There are really only two situations when price doesn’t matter:

1. When you want the absolute best
2. When you only have one option

As a product or service provider, you should aim for the first category. To make a product or service that people will pay a premium for. To target the people who won’t settle for ordinary, average, OK, or good enough.

The problem with the second category is that if you are the only product or service provider in a particular market or niche, you can survive for a while…but sooner or later someone will figure out the game and make similar product or service that is cheaper than yours. Then it’s a race to the bottom. When it’s a race to the bottom…You lose.