Business Lessons from Bonsai – What is a Size Premium?
In November 2012, one of the most expensive bonsai sales occurred. The tree pictured above sold for 1.2 million dollars! My first question when I saw this was what makes a pine tree worth more than a million dollars? Let’s compare it to a 25-year-old tree for sale at Brussel’s Bonsai for a “mere” $1,260.
There are a lot of similarities – they are both the same
specimen of tree, have the same growing requirements, and are both presumedly
Why is one tree worth 1,000 times more?
– there aren’t many 200+ year old bonsai trees. A 25-year-old tree can easily be
obtained online, and a sapling might be found for free.
sophisticated buyer – Bonsai trees are valued on a wide variety of aesthetics.
The value of bonsai are influenced by the thickness of the tree’s trunk, the amount
of exposed roots, and overall size. The million-dollar bonsai sold at a bonsai
convention, which attracted many bonsai experts.
Thinking about your business:
If you want to attract a sophisticated buyer, how big does your business need to be?
Will you post your business for sale online, or would you prefer it to be placed on a pedestal, highlighted and admired?
If you need help developing deeper roots for your business, growing its trunk, or understanding its value, schedule a 30-minute phone call to see how I can help!