Evaluate your ability to consume wisely, Explain why this skill is essential to achieving your life span plan

Consumerism is a way of life in which the regular purchase of secondary goods, in which the social value of the product and its influence on social status and identity plays a huge role in society and everyday life.

The term originated with the rise of the consumer society in the twentieth century. Where previously the market was supposed to regulate itself, this did not always work sufficiently, so that consumers began to unite in consumer movements and consumer organizations. Consuming is then seen as a right, a right that is defended to the extreme. In addition, consumerism is also seen as good for the economy and therefore worth pursuing, as it keeps economy working.

In this sense, the fact of operating within the framework of the consumer society in a responsible, wise and meticulous way matters that individuals do not relapse into behaviors that put their financial situation in trouble.

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation: