This whole price parity issue with Amazon over the past few days as got me thinking. What if the prices for everything were the same?
Let’s imagine for a few minutes what would happen if we say, all governed by a communist government worldwide and one of the parts of the establishment was that for all products, the prices had to be the same.
I mean everything, from a can of coke to a Plasma TV. If it’s exactly the same product it has to be exactly the same price set by a third party, no if’s, no but’s and you go to jail if you break the rules. (The jail part is harsh, but I’m just making the point).
Now before you start picking holes, unbranded goods would fall into categories, for example, a printed T-Shirt, regardless of design or material would be a fixed price. All broken or refurbished goods have to be scrapped. Every single product is categorised and has its own fixed price, regardless of country of origin or point of sale and cross-border trade was not allowed.
How Would You Differentiate Your Business?
Humouring me for a few moments, that everything businesses product has to be sold at the same price as their competitors.
What would you do to to compete in a marketplace where everything was equal as far as pricing is concerned?
Let me know your thoughts in the comments box below.