Strickly Business... A Breakfast Story.

Out for some work, I stop for a quick breakfast.

Me: One Poha (?70) and one fresh lime soda (?30) = ?100

Man on next table: One Poha (?70) one half litre of bisleri soda (?18). =? 88

Man Calls for extra lime with his order(free), picks up the glass and salt shaker on the table and makes 2 fresh lime sodas right there, shares with his friend. Cost ?18, value ?60.

His total cost for breakfast ?88, value ?70+?60=?130

My cost for breakfast ?100, value = ?100.

I felt dumb. I silently finish my breakfast and thank stars that he was not my business competitor, I would have been wiped out.

In business, a series of such decisions is what makes a business success or failure. What to buy and what to make, every activity to generate value.

Most of the businesses that go under make the same mistake that I did. Consume everything via purchase or outsourcing, when it would have taken a few minutes and a different process to reduce cost and grow value many times.

So a lesson for me is to make your own fresh lime soda when you can. 

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