Thursday, January 8, 2009
TCO - True Cost or True Value?
America loves acronyms especially 3 letters ones, so I was not surprised when I was introduced to TCO - Total Cost of Ownership. Total Cost of Ownership or should it be True Cost of Ownership? I had heard of it and was reminded of it just before Christmas when discussing badly manufactured items. Often these items break right away and can't be fixed, creating hassles, loss of time, waste and pollution, plus adding the cost of having to replace them...
Contrast these items with objects made by local artisans. For example a pair of earrings designed and handmade by me. They transcend fads and current fashion so they will last. They are great conversation pieces as they are unique. They are recognizable. If you buy them and the post breaks, for example, I will fix them as I guarantee them. Or if you lose one earring, I will make a matching earring at half the price of a pair if the materials are available. Essentially you get some value for your purchase and service if needed after your purchase. I find this to be true from most of the items purchased from fellow artists.