BMW, Cornelius Vanderbilt, New York discussed on The Jason Stapleton Program

Automatic TRANSCRIPT

Would not be able to keep up with his low prices and they would end up going out of business and then of course with no competition he within raises prices backup and for a very short period of time would make some money unfortunately that was always short lived because as soon as he did that as soon as the prices went back up new ferryman came back into the market so you see you might be able to kill your competition your current competition but you can't keep competition out of the market by keeping your prices artificially low below what it costs you to deliver the good or service it only works short term and it never ends yielding you the result that you want so people tend to have to continue to relearn this year after year after year i mean different people come up and they don't study history and they come think something's a good idea so if bmw wants to lose a massive amount of money giving people leases on i threes for less than what it costs them to manufacturer they can do that they're just gonna lose a truckload of money and eventually some of their competition will go away but the technology is not going away which means as soon as they raise their prices up again competitions gonna move back in and it's going to get split between all of the players the best thing that you can do is offer the highest quality product at the cheapest price and to do so to try and make a profit if you do that and you run a good business that way over time you will be very very successful all of these other shenanigans are just that shenanigans so keep that in mind when next time somebody talks to you about the evils of capitalism and selling stuff for less than market value tell them about cornelius vanderbilt and when he used to run the fairies up the up the channel in new york until tomorrow guys be safe good i'll talk to you then.

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