Understanding The Need To Add Value

Question 1

How do you add value?

Answer 1

By pushing up the price or by cutting the costs, adding in a feature that makes the item more valuable

Question 2

What is added value the difference between?

Answer 2

Added value is the difference between the cost of material and the selling price

Question 3

Why would people not mind added value?

Answer 3

They would rather by the product or service because happy to pay for the speed and convenience

Question 4

What are the 5 different ways to make an item more value,e?

Answer 4

Convenience and speed
Good design 
High quality manufacture or service
Brand name
Unique feature/ unique selling point

Question 5

What is the importance of added value?

Answer 5

Added value helps pay for costs that a business has (electricity, staff wages, training staff), finance future growth

Question 6

Why does value added have to be substantial enough?

Answer 6

To pay for the internal costs

Question 7

What does high added value create?

Answer 7

A sustainable profitable business

Question 8

What is a unique selling point?

Answer 8

A feature of a product or service that is not shared by any competitor

Question 9

What is adding value?

Answer 9

Creating something of a higher value to a customer than it brought-in cost