Saturday, 3 February 2018

'Why one price fits all' does not work.





'Why one price fits all' does not work.
When consumer loses touch with producer, the price tag often decides his decision. There are far more important details than the price tag.
The producer himself. His realities. The product itself. Its truths
The responsibility of the consumer to the fabric of life.
In a very remote village like Paalaguttapalle, there are many invisible details.
1. There is no NGO here. Just a few friends who are in our spare time helping them. The women have to, out of their savings, manage everything, including painstakingly build up their own working capital.
2. In remote villages, the electricity is erratic. The women spend a whole day getting the things ready for the making the screen for screen printing and then the current fails. They try to expose in sunlight, but the sun also plays truant.The whole coat needs to be scrubbed away, and the screen, and the day put away.
If the voltage is erratic, the expensive high power lamp can blow up, and then there may be no way to get it repaired even in Tirupathi, 70 km away, and a replacement has to got from far away Chennai.
3. There is no way to access cloth on demand. It has to come from far away Madurai or Erode by lorry or railway.
When the women go to Tirupathi to get the stencil and paints, the paints may not be in stock. There are only 2 paint shops.
So scarce money needs to be invested in keeping sufficient supplies of everything handy.
4. All costs overheads are high in an interior village. The overheads of transport are high. The cloth, by the time it comes to the village has many extra costs. The posting means trips to town. Bus connection is poor, and substantal auto charges of 500/- add up.
A sewing machine breakdown means it has to be taken to Tirupathi, 50km away. the auto charge is over 1500/-.
Every trip made means a day and the cost of the journey, with a 4km walk to the busstop thrown in.
... a moral economics needs to factor all that in, to ensure fair livelihoods. This holds on every front, and in every narrative. Everywhere.

Charmaine D'Souza Campbell What you do is break down the value of the bag. You justify the price by saying this is what it costs to ensure that these human being has a decent living wage to continue to do this work. Anything less is slave labor.
Manage
Reply52w
Aparna Krishnan People simply choose the 'lowest cost'. Even when the additional 10/- is hardly an issue to them, given their expense profile.
Manage
Reply52w
Aparna Krishnan They cannot relate - the distance from the producer and his stories is too much.And insensitivity gets entrenched.
Manage
Reply52w
Charmaine D'Souza Campbell Well it may be a loosing battle but dont allow their work to be turned into slave labor.
Manage
Reply52w
Aparna Krishnan i will not. but is desperation makes them choose lowest rates, i cannot preach to them. the well off need to polish their sense of right and wrong.
Manage
Reply52w
Charmaine D'Souza Campbell Well the truth is that if people are not aware then they dont care. Your buyer is not connected to your village, its people or work. Because you are more knowledgeable about markets you know its about the sales pitch.
Manage
Reply52w
Aparna Krishnan true. its a structural problem. of dis-association of producer and consumer.
Manage
Reply52w
Charmaine D'Souza Campbell I dont know quite what socially sensitive means but please explain. Thanks.
Manage
Reply52w
Aparna Krishnan Well, caring about poverty ?
Manage
Reply52w
Charmaine D'Souza Campbell How can they claim to care about poverty and try to drive the price down?
Manage
Reply52w
Aparna Krishnan their buyers will not want to pay higher than minimum they say. thats also true.
Manage
Reply52w
Charmaine D'Souza Campbell Well obviously they dont have an sales or marketing skills. Buyers will pay if they understand how they are refucing poverty through their purchase. I have seen tags on products i have bought because they explain this like fairtrade products. Buyers are willing if the message is conveyed.
Manage 
Ashok Urs Every bag should carry a small printed message as to why buy this bag, I'm sure it will increase the sale. Make sure that no one duplicate.




Dear S, Iam sure you will find low cost bags if you search. There are many bulk manufacturers who would also have mechanized processes.
But if you concern is also livlihoods for those seeking livlihoods then it would need a different prism of thinking. Handmade is cosrlier than mechanized processes. Villages that are remote have many more overheads, and also smaller volumes. That raises their costs. Also in drought when families have to sustain on this, one needs to pay a price that allows them some fair nourishment possibilities for their children.
The low cost bags you may get will be paying their workers the lowest returns possible, even taking all advantages of bulk and scale. That much I can figure out from my understandings of the bag economics.
It is always good to source, understanding how the producer lives and works and what she needs.
Thanks a lot, and will be happy to help you any time, Aparna


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