For the Living Income Guaranteed to work we require an economic model that must be efficient to follow very specific regulations. Just as one would regulate food and certify it for instance as ‘safe for consumption,’ we have to apply the same principle and certify businesses as ‘safe for the economy’. Within this, one will have to establish ways to ensure that businesses are not built on the ideology of competition but rather on the principle of profit and of quality.
Therefore pricing will have to be certified to be sufficient and effective to ensure the minimum wage at least, is paid to the employees, the business owner makes a profit and the resources bought are paid for at a price that ensures such profit. We have to also ensure that the business is compliant and the movement of sales tax/ value added tax is efficient so that both the government and the Living Income Guaranteed is effective; and then the consumer will be able to buy from businesses that ensure a good quality product, knowing that they are participating in an economic system that is taking care of each one’s individual dignified living with Living Income Guaranteed. Doing this will also ensure that things like poverty, debt and the many psychological issues that develop because of stress around money, start to disappear from society.
This also implies that the true supply and demand will be based on quality and preference wherein the necessary research should be done and facilitated before one brings out a new product on the market. This is the part where psychology and public relations also play a role to ensure the person assesses the product as something that they possibly may be interested in acquiring; this ensures you’re not wasting resources on a ‘potentially successful’ product, and instead you secure your investment once you have your market analysis results, an effective presentation of a product that will have an assured market with sufficient demand which you will supply – so it is demand first, then supply.
Thus a clearly defined and estimated market share is established and cross-referenced according to the income levels available. This means assessing whether the available amount of money that is in the consumer’s budget is in fact realistic so that the business can work effectively. This is how one will ensure profit and sustainability instead of investing on opening businesses that are guaranteed to fail, just because the proper research was not done prior to running it. This effective business planning will ensure that sufficient profit is made as well as providing a good rate of success that will satisfy the business and the population in an equal manner: everybody wins!
Equal Life Foundation Research Team
Also on this topic: Living Income Guaranteed and Business Transparency
- Click to share on Reddit (Opens in new window)
- Click to share on Twitter (Opens in new window)
- Share on Facebook (Opens in new window)
- Click to print (Opens in new window)
- Click to share on Google+ (Opens in new window)
- Click to share on Pinterest (Opens in new window)
- Click to share on Tumblr (Opens in new window)
- Click to share on Pocket (Opens in new window)
- Click to email (Opens in new window)
This entry was posted in Advertising, Basic Income Guaranteed, Basic Needs, Budget, Businesses, Capital, Capitalism, Change the World System, Competition, Consumerism, Consumption, Economic Change, Economic Efficiency, Economic Growth, Economic Reform, Employment, Equal Life Foundation, Equality, Goods and Services, Government, Industries, Integrity, Job Creation, Living Income Guaranteed, Marketing, Minimum Wage, Money Supply, Planned Economy, Power of Acquisition, Pricing, Production, Profit, Profit Share, Psychology, Public Relations, Quality Standards, Social Capitalism, Supply and Demand, Taxation, Trade, Trust and tagged business owner, business planning, consumerism, effective economic model, equality, government, income, Living income, living income guaranteed, market analysis, market shares, marketing, minimum wage, new economic system, profit, profit making, psychological problems, psychology, quality, sales tax, stress reduction, successful business, supply and demand, value added tax, win-win solution.