Even though I am laughing, I believe pricing is flawed today because it considers the cost of production. Nestle's production of bottled drinking water is a prime illustration. In a particular region in Ontario Nestle has to
WOW TBC Classic Gold pay around $500 for every million litres groundwater they pump. That's around 1/20th of a penny per one litre (which generally fills two bottles).
They must pay for their equipment, maintenance personnel and infrastructure. Even though their product isn't cost-free, I wouldn't be shocked to see an enormous profit.
The market will decide the price you charge. This is the biggest issue that prevents local production of craft and high quality goods being sustainably produced.
People who buy bottled water are the biggest consumers on earth. The same thing is being poured out of taps. In addition, the amount of plastic being produced is inundating landfills and oceans... while those who claim to be eco-friendly have no problem drinking bottled waters.
certain.... it's true. it's just an instance. There are many other examples and situations in which production costs do not drive the price of the product. How do you price IT if it was based on
buy Burning Crusade Classic Gold inputs? Do you pay plumbers only for the equipment they employ? Are you asking for them to justify their hourly rates by comparing their expenses for training and earning the certificates? How do you price securities and other investment vehicles whose only cost is the risk of owning them?
