Business Essentials: PRICE
Luke 14:25-33 and 2 Corinthians 4:16-18
Just like the element of PRODUCT discussed last week, you cannot go to market without knowing what PRICE you will charge for whatever it is you will be selling.
One of the definitions of PRICE on Dictionary.com is “that which must be given, done, or undergone in order to obtain a thing.”
We could spend a lot of time discussing the strategy of finding and establishing price. We could expand on the practice of fluctuating price and discounting. We could even talk about situational price inflation because of rapid and viral market demand. However, for the sake of efficiency we will unpack just a couple of concepts.
The first concept is “Price vs Cost”.
Somewhere in our early years we were educated to understand the idea of “price”. We learned that a small amount of change would get us a popsicle or pack of baseball cards. As we grew older, we developed our likes and dislikes and started to funnel our hard-earned cash into things we wanted. Entering early adulthood, we became acutely aware of the price of survival as we established our independence; the cost of food, an automobile, a place to live, education, and many other necessities. As life went on, the price of things we needed went higher and higher. Yet, as we accumulated these things our “cost to maintain” them also went up. Buying a car is not a one-time expense. Purchasing a home requires maintenance. Even today, in our technological age, we see that even purchasing a cell phone requires a monthly fee to be paid to maintain connection.
Now, more than ever, we willingly participate with micro-payments for the things we enjoy having. For instance, you can buy the 85-inch flat screen TV for a price but then also subscribe to a movie service for a fee (cost) every month. In business, you may purchase a software program to help organize your books or inventory but there is often an additional monthly or annual fee (cost) for the number of licenses, or “seats”, available to your business for access.
Price is what you pay. Cost is what you continue to pay to enjoy ownership a product or service.
Q: What’s one thing you purchased in the past (for a price) that had a higher than anticipated maintenance fee (cost) after you had acquired it?
The next concept is “Price vs Value”.
As we already established above, price is what you pay to acquire a product or service. Value is something different. To establish a deeper understanding, let’s say it this way: price is what the market thinks something is worth, while VALUE is what it is worth to YOU.
When purchasing products and services we often do a quick mental calculation on our perception of the price to acquire and the value it represents to us. Sometimes, the decision to purchase is purely logical. We look at the value of a stock, investment, business, digital currency, or other and determine if the return on that investment (ROI) can justify the purchase. We use data to make an informed decision and decide if the value outweighs the price.
However, there are times when we may make a purchase simply based on emotion. We choose to pay a price for something because it will bring us joy or happiness and make us feel good. Think about the price you pay to go on a vacation. The vacation itself won’t likely give any return to pay for itself once it’s over, but the value is established in the joyous life-long memories created from the experience.
Q: Thinking of recent purchases, what one thing have you purchased that was based on logic? What one thing did you purchase based on emotion?
The bible teaches us about these two concepts in various ways.
Considering the comparison of “price vs cost”, in Romans 6:23 Paul says, “the gift of God is eternal life.” The gift is free to us because the fee (price) has already been paid. Jesus made his way to the cross and paid with his life for our salvation. Even though this gift is free and does not require anything of us to receive it, we choose to live a committed lifestyle that has a certain cost attached to it.
In Luke 14:25-33 Jesus “gets real” With those who are listening. He talks about the cost of following him and what’s required to be a disciple. Our relationships will change. We accept a new purpose and carry it. He suggests that we not begin the process until we truly weigh the costs required in following him and gives examples of building a home and going to war.
Q: As a disciple of Jesus Christ, and Corpath member, how did your acceptance of the price paid for your salvation result in changes to your personal and professional life?
Looking at the difference between “price and value”, in 2 Corinthians 4:16-18 it says,
“For our present troubles are small and won’t last very long. Yet they produce for us a glory that vastly outweighs them and will last forever! So, we don’t look at the troubles we can see now; rather, we fix our gaze on things that cannot be seen. For the things we see now will soon be gone, but the things we cannot see will last forever.”
Living here is hard. Every day we pay a price for our existence on this planet. We purchase things that will one day disappear. Yet, when we live our lives being led by Jesus Christ, we know he is taking us to a home in eternity with him. A value that is beyond comparison and is indeed PRICELESS!
Prayer:
Heavenly Father, I pause to reflect on the price that was paid for my salvation. Thank you for sending your only son, Jesus, to show us the most excellent way. I fully accept and am grateful for the price he paid for my salvation; a value I cannot measure, comprehend, or ever repay. Give me the courage to carry this message into all I do this week. Amen.
Blessings always and all-ways,
Steve Shrout
President
Special Note:
If you enjoyed today’s message, then share it with someone. Also, use this content and questions as a discussion guide in your next Forum Group meeting.
Attached is a printable PDF you can use to help with your meditation and reflection. I encourage you to print it, answer the questions and then keep it in a Corpath binder or folder for future reference and thought. You will receive a new PDF each week with each new Monday Meditation, and, over time, your binder will become a book representing your own Corpath journey of BUSINESS thoughts, personal LIFE development and SPIRITUAL growth.
