Sales rant

[deeveus 81]

As someone who has worked in 'sales' in the past it's pretty common phenomenon that people think their own (car / house / business) is far superior and worth more than an identical version that has recently sold.

The only issue with that is nothing 2nd hand is identical, for example there could be two 100,000km BMW X5's on the yard, one could require 5k worth of maintenance the other not, unless a house right beside each other on the same street are absolutely identical for example.

At the end of the day things are only worth what they are sold for & you will get people with opinions where ever you go & most the time the person with the opinion doesn't have any intention of purchasing.

[Allanw 1051]

most the time the person with the opinion doesn't have any intention of purchasing.

+1

[nath 129]

+1

+10:

An interesting point to prove this is that when the boys arent in the market for something or cannot afford it, they have every negative opinion in the world about value.

However When you are genuinely in the market and can afford to pick and choose, you are more than happy to shop in th eupper regions to secure a good example and assure good value.

[deeveus 81]

+10:

An interesting point to prove this is that when the boys arent in the market for something or cannot afford it, they have every negative opinion in the world about value.

However When you are genuinely in the market and can afford to pick and choose, you are more than happy to shop in th eupper regions to secure a good example and assure good value.

Some of it would be called "the green eyed monster"

[E30 325i Rag-Top 2915]

Sometimes people just dont want what you are selling, i.e demand is rediculously low. However if supply is also low, then its just a case of waiting for the demand to jump from 0 to 1 surely?

(eg. Racecars nobody wants right now )

Supply v Demand again, quite a few race cars up for sale at the moment, especially E30s, against what is probably a pretty limited number of buyers in the current economic climate.

Either hold your price and wait until people start buying race cars again, drop the price until you can convert a possible buyer into an actual buyer or differentiate your car from the others somehow...

[Docile 64]

supply and demand v1.2

demand and price elasticity

depending on the nature of the product or service or the nature of demand it can be elastic or inelastic. this will determine price sensitivity of consumers and sellers.

i.e. petrol. even when petrol is going up and up does your demand for it fall rock bottom? or you just suck it up and pay what mr oil person wants? in this situation we can say demand is inelastic. (does not move much when price goes up) usually 'i need' type of products and services have inelastic demand. and 'i wants' have elastic (sensitive to price change)

luxury goods or collectable goods can be said to be inelastic supply. i.e. some cars hold their value - aston martin, lambo etc.. you wont see them drop down into the 10k mark anytime soon or even classic cars like e30 m3 dropping down to 5k.

it all depends on the nature of the goods/service and the demand for it that will set the price. albeit for direct interventions such as price floor and price ceiling. but that is for another time

at the end of the day its really just between willing and able buyer and sellers.

Edited March 6, 2012 by Docile

[NZ BMW 368]

I can't be bothered reading all this thread but you do know that the gap to the left of the graph is still full of people who will pay up-to the top of the line for whatever you're selling.

If I can capture all that value for the exact same product/service from someone then why not? Hence "not in a hurry to sell, won't drop my price".

Equilibrium as "the only sale price" is not true.

[Docile 64]

equilibrium is the 'theoretical sweet spot where every bit produced is bought by the consumer'

[Guest Simon*]

I like chicken

Not so keen on redheads. Unless she's tanned

[Allanw 1051]

Equilibrium as "the only sale price" is not true.

Yes it is.

If you're selling one item, the equilibrium is where your one item meets the price of one buyer. You only have one, so only need one buyer.

There might be 400 potential buyers, but they might think it's worth 1/2 what you want. The equilibrium is where demand and the price meet (proven by the purchase of said item). When you have a buyer willing to pay that price, you have equilibrium.

If you then pulled another of the same item out of your arse, you may not get the same price, as demand has fallen, and all other potential purchasers have a different equilibrium point.

EVERY sale is an equilibrium.

[Guest Ari Gold]

I like chicken

Not so keen on redheads. Unless she's tanned

Emma Stone or Sam Hayes? I am stoked Sam is back in the country, I want a shot at that title.

[Apex 693]

Same Hayes any day. Just saying.

Would pay ridiculousness asking price, like if I spotted a rare car I wanted, would pay way to much for it.

[westy 614]

I like chicken

Not so keen on redheads. Unless she's tanned

Hmmm. An oxymoron? Maybe, maybe not...

[Guest Simon*]

Emma Stone or Sam Hayes? I am stoked Sam is back in the country, I want a shot at that title.

Both is the only answer