If You Would Pay More For A More Expensive Product

[Ponca Dan]

Made in America than the exact same thing made in China or Vietnam you’d be the only one. Putting Trump’s tariff boasts to the test. Oops!

Everyone Says They’ll Pay More for “Made in the USA.” So We Ran an A/B

When we priced a U.S.-made version of our flagship product 85% higher than our Chinese-made one, 25,650 customers had the chance to vote with their wallets. Here’s what happened. As small business owners, we’ve heard it a thousand times: “I’d gladly pay more to support American-made.” We wanted...

afina.com

 

[long-duc-dong]

Cool story bro.

 

[Medic007]

Made in America than the exact same thing made in China or Vietnam you’d be the only one. Putting Trump’s tariff boasts to the test. Oops!

Everyone Says They’ll Pay More for “Made in the USA.” So We Ran an A/B

When we priced a U.S.-made version of our flagship product 85% higher than our Chinese-made one, 25,650 customers had the chance to vote with their wallets. Here’s what happened. As small business owners, we’ve heard it a thousand times: “I’d gladly pay more to support American-made.” We wanted...

afina.com

Dodge, are you familiar with this equation?

Y=C+I+G+X-M

 

[fairdinkem]

Made in America than the exact same thing made in China or Vietnam you’d be the only one. Putting Trump’s tariff boasts to the test. Oops!

Everyone Says They’ll Pay More for “Made in the USA.” So We Ran an A/B

When we priced a U.S.-made version of our flagship product 85% higher than our Chinese-made one, 25,650 customers had the chance to vote with their wallets. Here’s what happened. As small business owners, we’ve heard it a thousand times: “I’d gladly pay more to support American-made.” We wanted...

afina.com

As usual, with you, it is always about the esoteric/anarchistic perspective. It took me a while to heed my grandfather's advice of buy quality/buy once. When I find a good service provider, I stick with them, not regardless of price, but I value quality and will pay more for quality & all that implies. So the answer to your ecclesiastical question is yes, because I am a patriot & provided the value is there.

 

[2012Bearcat]

Dan doesn't understand negotiations and never will.

 

[Ponca Dan]

As usual, with you, it is always about the esoteric/anarchistic perspective. It took me a while to heed my grandfather's advice of buy quality/buy once. When I find a good service provider, I stick with them, not regardless of price, but I value quality and will pay more for quality & all that implies. So the answer to your ecclesiastical question is yes, because I am a patriot & provided the value is there.

Duh!

 

[fairdinkem]

Duh!

Is this the response to my text or to Medic's question? I would like to see your answer to that.

 

[Ponca Dan]

Dodge, are you familiar with this equation?

Y=C+I+G+X-M

No, I was not familiar with that formula. So I looked it up. Did you want to use that formula to make a point?

 

[Medic007]

No, I was not familiar with that formula. So I looked it up. Did you want to use that formula to make a point?

Just curious if you know how the trade deficit is financed.

 

[soonerinlOUisiana]

No, I was not familiar with that formula. So I looked it up.

Then you need to STFU and stop trying to lecture the normal people. It’s like trying to lecture people on physics and having no familiarity with E = MC^2. SMH

 

[Ponca Dan]

Just curious if you know how the trade deficit is financed.

Make your point if you have one.

 

[Medic007]

Make your point if you have one.

Nah, I'm asking you a question instead. Do you know how the trade deficit is financed?

 

[2012Bearcat]

Nah, I'm asking you a question instead. Do you know how the trade deficit is financed?

Dan be like

 

[Ponca Dan]

Nah, I'm asking you a question instead. Do you know how the trade deficit is financed?

Of course you’re asking a question. That’s what you do. You never have a point. Make your point, Medic, grow a pair. Show how your formula relates to how a “trade deficit” which is a “capital goods surplus” is financed. I know why you won’t do it: because you don’t know.

 

[Medic007]

Of course you’re asking a question. That’s what you do. You never have a point. Make your point, Medic, grow a pair. Show how your formula relates to how a “trade deficit” which is a “capital goods surplus” is financed. I know why you won’t do it: because you don’t know.

You could save keystrokes by simply typing "I don’t know how the trade deficit is financed."

 

[Ponca Dan]

You could save keystrokes by simply typing "I don’t know how the trade deficit is financed."

