Yesterday I went to the local computer bazaar - a street full of computer shops: sales & service, assembly - what not? After a thorough search of 10-15 shops for 2 hours, I finally decided to go to a shop(My first time visit to that shop). Discussed and happy with the deal and ordered for my lapsy. Myself and my friend were enjoying the conversation with the sales person over there and got an interesting business concept in selling the assembled PC's!!!!!!!!!!!!!
Here it follows:-
1)Customer visits Shop - X and gives his spec/configuration about the PC he wants.
2)Sales person gives the price details of each item and gives a quotation. The price range of each item is very reasonable and no other shop offers at that price.(Even Shop-X will not get good profit on this quotation).
3)Customer looks at the list and nods. Says to the Sales person: I will come back after some time. His idea is to go to other shops and get a price below than this shop's price. Customer doesn't know that he will not get a better price than this. But still he will go out of the shop and goes to other shops. There are around 100+ shops in that bazar and everywhere the price is a bit more than Shop-X's.
4) Customer gets tired and his impression on Shop-X piles up. Once he reaches the break-even point, he will stop going to these other shops and walks IN to Shop-X.
5) Customer directly meets the same sales person and expresses his interest to buy the PC.
6) Sales person starts processing the order and starts explaining the customer about the problem with each item the customer ordered and suggests to go for a better model.
7) Customer is already impressed and says YES for modifying the spec as per the suggestion given by the Sales person.
8) Sales person adds his profit margin in these modified items and increases the price. Customer has NO way. He is already tired and doesn't want to go back to other shops, which he already refused. He accepts the deal.
9) Now the bottom line is that: The total price of the PC is same in all the shops and Shop-X got the deal.
Ha Ha Ha............The lesson that No B-school teaches............
Dude! Seems, you were in CTC. Your post is very practical; many people have the same experiences.