deal? Mostly the publishers who don’t gain any profit from the used game market, and therefore lose title sales as a result. It’s a double-edged sword. Florida, Utah and Ohio are all states that are currently cracking down on EB Games, with probably some more to follow.

Read (Shack News)

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Tags: Business, Software