Change shape to increase the selling price
In another case example, there is an entrepreneur who has wood production which, if sold directly as raw material, has a selling price that is not optimal. So the timber entrepreneur can process his wood products into semi-finished materials or even process them into finished materials to increase the selling value of the raw material in the form of wood. For example, making furniture from the wood it produces, will increase the selling value of the wood. In addition to processing it into furniture, which is finished goods, he can also process wood into pieces of wood for semi-finished materials so that the selling value of wood increases when compared to when it was still raw material.
In the automotive world, there are also companies that produce raw materials and semi-finished or finished goods. An example of raw material is rubber farmers, they produce raw rubber latex which can be used as material for making tires. This rubber entrepreneur can sell raw rubber directly and can also convert the raw rubber into tire material, which is a semi-finished material. They are rubber entrepreneurs who can also convert rubber into ready-made tires so that the selling value of rubber is higher than the price of pre-processed rail, which of course is expected to increase the entrepreneur's profit.