Is it time to re-think "what the market will bear"?
I'll just let you who are economic guru's on hubpages go to wherever you will with this question. It's an intuitive sense I have, based on....? probably the increasing disparity of wealth - That's all I've got.
Hello Billie. I am not a economic guru. I am willing to learn.
Bear market = A prolonged period in which investment prices fall, accompanied by widespread pessimism.
Investment price basically is that as being the price as a value paid for something. An exchange or worth for worth.
"What the market will bear" in essence is a Return on Investment (ROI) of a price on whatever & is profitable. Until the bear of the market is an occurrence where the ROI is no longer profitable + pessimism.
Or, I buy a pizza for $10.00. It has 8 slices. I am single. I eat 2 slices a day for dinner until the 4th day. I toss those two slices in some manner based on what is told as being safe to eat, or 3-5 days in a fridge. Ponder fact, rumor, marketing & wisdom.
That is the point of "What the market will bear."
Market = Fridge
Product = Pizza
Shelf Life = 3-5 day
Thus, the $10 pizza at that moment has a value of less than. Or, there was a loss of 25% or $-2.50.
Wealth is a funny thing. Wealth is not as much relational as it is relative. Disparity is basically a condition of not equal of A relational to B. It is not necessarily relative. Or from where
I spent $10 to acquire a pizza at a price in a market place.
A homeless person cannot afford that pizza since that person has no money. Ponder why they sell pizza by the place in cities like Chicago and New York vs. the norm of Southern California at least.
Now a choice is available of how to rid the supposed 2 slices of pizza that are no longer healthy to eat?
A) toss it in the trash
B) toss it as in offer it to that homeless person.
If the homeless person accepts that pizza they have a net gain $2.50. Expressed as as ROI is (Gain of investment - cost of investment) ÷ cost of investment. Or, for that homeless person we discover (2.50 - 0) ÷ 0 = undefined. What does that mean?
The ROI for me is (-2.50 - $10.00) ÷ $10.00 = -125% & is equal to Gross Profit Margin. I Ponder. Are those slices eaten a gain or an expense? Or, Profit = Price - (cost + expenses) or 0.0% if all of the pizza is eaten. It is not. We see Profit = $10 - ($10 - $2.50) or $-2.50. It is an unprofitable investment.
Relative vs. relational with wealth. Did that homeless person receive a benefit of worth and value greater than me? The disparity of wealth is -125% vs "Undefined." Wealth is in general a tangible or intangible thing that makes an entity better off. Solution = Deal. Buy 1 pizza at $10. Get +1 at $1. Share the wealth. Until,
Interesting. As a non-economic person, I see "Market" as the purchaser. If I sell you my goods by "what the market will bear," all I have to do is convince you that your roi is high whether or not it is, so that I can make a higher profit.
Ponder. Stated by reply = a position = advertiser or marketer? Not market. Different. ROI then is as to cost of advertising vs. Customers = Potential energy, as $. Value is Exchange of Worth for Worth. Always. Common = $. Not common is stock + Risk.
Tsmog. You are WAY over my little head! I'll check to see if you have a hub on this. Maybe may lack of understanding is I have no ROI in spite of the fact that I have a business (tee hee)
Hello Billie. TY + a giggle. ROI used mostly with $. Total words here you read = 530 or 2.5 minutes of time. U make $10/hr. Time spent = $0.43. If Stop there = no profit or ROI = 0%. Or, Ask ? + Think = R&D = investment. Was there a gain? Y = +R
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