Again, Easter is just around the corner! The time when in Germany traditionally the Easter Bunny hides colorful eggs and small gifts in all sorts of places. Especially children are very excited at that time when they start searching and are full of joy when they have found all the hiding spots. Searching is fun!
In everyday business life, however, this is not necessarily the case. After all, it is not really fun for companies when they are on the search – whether for new business ideas, sales markets, suppliers or – more and more pressing – for qualified workers.
The costs associated with the search are part of the so-called transaction costs that arise in the course of the transfer of rights of disposal and thus are separate from production. Such a search can tie up considerable amounts of resources and can even be significantly more expensive than the actual production of the goods.
Many companies have recognized this problem and take over the search for others. This means that they do not produce anything themselves, but are so-called intermediaries bringing supply and demand together. An intermediary we visit almost every day is the supermarket – if we need food, for example, we do not have to find out first what is produced where, but can simply go to the supermarket and find all the important products in one place. This is also advantageous for producers, as they do not have to search for customers themselves.
A supermarket is thus a market maker, creating a market where supply and demand can meet. Another function is that of a match maker, i.e., bringing together suitable partners – if you think of dating platforms here, then you are not wrong, since here, too, seekers are brought together and, ideally, matched. In addition, employment agencies also perform this function. Many very successful Internet companies in particular are intermediaries: Airbnb, eBay or Uber.
Intermediaries help to reduce search costs and thus pursue exactly the opposite business model of the Easter Bunny. Perhaps the Easter Bunny, as a hiding spot expert, should make his knowledge available to companies during the rest of the year and help them find it! Alternatively, maybe the Easter Bunny has a different goal: to prepare us all for the many searches ahead! In this sense: Good luck with the search and Happy Easter!
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