Consumers want to do the right thing: a very interesting study

At this link here, we see a consumer behavior study conducted by Harvard. This study establishes that consumers prefer to buy products (even if they are slightly costlier) that are produced under fair labor practices. Probably this is because most consumers are from the salaried class themselves. Hence, empathy is greater and one would want to keep the conscience clean.

We are aware of the phenomenon, that HIGH QUALITY of goods creates premium for products. Consumers are willing to pay higher for products of superior quality. INNOVATION in products also creates premium ... now this study establishes that consumers are willing to pay a premium for products produced with fair labor practices. This is a new dimension. Thus, we see price is a function of labor practices, innovation, and quality.

GENERATING VALUE - goal of every business

The focus of organizations is to deliver value continuously and repeatedly to shareholders, stakeholders (employees and associates) and, of course, CUSTOMERS. So the output of an organization is to be perceived as of having value by the individuals and parties concerned.

What is of value?

For a customer, the product or service performance is of value; for a salesman, generating customer delight, enjoying the job and earning salary + commissions is of value; for a shareholder, an increase in share value and dividend is of value; for the senior management, having a loyal, committed, efficient workforce, cash flow, high shareholder value, positive relations with business associates is of value and last, not the least, efficient and effective processes for a super healthy balance sheet.

Today's business world is complex

There is competition of every type - brand, generic, and conceptual; various eddies and disruptive forces are constantly in motion. And in this wired and dynamic business situation, products, and services should be profitable, value added, and should generate customer delight.

I GOT THE IMAGE FROM HERE.