Mobile Bus Conversion are a result of the Pandemic where many unemployed and underemployed Americans have left their jobs and businesses and are considering starting a new business or resurrecting their old one at a new place of business. Countless others are about to be evicted from their current business locations or could face bankruptcy in the near future. Operating a successful business involves the sale of a needed product or service that would be of value to an established or potential customer. If the product or service is not “valuable” then the business is unlikely to succeed and poor sales would lead to its collapse. Apart from “value” the product or service also has to be within a reasonable price range. If the price of goods and services is exorbitant compared to its competition and other online options then potential customers will shop elsewhere. If the margins are too low then the business wouldn’t be able to sustain itself in the long run. The entrepreneur and their team would lose their investment over time because there wouldn’t be any unique advantage for customers. Products and services have to be appropriately priced to maintain a good balance between what a customer “thinks” is a fair price to pay and what the business needs for its sustainability.
There are several factors that lead to the determination of the perfect price range a product or service should be sold. This should include the cost of raw materials and/or equipment, labor, electricity bills, insurance, taxes, rent, etc. The more the expenses, the higher will be the cost of the product or service that is being sold by a particular shop to achieve an economic “break-even” or profit. These expenses are often called “Overhead Costs”, and a business has to transfer these costs to the consumer in order to sustain itself and be sustainable. The typical customer ends up paying for all the “extras” that the business is offering even if he or she does not need it. For example, whenever customers walk into a boutique to purchase some apparel, they end up paying a fraction of the amount the business owner pays as rent to the shop owner. If somehow the rent could be reduced or eliminated, then the apparels would sell at a much lower rate than ever before. This would in turn leave more money in the consumer’s pockets leading to happier customers.
