How often have you thought of the ‘Cost’ of something you buy AT a Price? Industrial buyers DO it quite often IN preparation FOR negotiations. But IN fair negotiations they may have TO give IN TO sellers IN agreeing TO ‘high’ price well above the perceived cost. They look AT the ‘Bigger Picture’. How? It could be that -
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The seller has a monopoly. Sometimes the monopoly IS only TEMPORARY ON account of circumstances. AT a given TIME the seller may be only ONE HAVING the product OR only ONE who can deliver IN required time.
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Product ON offer provides more tangible ‘VALUE’ compared TO the competing products.
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Product OR service offered has strategic benefits (present OR future) outweighing the high price of the product.
Experienced buyers know it AND make decisions IN the light of the bigger picture. ONE cannot really talk about the price AS high OR low IN absolute terms. It IS equally relevant FOR sellers AND buyers TO understand the ‘VALUE’ IN a product, ‘other’ benefits OR the timing. Without that the Bigger Picture IS NOT complete AND useful. That makes the decision wholesome AND profitable.