Constrained supply can be a good marketing technique for a short period time and can drive awareness and a sense of urgency, but the demand needs to be elastic. 12 months after the Wii launched, it was still highly sought and frequently sold out. I don't think we'll be saying the same for the Nexus 4 in November 2013.
That's not to say that the limited number of phones must have been for marketing purposes. The decision could also have been balanced against other manufacturing commitments or other reasons.
O2 sells it at £399.99 with no contract.
Carphone Warehouse, £389.95 with no contract.
In the same shops, the iPhone 5 is basically the same price than on the Apple store.
EDIT: It's not a counter argument, just adding more infos to the subject of pricing.
The Wii was the same way. It was "hard to get" for two Christmases. How is that at all possible? A company misjudges their demand that badly for two years in a row? But really what happened was they just kept a decent pace of manufacturing that satisfied all demand just in time. I never heard of anyone not getting their Wii when they wanted it for either Christmas.
And you really need exactly that: stories of people "getting theirs". So the delays should be somewhat minimal, enough that people can show off getting theirs and tell the story in time for the next person to do the same thing. The Best Buy on Main Street gets deliveries on Tuesday. Come back then!
People mess up forecasting all the time. I've been a personal witness to several instances of this. It usually results in someone getting fired.
Overproduction can be a terrible burden on any company. It is often better to take the low forecast to reduce risk.
>If they actually can provide, but claim they can't, it's false.