I've noticed a rather interesting lack of co-relation between cost and selling prices of stuff in our typical markets. Take the case of juice. One would assume that a firm selling packed normal juice will price it at some level, and the same firm takes normal juice, add some sugar to it and sells that too will price the 2nd one a bit higher due to added cost of sugar.
That is at a logical guy would think. However not so in practice dear. The leading juice brand prices the non-sugar version a lot higher.
Similarly if I buy normal plain white polished rice I assume it will have some price lower than the same rice, not polished and all. after all polishing u have to remove a part of each rice grain and few other things which cost time and money. So one fine day i decided that unpolished rice is healthier so I'll try that.
Now I'm a guy fond of good things in life and an used to buying top of line stuff. So I thought yippy, since I am now buying something that has lot less work being done on it, should be reducing my expenditure too. Healthy body and healthy bank balance.
At least that's what I thought. But this lousy rice costs more double than the exceedingly premium priced polished rice! Reminds me again of that "Bistromathematics. The most powerful computational force know to para-science." concept!
Indeed the guy was prescient. The price of goods in store depends not on costs but on perceived demographic. It seems in India, someone who want to eat healthy must be someone willing to live longer and hence must be stinking rich! So if you want just x- you have to pay more than to have x+y.
Soon I see the emergence of a new entrepreneur who buys polished rice, painstakingly colors each grain brown and sells it for only 50% markup. Color manufacturer happy, the entrepreneur happy, and I get to eat tastier rice!
Hindi Literature in Mumbai
10 years ago