Thanks so much for your comments. I agree that, in the long run, the focus should be on value, quality and service rather than price. Yes, price should be a consideration, but only one consideration. Unfortunately, right now it seems as if many people are basing purchasing decisions on the budget short-term rather than considering long-term value.

That is terrific that you are studying Sew What? Inc. in your MBA program. It is so exciting (and somewhat surreal) to find that we have been noticed by folks outside our field (especially in higher education).

I assume that you have seen the video about our company when we won the Dell/NFIB Small Business Excellence award, but if not, you might be interested in checking it out: http://www.sewwhatinc.com/video_dellcomputer.php

To answer your question, price vs. service. I am a service oriented individual. Growing up in the car business has forced me to understand that in most cases (not all) when value i.e. service is high, price becomes less of an issue. However, most uninformed consumers cannot differentiate between the two therefore you have to be able to find balance between high levels of service at the same time being price competitive. Low prices will often lure first time customers but they do not provide for long term customers if the service does not accompany the price. Fly by night companies can often lure customers by being the cheapest but this mentality typically is short term. Outstanding customer service provides for repeat and referral business, the kind that creates loyal customers and typically more profitable customers (the kind we like to serve).

Not sure if that answers the question, but I have enjoyed researching your company.