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I can almost guarantee you that dude has a board or shareholders or whatever, breathing down his neck, and his yearly bonus is depending on the number of units sold. So he will canibalize the whole system with a complete disregard for the long term effects, so long as the magic number goes up in the short term and he can cash in his bonus.
You just described all business in the modern day.
This is exactly the reason the saying “they don’t make them like they used to” is a thing for everything.