Let v(b) be price coming out of value based pricing. Let c(b) the price coming out of cost based pricing.
A business exists iff v(b) > c(b)
Eliminates a lot of SMB products like Dukaan/Khatabook and others who sold products at prices which completely overlook the value perceived by their customers
Watch Kevin’s entire talk at https://youtu.be/jwXlo9gy_k4
Loook at car dealerships selling the same brand. You have no idea what is going on.
untrue.
This is very valuable advice, thank you!
The point of advertising is to 1. Make people aware of your product 2. Make the perceived value of your product as strong and high as possible
I was today years old because the I thought they were both factors and being tona medium. I didn't know they were two separate things.
1) Price and cost = incentive to sell (cost plus )
2) Price and value = incentive to buy (value based pricings )
I'm surprised it's works for
good: tangible = item ( physical item )
service: act ( cleaning, taxi driver, etc )
Isn't a product a good?
Bro talked about supply and demand and made it look like it was something else
Wow😮
Wow!!! Amazing man.
You had discovered the hot water.
🎉😮🎉👌simple.
A whole college level course explained in 30 seconds
Nice
Way to eliminate a business idea
Let v(b) be price coming out of value based pricing. Let c(b) the price coming out of cost based pricing.
A business exists iff v(b) > c(b)
Eliminates a lot of SMB products like Dukaan/Khatabook and others who sold products at prices which completely overlook the value perceived by their customers
Pricing is always fixed with a mix of both cost and value Pricing model
HBR video on this goes into more detail.