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> If you own a company and someone wants to contract you for work, you start explaining how what the client says it needs is not necessary and how he can manage with less than he demands?

Yes, it happens all of the time actually. Most clients don't come to you with clearly thought out solutions, they come with poorly articulated problems, and your job is to explore the problems they want to solve until they are well understood, and then devise a solution with the lowest cost.

Of those rare, rare clients that do know exactly what they need, they still have multiple constraints beyond those needs. For instance, budget. The client wants X within firm budget Y, X cannot be done within budget Y, therefore you make the case that either the budget must expand or they can make do with X' which only does 90% of X and that will fall within budget Y.




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