posted 05-26- 12:00 PM               

THe game boy advanced is supposed to come out in the states at $99US. Its supposed to come out in Canada at $139CAN.

See the problem?

$99US is equal to $153CAN, I know not a huge difference, BUT enough that I guess Nintendo is worried boarder states will buy from Canada.

So at first americans were getting price gouged by nintendo charging more down there then up here.

Now instead it seems they might price canada for more, I'm guessing that 150 canadian.

Why not just lower the US price to $90 us, which would be equal to our 139.

Good ol price gouging, don't ya love it?
Even when a company can make a profit and sell at a cheaper price in some countries, In others they sell at a higher price to get a HIGHER profit.

I know its there right, and its a free market, but you still have to admit it sucks ass.

Not that I can see myself buying one.

Its the same with DVD region coding, man that crap pisses me off.

posted 05-27- 01:09 AM               

Think about jerry, the price has already been posted in a local store and I remarked how it was lower then I thought.

Then the store worker warned me that it might be going up because of the conflict with the states.

This shit goes on every day jerry, specialy in the states.

Do you think they pay the same price for a DVD in india as you guys pay down there? Nope.

posted 05-27- 08:02 PM               

YOUR being screwed, YOUR getting ripped off.

Understand?

posted 05-27- 10:39 PM               

Dan, yeah your right, but they choose to loose even more money in Canada then the US, UNTIL they figured out that americans might buy in Canada to save money. Seems they just can't stand you guys getting a better deal so they will raise the price here too.

posted 05-28- 01:57 PM               

You think that since a product (any product) costs less in one country than it costs in another country, then the consumers in the second country are getting ripped off by the manufacturer.

I'm trying to point out to you that a lot of factors go into pricing, like taxes (not just the sales tax but all taxes charged just to operate a business), the cost of getting a product to a country, the cost of shipping and handling once it gets to that country, the price of rent and other expenses the retailer must pay, etc.

I'm trying to point out that "getting ripped off" is a perception that the buyer has. If the product isn't worth the price being charged then the buyer should do without. You don't get ripped off if you don't buy it. If enough people do this then either the price will come down or the company will go out of business.

I'm trying to point out that paying more for a product in one country may be the price for living in that country. If living in that country is better overall (even with higher prices) than living in another country, then you're not getting ripped off. Example, living in Mexico is a lot cheaper than living in the US. Am I getting ripped off? Hell, no. Just like the cheap CD's in India.

I'm trying to point out that the examples you gave involve a discretionary expenditure for entertainment. They are not necessities of life and many people don't buy them at all. If people want to spend their discretionary entertainment dollars buying gameboys and DVD's vs. some other form of entertainment they are not getting ripped off because they made the choice.

I'm trying to say that the final retail price may have nothing to do with the wholesale price the manufacturer receives so how can you say Nintendo is ripping off Americans. They may be making no more off US sales (per unit) than Canadian sales.

I'm trying to say that if your gameboy prices go up because they cost more in the US, then that's the price you pay for being so close to a major market. My guess is that most Canadian prices are lower than they would be otherwise because you are near the US. As a small next door country you benefit from the overflow of "quantity discount" that exists in a big market. If you don't understand that, say so and I'll speak slower.

Bottom line Spanky, you really don't know if US buyers of gameboys are getting ripped off because all you are looking at is the exchange rate. Simple example: How many hours does the average Canadian have to work to earn enough take-home pay to buy a gameboy? How many hours does the average American have to work to earn enough take-home pay to buy a gameboy? How many hours does the average East Indian have to work to afford a DVD? Until you can answer those questions you're accusations of companies ripping people off are groundless.

I'm sorry this is so long-winded. I thought you would be able to grasp my earlier shorter posts. Guess I was wrong.

posted 05-28- 10:49 PM               

I fully understand what your saying, but I don't think thats whats happening, I think its pure greed.

posted 05-29- 12:31 AM               

By the way, maximizing profits does not necessarily mean charging more. If you have competition then charging more forces your customers to the competition and you lose business and make less. If you charge more than the value of your product people will quit buying it. Charging less often earns you market share and you profit even more due to volumn. Cutting costs is another way to maximize profit and does not affect price.

Maximizing profit is not evil. It's what business is all about. It allows businesses to expand and create jobs. It fosters efficiency, quality and service. Deliver a poor product or lousy service and you'll be out of business in short order. You should stop listening to Smokey and study economics.