A SHORT STORY ABOUT PRICE AND VALUE

A small-town barber named Willard operated a successful downtown barbershop for many years. He took immense pride in his work and viewed cutting people’s hair as an artform. He charged his customers a price of $15 a haircut, which he believed was a fair price for his clients, and, allowed him to provide a comfortable lifestyle for his family.

One day, a national chain opened a barbershop across the street from Willard. The new manager set up a sign on the street that said, “$10 haircuts!”

Willard’s friends and family were concerned.

“How can Willard compete for business with a corporate chain undercutting his pricing?” they discussed amongst themselves. “Certainly, this new shop will put him out of business!”

The next day a sign appeared outside Willard’s barbershop that simply read, “We fix $10 haircuts.”

Price is what you pay. Value is what you get.

LiveTPG

Originally published at https://www.livetpg.com on August 12, 2021.