In an extraordinarily competitive environment, we in the leather goods manufacturing industry are facing the dilemma of how to compete while maintaining the integrity of our businesses. Will the price of our products and services affect the value provided? The answer is… No. On the other hand, quality is presupposed and already assumed by the buyers that want to have the “Made in Spain” embossed on their leather products. Let’s have a deeper look at the concept of “Value”.
The images below try to reflect the words and concepts associated to words such as “Quality”, “Price” and “Value”. According to the Merriam Webster Dictionary “Value” is defined as worth of importance; the adequate or satisfactory return on or recompense for something. Things have value, or are of value, or are valued. “Price” is defined as cost of something bought or sold. However, things that have a price may or may not have Value.
Providing value, or even better, added value for the price that, obviously, our buyers have to pay for our products (or services), is the best position for a business that want to compete globally.
How do you add/provide value to your products and services? At what extent is price so important in a high quality leather product?