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The following article was published in our article directory on January 24, 2011.
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Buffet Dinner Of The Transaction Costs

Article Category: Business

Author Name: xia zihui

What will have a buffet this charge arrangement? The answer is to reduce transaction costs, measure customer cost, customer order intake of trouble, the checkout procedures etc. Are all transaction costs. In principle, restaurants offer buffet will based on transaction cost saving than customers eat carbs waste. So, buffet provide food is not very precious, because waste precious food would be easier than save transaction cost. Similarly, we can understand some buffet provide precious food, restaurants will add limit restraint.

Before, I use buffet to prove the feasibility of ever need, and proves that human natural exist to get ideas, once the right condition, this kind of thought will naturally show.

Now, I have discovered, buffet, can be proven, get this distribution mode, can reduce transaction costs.

So-called transaction costs, refers to the retail price and product production price difference is the merchant's gross, can save the cost of additional undertaking of consumers, as long as it is by market transactions, there is a transaction costs, otherwise, the merchant groups, trade links cannot parasitic is less, the more advanced, the businessman transactions accounted for, the cost of trading than the less and less.

Direct manufacturers, can make the transaction costs minimum, self-sufficient, can make be zero transaction costs, namely, no market, the cost of trading is zero.

If there is a market, and the market transaction costs is zero, then, so say, and trading linked labor and material consumption, is free, only the government provide operating expenses full, and not the pursuit of profit of state-run commercial, it will be possible to do it.

Buffet, is a fixed price consumption, and consumers, to get so, during a buffet, transaction cost, be saved was increased?

We know, buffet, is the same price, consumption different value of food, unless it is intentionally wasting food or go, otherwise, buffet, who are using the same price, just to meet their desire for consumption.

Because, consumer's weight, is by oneself of confidence, they can not wasting food, and they waste food, to oneself without any advantage, therefore, in theory, is all catering in the least, also be food waste consumers enjoy a way, but, in practice, there'll still be a few dog in the manger guy if wasting food, this kind of intentionally wasting whether waste in less than ordinary food, to see people's quality, and, this waste, are limited, waste, buffet is business not bottom go to.

Buffet price, is clearly appetite most junior willing to pay standards to determine and, owner of the average cost less than the price, otherwise, appetite is the least patrons not choose buffet, or store business not bottom go to.

So, appetite most junior, why are willing to pay the price? Shopkeepers, is how make average cost less than this price?

This is all transaction costs this monster make of demons.

Hypothesis, appetite most junior consume food is the cost of food consumption, buffet C0 total cost is ∑ C, buffet individual pay transactions costs are F0, ordinary restaurant person pay transaction costs, buffet dinner number of F n,

Is:

Buffet price = C0 + F

The cafeteria is n people consumption of food average cost = ∑ C/n

Buffet to run down, should be: ∑ C/n + F0 acuities C0 + F

Because, ∑ C/n > C0

So, the F > F0

From the above, we can see that the buffet calculation of distribution, saving his need transaction costs, namely, saving a restaurant service personnel of labor, and save the extent of that, owner is quite large, willing to provide free food to feed a bit more highly actie.

Keywords: China Touch Screen Tablet Notebook, TFT Ebook Reader

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