Saturday, April 28, 2012

MANY AMERICANS LIKE TO PAY MORE FOR NUMBER ONE

Astoria, New York
" Let me pay more because the product is better, I feel better, the company is better, the salesman is better. " are the comments of many American consumers in the Queens area. Companies that deliver innovation, advertising, superior product image are winning the show as they hook up consumers who become addicted to paying more causing higher profit margins for star companies like Apple and McDonald's  " I always say that profit margins are the key to success and these above mentioned companies are able to do better than their rivals and many american consumers are following the trail in supporting them. Apple's computers might offer better value at a higher price but my HP is sufficient in doing the job for me at a lower price. Apple 's stock has been the spark to the Nasdaq's gain in the last few months as the company continues to grow fast in every way from revenues to earnings to quantity of products sold. For McDonald's I repeat better value as I believe Wendy's is offering better quality and value at a lower price. And while Wendy's ( of which I nibbled at it lately)  has been capturing market share by taking second place from Burger King in the hamburger business, its much lower profit margin keeps it from gaining success in the financial markets. Both Apple and McDonald's are considered number one and many Americans feel that the right way to go is to go with the flow. I, on the other hand, am a contrarian and I feel that price without sacrificing quality is the right way to go.

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