Why don’t you use some keystrokes and type “I know how the capital goods surplus is financed?” You won’t make your point because you don’t have a point, just a desperate search for a “gotcha” you hope will stick.

 

[Medic007]

Why don’t you use some keystrokes and type “I know how the capital goods surplus is financed?” You won’t make your point because you don’t have a point, just a desperate search for a “gotcha” you hope will stick.

You poor thing. Why are you so triggered by a simple question, Dodge? You still haven't answered it.

 

[Ponca Dan]

You poor thing. Why are you so triggered by a simple question, Dodge? You still haven't answered it.

Why haven’t you answered your question, Medic? Don’t know what your formula has to do with financing the capital goods surplus?

 

[Medic007]

Why haven’t you answered your question, Medic? Don’t know what your formula has to do with financing the capital goods surplus?

🤣🤣🤣🤣🤣

Oh my.

 

[fairdinkem]

You poor thing. Why are you so triggered by a simple question, Dodge? You still haven't answered it.

I get paid to consult for people & orgs. to teach & explain concepts & procedures that they don't understand.

The value they derive is greater than the cost of the services.

Dan needs to go on the clock.

Why haven’t you answered your question, Medic? Don’t know what your formula has to do with financing the capital goods surplus?

Jeebus, get him some meds. He's stuck in a illogical do-loop.

 

[fairdinkem]

I get paid to consult for people & orgs. to teach & explain concepts & procedures that they don't understand.

The value they derive is greater than the cost of the services.

Dan needs to go on the clock.

Jeebus, get him some meds. He's stuck in a illogical do-loop.

Oops. "an".

 

[Ponca Dan]

I get paid to consult for people & orgs. to teach & explain concepts & procedures that they don't understand.

The value they derive is greater than the cost of the services.

Dan needs to go on the clock.

Jeebus, get him some meds. He's stuck in a illogical do-loop.

Oh you’re so close. The term that gets forgotten when talking about a “trade deficit” is the word “trade.” A trade is an exchange between entities of a value for a value at a profit for each. The tariff protectionists have managed to convince the public that the entity that pays the money is the loser. That is not the case. The entity that paid the money valued what he paid for over the money. He is the “winner” of the capital goods surplus. He wanted the goods and valued it higher than the money he paid for them. This trade deficit scare is a typical government boondoggle, a manufactured “crisis” by which government agents convinced the public to give up a slice of its liberty in exchange for “protection” from the mythical enemy. Now THAT’S your trade deficit!

 

[Medic007]

Why haven’t you answered your question, Medic? Don’t know what your formula has to do with financing the capital goods surplus?

Dodge, if we send a whole bunch of US dollars to folks in other countries for goods and services they produce, more than what those countries spend on US exports, how do you think we keep getting more money to spend on imported goods? What do you think those folks in foreign countries do with the dollars we send them for their goods and services?

 

[Medic007]

Oh you’re so close. The term that gets forgotten when talking about a “trade deficit” is the word “trade.” A trade is an exchange between entities of a value for a value at a profit for each. The tariff protectionists have managed to convince the public that the entity that pays the money is the loser. That is not the case. The entity that paid the money valued what he paid for over the money. He is the “winner” of the capital goods surplus. He wanted the goods and valued it higher than the money he paid for them. This trade deficit scare is a typical government boondoggle, a manufactured “crisis” by which government agents convinced the public to give up a slice of its liberty in exchange for “protection” from the mythical enemy. Now THAT’S your trade deficit!

Dodge, would you agree with this view?

Any country benefits when they import goods and services rather than sending its local production abroad.

Exports constitute an opportunity cost because the embodied real resources could have been used domestically rather than being sent for the benefit of foreign consumers.

Conversely, imports constitute a net benefit to a nation because they involve foreigners transferring their real resources to the importing nation, thus preventing their own citizens from using them.

Taken together, a trade deficit provides net benefits to the nation, permits higher material living standards, and is said to thereby increase the real terms of trade for the deficit nation.

Nations that run trade surpluses deprive their citizens of a higher material standard of living – either they are being underpaid, under consuming, and/or working longer than they must, which are consequences of reductions in real terms of trade.

