Marmaris Kultur

All things have value and often the price of that something dictates its value. However, value is not just the price. The service that something renders and the satisfaction of customers determines the true value and this is not determined by price. People will buy what they need and often at any price. Imagine a man needing new pants where only US$1000 a pair is available. This creates a situation where much money can be made at the expense of the customer. In this case, people will learn to make do with their existing pants longer. Let’s say the US$1000 pair of pants last, at most, 10 months. This makes US$1000 / 10 or US$100 a month.

Suppose another type of pants is offered by competitors that last only 1 month but cost only US$100. The overall sales will be the same and therefore profits will be similar. However, the person who buys the US$100 pants every month, gets to have new pants every month. This will cause the sales of the US$1000 pants to dwindle. Small Business Financing can provide competitors the necessary capital to fight overpricing. A Small Business Finance loan can rolled over to earn more money despite low profit margins. Business Finance loans provide a necessary service.