Quote:
Originally posted by RANDY P
Believe me, if price is what drove sales and volume, then top line (retail) wouldn't exist. That being said, is it price, or is it value that drives people to buy?
What determines fair? Whether or not the guy sititing on the other end of the table can survive for less? What about risk? The guy that's gotta put the money up front to build the house? If it doesn't sell, he doesnt eat. He hires a Realtor to sell it - just to be sure it sells. If you don't buy, the sales guy doesn't eat. If that happens, then the market corrects itself through attrition or re packaging.
What I mean is that selling an item to the general public is a lot harder than most think it is, that's why the business is what it is. If you don't see the value then you don't buy. Now, how do you find a way to make it a value? Well, there you go - sales force.
As I said before, if there was a way that they guy who made the product could handle the risk, and sell to the end consumer without the middleman (sales) they would. Historically, that never works out though.
Parting words - It ain't the price that's gonna close 'em, it's the value.
Just my $ .02.
rjp
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Randy,
Agreed totally, but ...The argument is this, why is resale taking the lions share of the profit? There is not a lot of risk selling food/cars , or houses. How many times have I /you sat down celebrating in some high end resturant with a healthy bonus from some sale, and said ...maybe we should get the crew a pizza party for this?