Establishing Value When No Price Was Initially Stated
Business

Establishing Value When No Price Was Initially Stated

financial literacy

When it comes to putting a price on an item or someone’s service it can often be subjective where one could extremely over or undervalue its worth. What I was thinking about is when people constantly barter or exchange services where that is essentially the money if you want to call it that where people just trade some kind of job that needs to be done. But what’s interesting is how in these situation when people try to put a price on their product or service after.

Just as example maybe you often gave a person apples and they gave you oranges where for the most part it is equal in your mind. But one day when you are asked to state a value of it I would often hear things like how the guy giving the apple would say one dollar whereas the guy giving the oranges may say like five dollars.

What this made me think of is how many times in business if you are going to barter and exchange some kind of product or service at times it can be good to establish an actual price regardless. It can make things more smooth in the future if people ever decide to change up the agreement as an example because the value of something can be all over the place simply based on what one wants to say.

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