9.
The dynamic, equational Transaction Model
From the Price-Value Hypothesis follows that the object of the transaction – the
product – has to be explained with two descriptions according to the principles
for an equation. One showing the properties and features the seller/supplier
offers as a foundation for the price he asks for the Supplier’s Product. One showing
what benefits they offer, resulting in the buyer’s valuation: the Buyers’ Product.
This dynamic model is the commercial Transaction Model. The Value factor
in the Buyer’s Product also has to observe all possible costs added in the process
of acquisition. The condition for the transaction being performed is, in
principle, that the buyer values the product to equal or more than the price
asked:PRICE ASKED ≤ PERCEIVED VALUE