2 thoughts on “There’s no point in a financial services Trip Advisor unless reputation matters”

  1. Posted 23/08/2013 at 14:55 | Permalink

    Not only do customers now not need to worry about suppliers, but suppliers do not need to worry about customers — since it is the regulator they are accountable to. (This is a point that Philip himself has made in the past.) Many years ago Hayek wrote that ‘competition is in a large measure competition for reputation or good will….The function of competition is … precisely to teach us who will serve us well.’ Only this morning this was brought home to me. My boiler was not producing hot water so I rang an engineer to have it looked at. The girl asked me where I got hold of their name and I said “from my address book. I’ve used you before!” The engineer arrived within an hour or two and put things right. It was a bit pricey, but I was well satisfied! That’s how a proper market works.

  2. Posted 24/08/2013 at 15:00 | Permalink

    Whilst I am against all types of regulation surely the mis-selling of card protection policies was that they did not do what was on the tin.

    If governments restricted their remit in the private sector to ensuring the quality offered was indeed what was on the tin and to ensuring robust competition in all sectors then I can see absolutely no need for regulation

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