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Why is it hard to buy things that work well?

danluu.com

171–180 of 542 posts

Re: Why is it hard to buy things that work well?

#171

Because we have unreasonable expectations. Making things work well is hard, and thus expensive. Take a chair, for example. Anyone can make a chair: just get a bucket, turn it over, and sit on it. Boom; backless chair. Want a backrest, arms? Get a 2x4, a saw, a drill, and some bolts. An hour later: Boom; chair. You want a chair that works well? How do you even define works well for a chair? Do you need cushioning? Do…

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Re: Why is it hard to buy things that work well?

#172
What Dan is describing is the triumph of politics over everything else. Deng Xiao Peng diagnosed Chinese society during the Mao era and said the very real inability to contradict the party line was what ailed China. People were not allowed to believe in reality but had to swallow every line from the central committee. This is the Seek Truth from Facts speech that marked the opening of China to the modern world. Corporate America is its own Potemkin village where political lobbyists and legal protections keep them alive despite massive corruption and the harm done to customers.

http://en.people.cn/dengxp/vol2/text/b1260.html

Re: Why is it hard to buy things that work well?

#173
post #44

Because we have unreasonable expectations. Making things work well is hard, and thus expensive. Take a chair, for example. Anyone can make a chair: just get a bucket, turn it over, and sit on it. Boom; backless chair. Want a backrest, arms? Get a 2x4, a saw, a drill, and some bolts. An hour later: Boom; chair. You want a chair that works well? How do you even define works well for a chair? Do you need cushioning? Do…

an aeron chair costs about $2000 dollars (give or take). The construction is sturdy, so i expect it to last at least 10 years, if not 20 (you take care of it etc). So the amortized cost is some 100-200 dollars a year for an excellent chair. If you buy a crappy chair, i bet that the cushion starts failing after a year or so of constant sitting. So you'd probably replace it yearly, or suffer a bad chair for a few years…

As a random anecdote, I own a steelcase gesture that runs about $1,100. I also own a 70$ chair from costco and I can "barely" feel the difference. I have all my settings configured correctly. I really don't buy into the the expensive officechair hype. I think it's a level of diminishing returns. I think a $200 office chairs is about what anyone needs. That'll get you 90%+ of the way.

Re: Why is it hard to buy things that work well?

#174

I just moved to the USA from the UK (having lived in Germany before) and the quality of the services I'm experiencing here is appalling. To get concrete, we submitted an application for an apartment let. After not hearing back for 4 days we reached out and it looks like somehow they misplaced our application. By then the unit we wanted was gone so they asked us to pay a holding fee to ensure they would keep another u…

Same experience coming from France. Everything in the USA is just lower quality. Be it goods or services. And Americans seem ok with it. There is a lot of overhead everywhere. Dentists have an army of assistants. Any product to order requires it's sale agent. Even if you already know what you want. You must deal with the agent. Car dealership have so many sales but good luck getting an appointment for fixing the shit…

Where in the USA are you? I haven't bought a new house in a while but most car dealerships (at least mine) gets me an online booking appointment for the same day or next day. Doctors sick appointment - mostly same day. I've never interacted with a sales agent for buying stuff.

I agree with you on housing. The agents charge commission and closing costs and closing companies do charge quite a bit.

Re: Why is it hard to buy things that work well?

#175
He talks a lot about how other companies are incompetent or inefficient and says that this is why it is often better to build in-house. I think the reason this doesn't happen to the degree that would be most efficient is people assume the counterparty business is acting in long-term self-interest as a single unit (i.e., a business with a reputation to maintain). In-house, there's almost always someone you can get in touch with has the ability to enforce this behavior on your counterparty - when you're buying something externally, that's not the case. There are so many examples of large, well-known brands that made a name in quality and then sacrificed their reputation to cash in.

Re: Why is it hard to buy things that work well?

#176

Earlier quoted context omitted.

