It is only a temporary illusion that the price is

2024. 7. 26. 07:17U.S. Economic Stock Market Outlook

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It is only a temporary illusion that the price is determined by the supplier under a market capitalist system, and it is determined by the balance of supply and demand grains in the market. It is a game of cut-throat or chicken run that guarantees service quality to compete in the competition with price while operating in the service or distribution business. As a result, companies that have attempted to compete only with low-cost competition will lose money in the mid- to long-term because they become low-quality service companies or fail to meet their costs.

On the other hand, if the customer wants the added value and the market recognizes it, the volume and price can go up, draw a J-curve, and recover the added investment if they compete for higher customer value. Companies with excellent empathetic abilities, or companies that know what is important from the customer's point of view and what the real value they want, win.

Customer value for the "time and effort" spent on shopping is greater than the small price difference of products such as daily necessities. The price difference is bound to become smaller in the digital age, where information imbalance can be easily reduced. Coupang, which found that fast delivery or easy returns such as early morning delivery had a much higher added value in e-commerce, invested trillions in delivery centers, and pushed to the end with religious beliefs, survived with volume, tried to make it cheaper, fell behind in quality or delivery competition, and failed to find added value to differentiate itself, giving way to Temuna Ali.

S&I is actively working to find out the real problems and real values of customers in the prop-tech industry and create service design and solutions. In the space, real estate, building, and facility management service markets, customers want to reduce the "time and effort" required for problem solving or disaster prevention. The core added value will be how to simplify various and complex spatial problems such as safety, security, cooperation, beautification, health, and welfare of all company general affairs departments that need space. The low-cost competitive bidding practice is just a chicken run game in which the domestic industry collapses.

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