Once people knew how wool was supposed to be, how good materials looked like.
Then people didn't know anymore, so somebody else choose for them.
If you bought an outfit from a good and trusted company you paid a lot for it, but you were sure it was good quality.
You got what you paid for.
Then China arrived and they had such a low cost of work that everybody produced there.
The consumer still paid the same prices, but got merchandize "Made in China".
The quality was not there anymore, so they had to supply bigger and more visible labels.
When you buy a suit, you do not pay the material or the quality, you buy the label (and sometimes you even buy the fake label).
Since it worked out pretty well, it was inevitable that such a business model would apply also to other markets.
Why not the financial market?
You bought bonds labelled "A++" and you got "Chinese made bonds".
The difference was they were made in US and Europe, so the consumers really believed in them.
We all see that quality pays and non quality pays too, but in the opposite direction.
The only safe and secure recipe for tomorrow's investment is: do not buy labels, buy safety and quality!
For example a good investment could be the one YOU yourself plan.
If you want to know more about, just follow my link to ProfitFuel.
That claims to be the "Premium Business Information Source".
You can search either by Keyword, Company, Publisher, Country, Industry.
And with the click of your mouse you can have all the information’s you want.
If you want to invest, it pays to be informed.
Tuesday, October 14, 2008
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