Permission is granted for
below article to forward, reprint, distribute, use for ezine, newsletter, website, offer as free bonus or part of a product for sale as long as no changes are made and byline, copyright, and resource box below is included. ---------------------------------------------------------- You Are Paid for Value You AddBy Stephen Bucaro
This is basic tenet of all economic activity. You purchase input materials, add value to them, then sell them at a higher price. Let me give you some examples.
You run a used car lot. You buy used cars at auction, then sell them on your lot. The value you add: you found cars and brought them together in one place. Not too much value added there.
Instead, you buy cars at auction. You get them really cheap because they need some minor repair. You make repairs and clean cars up. The value you add: in addition to finding cars, you add value of your repair and clean-up labor. Much more added value here.
Another example: You join an affiliate program to sell paper products on your web site. The value you add: you put a banner on your web site. You get a 5% commission on any sales.
Instead, you buy paper products wholesale and sell them on your web site. The value you add: you maintain an inventory and fill orders. You get a 40% markup on any sales.
Instead, you buy raw paper. With paper, you manufacture envelopes, stationery, greeting cards, scrap books, etc. The value you add: in addition to maintaining an inventory and filling orders, you added value of your manufacturing labor. You get a 90% profit on any sales.
Instead, you use handmade paper. With handmade paper, you create custom designed envelopes, stationery, greeting cards, handmade scrapbooks, photo albums and journal books. The value you add: your artwork and hand crafting puts your products in luxury category. You get a 200% profit on any sales.
