"If i would have asked people what they wanted,they would have said faster horses" Henry Ford..sometimes creating a supply creates a demand itself,people often don't know what they really want.but more often than not,consumer demand is what drives the market and it is wise to listen to them as entrepreneur.because most likely,you are not Ford,Elon Musk or Steve Jobs
Hopefully the next video would discuss these market roles when monopolies and government get involved. Specially thinking of Pfizer and government mandated vaccines.
While true that the entrepreneur doesn’t have power over the consumer one consumer can have power over another by offering a higher price for something. And as people say you can vote with your dollar but that means someone with more dollars have more votes. There is also marketing which can make a consumer buy an inferior product. While Mises and the likes are mostly right I am not sure it fully applies to the world today. While it is easy for a consumer to judge the quality of two apples and the price in a street market. It is almost impossible to judge everything in a smart phone. Where all the parts were made, if any toxic materials were used etc. the product is too complex. That is why I think we still need consumer protection and such even if ultimately you have the power to buy somewhere else. If you buy a cheap phone charger that burns down the house with you in it then it won’t help you that you could have chosen to buy something better next time had you lived.
The market "democracy" isn't like a normal democracy. There is no one option that gets majority of the votes, and other options go away. Even if one product wins, and it is a bestseller, there is a room for other similar products on the market. And as to consumer protection - sure, resonable customer protection laws are convinient.
There is one seller which is sovereign; its power is irresistible; and if it decides that the consumer will buy its product, then the consumer will buy it, even if he doesn't want to. Moreover, if the consumer does refuse to part with his money, this seller can legally take it from him by force! So who is this all-powerful seller? Well, it's obvious isn't it. It's the State! The State, by force, taxes our earnings and then decides what, if anything, it will give us in exchange. In this respect it is unique. And if we don't like it? Too bad, we don't have a choice!
When you've built a monopoly you've got the power, not the consumer. When you're the only tow-company & mechanic within a 300 mile radius, do you still think the consumer has the power then?
Monopolies are only monopolies because they can serve the largest amounts of people with the most competitive price and quality (unless corruption, but that depends on the government). Knowing this we can understand that if monopolies don't bend to the customers, they will lose their monopolistic benefits (not wasting profits away with arising competition), as such the power still remains with the consumer and ironically is more powerful than ever.
@Wayra Codes & @J K. Both of you have valid arguments as I have experienced both of situations. In my town, the newspaper delivery is an area wise monopoly, so if I have a disagreement with the newspaper delivery boy specific to my area, I do not have an alternative, so I will be the looser, as the nearest Newspaper store is miles away 🤭
@@aadityas.9820 Then you will go and buy the newspaper from beyond. A friend of you will ask to buy a newspaper for him too. If too many people ask you might open a newspaper stand, or the existing stand will notice the competition danger and will bring the correct product. But truth is you don't care about newspaper right? Else it would already be in the stand.
