Who determines the value of a product?
How is the value of a product determined? You can determine the value of a product by evaluating the ratio of product quality to its price. This means that products of higher value to customers can command a higher price point.
What determines the value of a service?
The market value of a service is the price paid for the service within a market space. The price is influenced by many factors, including the historical amounts, the competition, the costs, and so forth. For new services, the price might be influenced by the price for a service that is being displaced.
What is the value of the product and service called?
Value-added is the difference between the price of a product or service and the cost of producing it. The price is determined by what customers are willing to pay based on their perceived value. Value is added or created in different ways.
Is value determined by the customer?
Customer value measures a product or service's worth and compares it to its possible alternatives. This determines whether the customer feels like they received enough value for the price they paid for the product/service.