What is Price?
What is Value?
What is the difference between Price and Value?
If you are looking for answers to above questions then you have come to the right place.
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Now lets get back to our article on diferrence between Price and Value.
The Difference between Price n Value
- Price is a cost, while Value is a concept.
- Value is a range, Price is not.
- Price is quoted, while Value is unquoted.
- Price is derived through auction, while Value through private negotiation.
- Price changes frequently, while Value changes over a period of time.
- Price is precise, while Value is an imprecise art.
- Price is popular opinion, while Value is your opinion.
- Price can be emotional, while Value is logical.
- Price is derived through speculation, while Value is derived from fundamentals.
- Price is ad-hoc, while Value means theory of investment.
Price is what you pay; Value is what you get.
Nowadays people know the price of everything and the value of nothing.
When I do invest, I don’t care if the stock price goes from $10 to $2 but I do care about if the value went from $10 to $2.
It is not easy to figure out value.
A quality product is always pricey but a pricey product may not always be of good quality.