P
I'm a bit tired of the 'rip off Ireland' mantra being wheeled out every time a significant price difference is noticed.
Not necessarily. Different operators offer different service levels. Its stands to reason that Arnotts can charge more for furniture than (fictional) Joe or Mick in Listowel or Lifford as by basing themselves in a prime city centre location they are making it easier for customers to visit them there. In return for the good location, they must pay higher rents than Joe or Mick would face. Hence they actually need to charge more, if the economies of scale are insufficient to otherwise cover the rent cost differential.If there is true competition then you should find all compeditors in and around the same low price.
I'm not sure that this applies in all scenarios. Retailers undercut others by a variety of methods, sometimes in ways that most people would deem unacceptable.When a huge price difference is found it is acceptable to point out that it's a ripoff.
Most businesses do have serious overheads. Large markups (sometimes up to several hundred percent) are a necessary fact of life in many sectors. Anyone who is ever involved in running a business in their own account will quickly see this. For example the raw material cost of making a cup of coffee is only a few cent. However you dont see too many bars, hotels or cafes selling coffee for 20 cent a cup. Not because there is no competition in the coffee business, but because all overheads have to be factored into the price, otherwise the venture is uneconomic.If I can sell something for €10 and you sell it for €30, then unless you have a serious overheads you are ripping people off.
How do you set prices for your own product/service? The rip-off always seems to be in the eyes of the beholder.
Its stands to reason that Arnotts can charge more for furniture than (fictional) Joe or Mick in Listowel
The point would seem to be there is no justification in re-branding something by making it 25% smaller and doubling the price.
How can you say this with certainty?The point would seem to be there is no justification in re-branding something by making it 25% smaller and doubling the price.
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