I don't think what you're calling weasel words are weasel words. "Up to 50% faster!" is weasel wording. It says "slower or faster, but not more than 50% faster," but it sounds like it's saying faster. What GP is asking for is calibrating for uncertainty. Phrases like "I've seen this tendency in multiple teams I've been part of," or "study[ref] after study[ref] has confirmed this" help clarify what premises and hypoth…

> IMO It serves a useful purpose! I have to disagree! I simply do not understand what useful purpose it serves—IF we are allowed to assume that our readers have a proficient level of prose literacy. The default assumption, when someone is talking or writing, is that they are communicating their own opinions and thoughts, experiences, anecdotes. I don’t know about you, but when I think back to taking writing classes i…

I feel like I'm missing something here.

> The ability to sort out opinions and anecdotes from factual claims and evidence is… well… something you’d expect from a proficient reader!

How does a proficient reader separate facts from opinions if good writing doesn't disambiguate facts and opinions? Do they just assume?

e.g.: Butter is about as healthy as vegetable oil. Arugula is healthier than lettuce.

I can cite a meta-analysis for one of the above statements. The other is just my opinion, and I have done no research into the topic. How would a proficient reader tell them apart if there's no calibrating for uncertainty?

Side note: I went through the original blog post again, and there are lots of examples of Dan Luu doing exactly what I'm writing about, to the point where I'm confused why the original commenter thinks he's not using a different tone based on uncertainty.

Examples:

"I once watched, from the inside, a company undergo this cultural shift"

"I've both worked at companies that have tried to contract this kind of thing out as well as talked with many people who've done that"

Re: Why is it hard to buy things that work well?

#177
> There's a cocktail party version of the efficient markets hypothesis I frequently hear that's basically, "markets enforce efficiency, so it's not possible that a company can have some major inefficiency and survive".

That's not the efficient market hypothesis but a complete misunderstanding. The hypothesis is that the market (not products as you assume) are efficient, leading to the optimization of share prices to reflect reality. [1]

[1] https://www.investopedia.com/terms/e/efficientmarkethypothes...

Re: Why is it hard to buy things that work well?

#178
post #160

It's pretty depressing how many of the comments are purely answering the title and not discussing the content of the article. In particular, the comments seem mostly focused on consumer product build quality whereas the article is more focused on e.g. businesses trying to outsource something (like same day delivery) and getting a worse result even when they pay more than doing it internally. And the cultural obstacle…

I read the article so I'm gonna respond here ;) As a counter-anecdote I'll offer my experience working for a company that built large precision machinery. Many of the parts of said machinery were built by subcontractors. The quality was extremely high. We did do certain things in house if they require special expertise and we did have the capability to do rapid prototyping but it wouldn't make any business sense for…

I've never worked in the automotive industry, but I've worked adjacent to it occasionally.

The amount of effort put into ensuring that suppliers do what they need to do and do it well is huge. Companies always have two (or more) suppliers and if you keep only to the letter of the contract, you get cut.

They can afford to put so much effort into managing suppliers because volumes are large and margins are low.

There are also cultural issues at play; he makes the point that things that are inevitable in one culture are unthinkable in another and different industries have different cultures

Re: Why is it hard to buy things that work well?

#179

Great article! As a consumer that cares a lot about buying long-lasting quality products, here are a few resources: Project Farm (youtube.com/projectfarm) - Great independent reviews of tools Mcmaster.com - Higher quality products than you can get at your local hardware store and excellent customer service. When I've gotten the rare incorrect or damaged item, 1 email gets me a refund and a replacement overnighted. Wi…

As a frequent business user of McMaster I find it serves a very particular purpose - everything on there works and does not break. However, their markup is massive. I once placed an order large enough that they redirected me to their supplier and found that they had over 100% markup on their orders. You're paying this markup so that McMaster verifies the quality of what you're buying. This makes a lot of sense for a business - you're not wasting employee time on reading Amazon reviews. I doubt it makes much sense for most consumers.

Re: Why is it hard to buy things that work well?

#180

Earlier quoted context omitted.

Foundations change (tensioned slab, etc) and water inside of houses (copper vs pvc vs PEX vs lead). Electrical is even in frequent flux under those timescales. Insulation as well. Very little stays consistent…

But the concept of water being fed through pipe, from a reservoir, chlorination, etc have been around a long time. Sure implementation details change, but they and the concepts they build off of have been around. You mention pvc, copper, and pex (lead is over 50 years old and many have been replaced). Those are just materials. How do they affect end user on a daily basis? How long has electrical be 120v AC? How long…

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