Capitalism rewards ability to provide perceived value measured in $. If people perceive your product/service to be of greater or equal value to them than the $ amount (the work they had to do to earn it) you’re asking for it , then they’ll pay for it.
you can increase perceived value through manipulation. Shrinkflation, cutting your product with something cheaper and worse, paying your employees less, lobbying the government to cut your costs, or punish your rivals, etc. All of these things increase perceived value, through fooling (defrauding) your client base. If you were doing it with a luxury good, well that’s one thing. But in capitalism, we’re seeing this being done with necessities. Food, water, healthcare, education, transportation, internet, a place to live.
Yes, thoes are some of the options you have. Markets are to some extend composed of fraud, despite this they’re still the most efficient instrument to reward value generation.
Capitalism rewards ability to provide perceived value measured in $. If people perceive your product/service to be of greater or equal value to them than the $ amount (the work they had to do to earn it) you’re asking for it , then they’ll pay for it.
you can increase perceived value through manipulation. Shrinkflation, cutting your product with something cheaper and worse, paying your employees less, lobbying the government to cut your costs, or punish your rivals, etc. All of these things increase perceived value, through fooling (defrauding) your client base. If you were doing it with a luxury good, well that’s one thing. But in capitalism, we’re seeing this being done with necessities. Food, water, healthcare, education, transportation, internet, a place to live.
Yes, thoes are some of the options you have. Markets are to some extend composed of fraud, despite this they’re still the most efficient instrument to reward value generation.