Despite the fact there are good arguments for functioning without the restraints of an monetary based economy, there are benefits when looking at what actually happens, at the quality and commitment that result from a higher price. For example, in marketing, price is not the only factor1. Time is another factor2 and quality is a third3. It is a balance of these three factors that determines how successful a company will be. In my own experience, also mentioned by Perry Marshall4 offering a product or service for free does not automatically guarantee “sales”. Offering something for free may be an indicator of low quality, or a lack of commitment on behalf of the person offering the product or service. Therefore, we need to move beyond that if we want to wean ourselves off of the support of money.
Again, we need to tap into the world of nature to learn a few of her secrets. We don’t drop coins into the earth for every barrel of oil we remove, give the tree a paycheck when we harvest its fruits or ensure the sow has a latte when she gives birth to a litter of piglets. Many likely scarcely give the source of their living (income) a second thought, much less offer a prayer of thanks to Mother Earth for her bounty (although some may thank an invisible Father for the same). Money starts with us, and it is a fairly recent invention. Do we need to continue our evolution with it? Or can we shed this scaffolding as the hardened shell it is around our souls. I think the latter is possible, but it will take some thinking to see how that might actually work.
That is, no money cannot mean no structure or no order. That is something that money gives us. A record or transaction of the work performed, generally, the higher the number the greater the value. If we remove the monetary factor from the equation, many would be at a loss as to how to qualify the quality. In other words, the person may have to be more educated as to what they were “purchasing”, not less. And, as money is typically tied into time, a question would be how long would be acceptable to produce an item or perform a service.
Therefore, in order to make a transition, we need to look at the positive aspects of the system being replaced, as well as the negative, and be sure that the positive aspects are retained, while the negative removed.
1. Foster, Paul. The Biggest Pricing Mistake in Small Business. Retrieved May 22, 2016.
2. Mol, Peter. Constraints Consulting. Personal Communication, March, 2015.
3. I was watching a documentary on the production of an Audi A5 this morning. Here, price is not the object, quality is. The quality draws customers that would be repelled by lower price but poor quality.
4. Perry Marshall is an AdWords marketing expert who has made the point that paying for something indicates a commitment. If a product is obtained for “free” there may be no commitment, and so results may not follow.