 

[fairdinkem]

Oh you’re so close. The term that gets forgotten when talking about a “trade deficit” is the word “trade.” A trade is an exchange between entities of a value for a value at a profit for each. The tariff protectionists have managed to convince the public that the entity that pays the money is the loser. That is not the case. The entity that paid the money valued what he paid for over the money. He is the “winner” of the capital goods surplus. He wanted the goods and valued it higher than the money he paid for them. This trade deficit scare is a typical government boondoggle, a manufactured “crisis” by which government agents convinced the public to give up a slice of its liberty in exchange for “protection” from the mythical enemy. Now THAT’S your trade deficit!

“A trade is an exchange between entities of a value for a value at a profit for each.”

This is not a “rule”,it is an ideal. Not all trades benefit both parties economically. Often a party will give up something of value to offset a totally different issue. They don’t win “economically” but in some other manner that matters.

“The entity that paid the money valued what he paid for over the money. He is the “winner” of the capital goods surplus. He wanted the goods and valued it higher than the money he paid for them.”

Brilliant Dan! This is what I explained to you previously. Here’s a freebee scooter. The value equation is this: When expectations exceed cost, value is attained.

“This trade deficit scare is a typical government boondoggle, a manufactured “crisis” by which government agents convinced the public to give up a slice of its liberty in exchange for “protection” from the mythical enemy. Now THAT’S your trade deficit!”

Dan, what did you do for a living after you were a soldier? Don’t know what it was but I sure know what it was not, that is anything to do with sales, negotiation, or value determination. You would have starved to death working on commission. So what was it that has made you such an armchair QB on economic systems of the 2000’s? I am now convinced beyond a shadow of a doubt that you are nothing more than a troll. Nobody is this arrogant/ignorant and unaware of it.

I wish it was you on the other side of the table when I did my last deal with CNOOC in Bejing. My group would have been the revenue champion of the world.

 

[Ponca Dan]

Dodge, if we send a whole bunch of US dollars to folks in other countries for goods and services they produce, more than what those countries spend on US exports, how do you think we keep getting more money to spend on imported goods? What do you think those folks in foreign countries do with the dollars we send them for their goods and services?

What do you think happens with the dollars. Why don’t you lay out your thinking process instead of trying to lead me to your conclusion one question at a time. You clearly know something, so why don’t you just say what it is?

 

[Ponca Dan]

Dodge, would you agree with this view?

Any country benefits when they import goods and services rather than sending its local production abroad.

Exports constitute an opportunity cost because the embodied real resources could have been used domestically rather than being sent for the benefit of foreign consumers.

Conversely, imports constitute a net benefit to a nation because they involve foreigners transferring their real resources to the importing nation, thus preventing their own citizens from using them.

Taken together, a trade deficit provides net benefits to the nation, permits higher material living standards, and is said to thereby increase the real terms of trade for the deficit nation.

Nations that run trade surpluses deprive their citizens of a higher material standard of living – either they are being underpaid, under consuming, and/or working longer than they must, which are consequences of reductions in real terms of trade.

What do you think, Medic? Do you agree with it? If you disagree what about it do you disagree with?

 

[Ponca Dan]

“A trade is an exchange between entities of a value for a value at a profit for each.”

This is not a “rule”,it is an ideal. Not all trades benefit both parties economically. Often a party will give up something of value to offset a totally different issue. They don’t win “economically” but in some other manner that matters.

“The entity that paid the money valued what he paid for over the money. He is the “winner” of the capital goods surplus. He wanted the goods and valued it higher than the money he paid for them.”

Brilliant Dan! This is what I explained to you previously. Here’s a freebee scooter. The value equation is this: When expectations exceed cost, value is attained.

“This trade deficit scare is a typical government boondoggle, a manufactured “crisis” by which government agents convinced the public to give up a slice of its liberty in exchange for “protection” from the mythical enemy. Now THAT’S your trade deficit!”

Dan, what did you do for a living after you were a soldier? Don’t know what it was but I sure know what it was not, that is anything to do with sales, negotiation, or value determination. You would have starved to death working on commission. So what was it that has made you such an armchair QB on economic systems of the 2000’s? I am now convinced beyond a shadow of a doubt that you are nothing more than a troll. Nobody is this arrogant/ignorant and unaware of it.

I wish it was you on the other side of the table when I did my last deal with CNOOC in Bejing. My group would have been the revenue champion of the world.

