Oddbean new post about | logout
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +2 
 That is how most business-to-business commerce is conducted in Australia. Partially replace "wealthy" with "apparently well-connected" in whatever industry.

A price is quite readily derived in such a market, regardless, but its a function with one subjective input rather than a single number.
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag 
 That is the other way around, tho. That is the price you demand a business pay, not the price you pay for a service.
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +1 
 Works in both directions, here.
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag +1 
 Really? You give things away for free? 😅
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag +1 
 2 people sell identical sandwiches. You pay the poorer $5 and tell the wealthier that you want it for free because they can afford it.
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +1 
 That'd be nice. Here it works differently. 

The big fish gets the service at cost, because if he bad-mouths you you won't have a business. 

The n00b or foreigner (or woman/man, in some industries) pays literally 10x.

I've done some work in mystery shopping, and its hilarious how different quotes can be depending on gender, age and accent.
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag +1 
 It wouldn't be nice because if the wealthier person went along with it, they'd eventually lose interest in making sandwiches.
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +1 
 They'd lose interest in making sandwiches for poor people, absolutely.

This actually happens, of course. Usually caused by government regulations, but social pressure alone has an effect in the same direction.
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag +2 
 This is one reason why poor people often have trouble acquiring goods and services.
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +1 
 It ought to work the same way at the other end of the scale, too. People ought to be reluctant to do business with those more powerful who can screw them over without consequences.

They don't seem to be IRL though. Especially construction subcontractors. They just bitch to me about it, and then go out and get ripped off again...
▲ ▼
Laeserin | 8 months ago (raw) | root | parent | reply | flag +2 
 Yes, odd, isn't it?
People are often irrational economic actors.
▲ ▼
Low Information Voter | 8 months ago (raw) | root | parent | reply | flag +1 
 Very true. Culture plays a role.

I've met a lot of small/medium businesspeople here who unironically brag about how much they're being overcharged, especially if its by a household name. They only keep quiet about how much they are also writing off as bad debts. 

Cringe AND stupid, but it appears to be stable for now...