Does the lowest price mean the most popular market in the field of manufacture?
Since the Internet developed and grew up in China, it has had an impact to domestic Internet-related industries. These emerging industries benefit from Internet, and have also changed the lifestyle of the masses. The promotion of Taobao and Pinduoduo APP contributed to the developing of the majority of manufacturers. Especially to say, many small enterprises have successfully counterattacked and promoted the vast. Being cheap means being the mainstream, which has consistently become the core goal of the manufacturing industry. Today, we are going to talk about whether the lowest price mean the most popular market in the field of manufacture.
A story goes as below: In the past, there was a boss who started the chain factory. He put the quality in the most important place. Several months after he had sent out a few batches of goods to some customers, he found that they did not order again any more. The boss felt confused. The price was the same as others, and the goods were qualified, but why was there no more orders? After three months, the boss finally couldn't help himself. He met one of his customers to ask for reasons. The customer was also full of worry and took the boss to the customer who used the product, and let himself observe. The boss carefully checked the chain, and did not see any problems. He got more confused: “ The quality is still good. There is nothing to worry”. Then the customer told him there the problem was. Because the chain stayed good, there was no need to change, so customers would not buy the chain again. If they didn’t need to change for another one, how can I place an order to you? He suddenly realized that the quality standard should be lowed. So the chain was thinned, the pin small tube was shortened, and the hardness of the big tube was also lowered. From then on, the business was booming.
An appropriate price is conducive to industrialization and scale, but if the price is too low, the industry will be strangled, which is the truth that is proved by countless facts. The price is a double-edged sword, which can hurt people and also hurt oneself. The irrational price war does no good to everyone. The industry can’t have profits, which means they are almost dead. We appreciate those who always insist on it. Enterprises that are positioned by themselves, from brand positioning, quality positioning to price positioning, are the backbone of the industry, the future and the hope of the industry. They are worthy of respect.
The truly respectable enterprise is not the fastest growing enterprise and the largest enterprise, but the enterprise that consistently creates business value and social value. If an enterprise has its own bottom-limit and existence, it will bring good for the industry, for society, and for themself! Therefore, sticking to the value of its own products, adhering to its own business value, and persisting in its own value are an important bottom line and commercial bottom line.
If there are too many companies in an industry that produce junk products, they will fail, which is not worthy of our sympathy. In other words, we don’t need any junk company. If a category has a lot of companies that produce junk products, it will be destroyed and not worthy of sympathy. In other words, we don’t need garbage companies.
In the past 30 years, our economic level is very poor, and our spending power is very weak. We need a lot of low-end products and even garbage products to fill, so some garbage industries were developed, which was understandable; However, nowadays consumers has their own consumption power and aesthetic judgment. Producing so many junk products is a waste of resources, and it is challenging the tolerance of consumers, which is not responsible for the industry and future. The advocacy that you get what you pay for should always be the same. The price of a product should be composed of many aspects. In many cases, the cost of research and development has not been recovered. The product is already sold out. In this way, how would the manufacturer be willing to develop new products next time? The so-called pricing is to evaluate the value provided by the product or service and then determine the price. The pricing is not the one you want to label on the goods with the number you want, but the way you evaluate the price of your goods for the customers to accept. The pricing is related to four factors in the company's operation: the company's strategy, the company's customer base, the company's competitive environment, and the company's product differentiation. When you price your products, you must incorporate these four elements.
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