January | 2025 | Focus on Personal Finance, 2024 Release

Monthly Archives: January 2025

DYNAMIC PRICING

Posted on January 18, 2025 by Melissa Hart

As you read this, prices are changing and can vary several times today. Dynamic pricing makes use of machine learning and artificial intelligence to determine changes in the costs of goods and services.

Setting prices for a product of service is an economic art to ensure a profit from the sale of each item. However, a fair price as perceived by customers is also necessary for attracting repeat sales.

Dynamic pricing differs from price gouging, which involves exploitation often because of a natural disaster (hurricane, tornado, earthquake). When an extreme need for water, food, batteries and other necessities exists, a business may radically raise prices on those items: that’s price gouging and is prohibited in many states.

Examples of dynamic pricing include:

Online retail prices can vary several times during a day. These variations are based on supply, demand, prices charged by competitors, the season, and clicks for an item. The price may also vary if purchased on your phone or on your computer.
Fast-food businesses and other restaurants may adjust prices based on customer tracking data, demand and peak times. Dynamic pricing can encourage customer visits on less popular days and slow times. A backlash can occur when customers know they are being charged more during lunch than at other times of the day.
Ticket prices for sporting events, concerts, and Broadway shows in great demand are often higher than other events.
Airlines are a major user of dynamic pricing. Weekend airfares are often more expensive than weekdays as are holiday travel prices. The fare can vary by day, location, weather, and other factors. Flexibility of travel dates, checking online sites at different times, and viewing online calendars provided by airlines can result in savings.
In addition, dynamic pricing is used by hotels, local stores, supermarkets, gas stations, car rental companies and others.

In the future, expect companies to continue to use technology to change prices many times each day. Consumers need to be smarter, shop around, and be diligent. Bottom of Form

For additional information on dynamic pricing, click here.

Teaching Suggestions

Have students monitor prices several times over two weeks to determine changes in an item in a store or online.
Have students identify online sites and apps that monitor prices to assist consumers in getting the best prices for various items.

Discussion Questions

What factors commonly affect price changes for items you buy regularly?
Describe actions a person might take to get the best prices.

Categories: Chapter 6, Wise Shopping | Tags: consumer behavior, consumer buying | Leave a comment

PERSONALITY HIRES AND MAD SKILLS

Posted on January 4, 2025 by Melissa Hart

Hiring managers often seek candidates who enhance the work environment to reduce on-the-job stress. A “personality hire” is an employee with strong interpersonal skills who strengthens relationships among clients, customers, and coworkers. They also enhance the work culture, boost morale, and contribute to a productive job setting.

Personality hires are offered positions based on their likeability. During the interview, a sense of humor and enthusiasm can overcome experience limitations. An ability to enhance relationships within the organization and get along with anyone is viewed very favorably. Possessing personality skills does not have to be mutually exclusive of technical ability. An ideal candidate will have both job competency and be the right cultural fit.

Traditional hires sometimes resent the personality hire, who is viewed as inexperienced or too sociable for the work setting. Also, introverts who contribute to a positive environment and high morale may be overlooked for promotions and advancement.

Another job search factor that can be to your benefit are “mad skills,” which are unusual hobbies and experiences. Examples of these rare soft skills might include knowing an indigenous language or participating in a sport played in ancient times.

Mentioning these items during a job interview can help a person stand out from other applicants while also bringing something new to an organization that no one else has, resulting in a more diverse talent pool. Obtained as an entrepreneur, through volunteering, hobbies, travel, or sports, mad skills can reflect a person’s desire for professional development or an ability to quickly make decisions in a crisis.

Hiring managers still recommend only listing hobbies and other interests on a resume if they relate to the job for which you are applying. Mad skills might not be mentioned until an appropriate time during the interview. While soft skills and technical ability are still the foundation for obtaining employment, mad skills can be a decisive factor in the hiring process.

For additional information on personality hires and mad skills, go to:

Link #1

Link #2

Link #3

Teaching Suggestions

Have students talk to others to learn about successful interview actions they have used.
Have students create a video or other visual (poster or slide presentation) with tips for success in a job interview.

Discussion Questions

What actions are you taking to better prepare your skillset for a career?
Describe hobbies or experiences you have that might enhance your success on the job?