I was a student before I was a soldier. I’ve been self employed since I got out. I would guess it was reading von Mises, Hayek, Rothbard (especially Rothbard) and others that connected economics (free markets) with individual liberty that makes me an armchair qb. As far as my business “negotiations” are involved it has been mostly one-on-one with individuals, occasionally corporate executives when dealing with national chains. When I was young and eager and inexperience I backed myself into many a corner. It’s a miracle I survived! But as I became more successful I learned to back out of deals telling my “trade partner” we just weren’t a good fit. The best line I’ve learned to use is “I want your business, I really want it. But I don’t have to have it.” I’ve watched more competitors come and go than I can count. I may not be a world class negotiator, but I’m not bad.

 

[fairdinkem]

I was a student before I was a soldier. I’ve been self employed since I got out. I would guess it was reading von Mises, Hayek, Rothbard (especially Rothbard) and others that connected economics (free markets) with individual liberty that makes me an armchair qb. As far as my business “negotiations” are involved it has been mostly one-on-one with individuals, occasionally corporate executives when dealing with national chains. When I was young and eager and inexperience I backed myself into many a corner. It’s a miracle I survived! But as I became more successful I learned to back out of deals telling my “trade partner” we just weren’t a good fit. The best line I’ve learned to use is “I want your business, I really want it. But I don’t have to have it.” I’ve watched more competitors come and go than I can count. I may not be a world class negotiator, but I’m not bad.

Lot of air. What did you do for a living. If consulting, what was the nature of it. What could a C-suite executive learn from your expertise? In your own words, what specifically did you consult on and with who/whom?

Before you ask, I consult with C-Level executives & sales professionals engaged in selling high value intangible goods. I also consult as a geoscientist with people that are interested in/are investing in specific oil & gas opportunities or with or in companies that engage in the finding of oil & gas utilizing high technology.

Your turn.

 

[Ponca Dan]

Lot of air. What did you do for a living. If consulting, what was the nature of it. What could a C-suite executive learn from your expertise? In your own words, what specifically did you consult on and with who/whom?

Before you ask, I consult with C-Level executives & sales professionals engaged in selling high value intangible goods. I also consult as a geoscientist with people that are interested in/are investing in specific oil & gas opportunities or with or in companies that engage in the finding of oil & gas utilizing high technology.

Your turn.

I’m not a consultant, dinkem, I’m a small business owner that sells and services and installs built-in central vacuum systems. I deal with home buyers, home builders (both custom and corporate), corporate buyers for restaurant chains, hospitals, nursing homes, corporate headquarters and the like, and am in my 56th year of doing so. I doubt that impresses anyone with your worldly knowledge, but to be honest I don’t care if it impresses you or not. As I sometimes tell a potential buyer: “we’re just not a good fit.”

 

[fairdinkem]

I’m not a consultant, dinkem, I’m a small business owner that sells and services and installs built-in central vacuum systems. I deal with home buyers, home builders (both custom and corporate), corporate buyers for restaurant chains, hospitals, nursing homes, corporate headquarters and the like, and am in my 56th year of doing so. I doubt that impresses anyone with your worldly knowledge, but to be honest I don’t care if it impresses you or not. As I sometimes tell a potential buyer: “we’re just not a good fit.”

It was not my intention to "impress" you. Your business sounds very interesting and probably highly competitive. Anyone in business for 56 years has to be doing something right.

It is worth remembering the 1st rule of negotiation that you seem to have copyrighted. That is, never enter into a negotiation that you cannot afford to walk away from. "We are just not a good fit" is absolutely required in situtations that are not value-based. I was taught & continue to teach to determine if your buyer is driven by cost, value, personal achievement and/or any combination of the three.

A technique I was taught many years ago to determine if my buyer was a value guy/girl or a cost guy/girl was to ask him/her what kind of car they drove. If they answered "a Yugo", you knew he/she was a cost guy/girl through & through. If they answered with any other car, you knew they appreciated value but was being disingenuous with you and if you were clever you could point this out to him/her with some expertise.

 

[Ponca Dan]

It was not my intention to "impress" you. Your business sounds very interesting and probably highly competitive. Anyone in business for 56 years has to be doing something right.

