As we come to the second decade of the 21st century, we certainly have greatly improved our daily life, with access to a great variety of commodities. Simultaneously, the choices that are offered to us have burgeoned. For goods ranging from office supplies to large-size furniture, we have an incredible selection and prices vary as well. The price difference is subject to origin of the materials, manufacturing, freight, taxes, etc. Most of us would agree that we get what we pay for, which implies that higher costs lead to better qualities which lead to a higher standard of living. However, sometimes we have to compromise when we are unwilling or simply unable to pay for the benefits. Does that mean we have to choose between quality and cheaper price? Which one would most people choose then?
An answer to the question is revealed through a recent “innovation” in the airline companies in the US. United and American airlines just announced that they would introduce “basic economy”, an even lower-standard class than economy class, to their routes. This alternative provides a lower cost by cutting the countable benefits we would enjoy in the economy class such as choosing your seats beforehand. Interestingly, this dilemma proves to lean toward the money saving side. Travelers would actually give up some comfort for a cheaper price. As a result, airline companies gain more revenue through this “basic economy”
Comparing the revenue increase with department stores get more profits during a sale, it it is not difficult to see that the temptation of saving money is way more popular among the customers/consumers than other perceivable benefits such as more long-lasting products and a more enjoyable flight. It is arguable if our current economic system is forcing us to solve the dilemma, but we shouldn’t ignore a simple fact that a cheaper price is not a factor of consideration for a lot of people. In other words, those people are able to pursue quality and comfort without being too concerned about the factor of money. After all, it is our economic capabilities that define the quality of our lives.
Reference: W., A. ““Last Class” Is Here to Stay on America’s Airlines.” The Economist. The Economist Newspaper, 02 May 2016. Web. 02 May 2016.