Thursday 3 July 2008

Itsa Nicea Price

Price is a curious concept. I'm not talking about price elasticity of demand, contribution pricing or skimming price. I'm referring to the anachronism of price.
It's my own personal theory, up there with Cosby's law of inter-generational perversity for sheer noteworthiness.
Why are businesses screwing each other?
The more you drive down a supplier, the greater their financial hardship. Common sense says that your short term gain (saving) is someone else's pain. Let's look at the catering industry; hardly known for its flexibility on price is it?
Next time you're in Costa Coffee, Starbucks or (insert generic homogenous brand here) , present that £3.75 crayfish and roquette pitta at the till and say :
" Budgets are tight; what can you come down to ? "
An intriguing but risible prospect I'm sure you'll agree. Yet with monotonous regularity, companies are beating down their commercial partners. Advocates who are helping them win new business and conferring greater kudos on that organisation.
Hardly makes sense, does it?
Would a patient undergoing cosmetic surgery haggle with the cost of having her mammary glands bolstered?
" I know it's 4 grand Doctor, but can you do it for 2 and a half ? "
I do wonder how much of this "the client wants it cheaper" is actually credit crunch, or good old fashioned avarice?
For very reasonable prices, point your browser at http://www.wonkanaproductions.com/