It is worth remembering the 1st rule of negotiation that you seem to have copyrighted. That is, never enter into a negotiation that you cannot afford to walk away from. "We are just not a good fit" is absolutely required in situtations that are not value-based. I was taught & continue to teach to determine if your buyer is driven by cost, value, personal achievement and/or any combination of the three.

A technique I was taught many years ago to determine if my buyer was a value guy/girl or a cost guy/girl was to ask him/her what kind of car they drove. If they answered "a Yugo", you knew he/she was a cost guy/girl through & through. If they answered with any other car, you knew they appreciated value but was being disingenuous with you and if you were clever you could point this out to him/her with some expertise.

The things I learned about business was taught by the school of hard knocks. I was “home schooled” if you will.

Your second paragraph is fascinating. I learned the same thing but put it in a different way. As a salesman (negotiator) I figured out there were three categories of customer. Type A is a guy that wants the best, nothing but the best, in fact equates the most expensive with the best. Those guys don’t grow on trees but there are more of them than you might imagine. And you aren’t doing him a favor by leading him to a cheaper model that actually fits his needs better, because he will always have in the back of his mind that there’s a better (more expensive) one than he has. Type B is where most people are; they’d like to be a Type A but they don’t have the money. But usually they’re willing to pay more than they anticipated if you can show them they’re getting much more value for the extra money. Those guys you always give two quotes, one that matches his budget and one that is an upgrade. Type C is the guy whose attitude is “you don’t fool me for one minute, I know your cheapest is as good as the other models, and if you aren’t the cheapest competitor you’re wasting both of our time.” I am never the cheapest, almost always the most expensive, and it is usually the Type C I tell we’re not a good fit. As a salesman (negotiator) the most important thing to do is to figure out which customer you’re dealing with and customize your pitch accordingly. It took me a long time to figure that out, but once I did I earned a very high “close” rate.

 

[fairdinkem]

The things I learned about business was taught by the school of hard knocks. I was “home schooled” if you will.

Your second paragraph is fascinating. I learned the same thing but put it in a different way. As a salesman (negotiator) I figured out there were three categories of customer. Type A is a guy that wants the best, nothing but the best, in fact equates the most expensive with the best. Those guys don’t grow on trees but there are more of them than you might imagine. And you aren’t doing him a favor by leading him to a cheaper model that actually fits his needs better, because he will always have in the back of his mind that there’s a better (more expensive) one than he has. Type B is where most people are; they’d like to be a Type A but they don’t have the money. But usually they’re willing to pay more than they anticipated if you can show them they’re getting much more value for the extra money. Those guys you always give two quotes, one that matches his budget and one that is an upgrade. Type C is the guy whose attitude is “you don’t fool me for one minute, I know your cheapest is as good as the other models, and if you aren’t the cheapest competitor you’re wasting both of our time.” I am never the cheapest, almost always the most expensive, and it is usually the Type C I tell we’re not a good fit. As a salesman (negotiator) the most important thing to do is to figure out which customer you’re dealing with and customize your pitch accordingly. It took me a long time to figure that out, but once I did I earned a very high “close” rate.

I guess your diatribe would be somewhat appropriate if you only had one buyer per deal. I can assure you that if you are dealing with companies of any size, such as you referred to above, there is more than one "buyer". You may be dealing with the purchasing manager or someone that is representing that they have signing authority, but I doubt it. I would gladly apprise you how to navigate the organization and determine who the true "economic" buyer(s) are to get the deal done regardless of the "representative" buyer and his "A", "B", or "C" status as you describe but that will cost you quite a bit of money. Unless you are dealing with a single person (1), 90% of the time you are not dealing with the only buyer (wives & girlfriends & relatives included).

Would you like for me to send you a budgetary quote for services?

 

[Ponca Dan]

I guess your diatribe would be somewhat appropriate if you only had one buyer per deal. I can assure you that if you are dealing with companies of any size, such as you referred to above, there is more than one "buyer". You may be dealing with the purchasing manager or someone that is representing that they have signing authority, but I doubt it. I would gladly apprise you how to navigate the organization and determine who the true "economic" buyer(s) are to get the deal done regardless of the "representative" buyer and his "A", "B", or "C" status as you describe but that will cost you quite a bit of money. Unless you are dealing with a single person (1), 90% of the time you are not dealing with the only buyer (wives & girlfriends & relatives included).

Would you like for me to send you a budgetary quote for services?

No thanks, not interested.