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shop prices / QBP catalog

Old 04-16-09, 07:32 PM
  #26  
malpag3
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Originally Posted by jim-bob View Post
Those greedy money hungry pigdogs! How dare they try to stay in business?!
Yes, that's exactly what I said and meant.
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Old 04-16-09, 07:35 PM
  #27  
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No, you got all caught up in not actually saying anything.

Material prices go up. Rent goes up. Shipping goes up. Occasionally wages go up. Should prices stay locked in? How long?
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Old 04-16-09, 07:42 PM
  #28  
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Originally Posted by malpag3 View Post
Well it's a bike forum, so I didn't expect it to take that long for the business man response.
I would think anyone living in Detroit would appreciate the importance of sound business administration. Times are tough, and I think we can agree that it's better for consumers to pay a few bucks more for merchandise then have workers employed in the cycling industry start losing their jobs and venerable businesses start going bankrupt.
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Old 04-16-09, 07:46 PM
  #29  
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Again, I'm not going to argue this. I'm a poli sci student, not a capitalism and economics student, so I'm not really interested.

I think that it is mildly disingenuous to raise prices for a good that doesn't actually do anything different, than what it did at it's previous price.

Wages have not been going up at all. I'm not sure what world you live in, but the economy is not doing so hot, worldwide. Everything goes up for the "consumer" because they think they'll always pay. They're exploiting the smallest man on the totem pole, and I don't think it will work well for them.

Again none of this is economically sound to an economist (that is, one who studies capitalism), but I don't think they have been getting much right with it previously, apparently.

Anyway, OP don't be surprised if the mark-up is more than it is, I never meant to offend any capitalists or shop owners or suppliers in the room.
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Old 04-16-09, 07:48 PM
  #30  
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Originally Posted by supercub View Post
I would think anyone living in Detroit would appreciate the importance of sound business administration. Times are tough, and I think we can agree that it's better for consumers to pay a few bucks more for merchandise then have workers employed in the cycling industry start losing their jobs and venerable businesses start going bankrupt.
That's just rude. Just because I live in Detroit doesn't mean that I am disappointed by the American automotive industry's collapse.

Again, was it the affluent white-collar suburbanites that got it bad with the closure of the auto plants in the city? No.
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Old 04-16-09, 07:58 PM
  #31  
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Originally Posted by malpag3 View Post
I'm a poli sci student, not a capitalism and economics student, so I'm not really interested.
This is a curious statement.
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Old 04-16-09, 08:46 PM
  #32  
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Tell me what you want and I'll login to QBP and tell you how much it is at cost... some items you get % off as an EP (e.g. Lazer, Thomson, SRAM)
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Old 04-16-09, 08:58 PM
  #33  
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Originally Posted by malpag3 View Post
Again, I'm not going to argue this. I'm a poli sci student, not a capitalism and economics student, so I'm not really interested.

I think that it is mildly disingenuous to raise prices for a good that doesn't actually do anything different, than what it did at it's previous price.

Wages have not been going up at all. I'm not sure what world you live in, but the economy is not doing so hot, worldwide. Everything goes up for the "consumer" because they think they'll always pay. They're exploiting the smallest man on the totem pole, and I don't think it will work well for them.

Again none of this is economically sound to an economist (that is, one who studies capitalism), but I don't think they have been getting much right with it previously, apparently.

Anyway, OP don't be surprised if the mark-up is more than it is, I never meant to offend any capitalists or shop owners or suppliers in the room.
If you look at labor statistics, wages did go up last year and still are rising. Take a look at the Bureau of Labor Statistics data. I would provide a link but a poli sci major should have that bookmarked.

One of the things that happens in a shrinking market is prices sometimes don't drop and often increase. Suppliers have fixed costs that gets spread over a reduced base of sales. Often a strategy is raise costs and try and recoup some of the loss. It varies by industry and company.
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Old 04-16-09, 09:37 PM
  #34  
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Originally Posted by malpag3 View Post
I love this place.

First, I work at a shop.

Second, I am not speaking as if the shops are ripping people off. I'm speaking more towards the fact that the industry itself is a bit of a rip off. How many times have you seen price increases but nothing change in the actual item being sold.

Yes, just because all of business does it makes it more right? That's still a logical fallacy.
Hey dude, no hard feelings hey? I wasn't intending to argue or start a fight. I should have included some little smily faces in my post.



I also work in a bike shop, and I also have some serious problems with capitalism, so we're probably more on the same page than it seems.
I think I had the same feeling you're talking about as I recently repriced cassettes and deraileurs to "keep up" with the latest round of increases from the suppliers. Some of the higher end stuff had almost doubled in price. Something just feels wrong about a cassette worth more than an entry level bike. In my gut I feel someone must be on the take, but if you're experience is anything like mine, it isn't the local shops.
Granted I'm just a wrench, and don't know anything about the buisness side of things, but my feeling is that my bosses aren't living the high life off the recent price increases, and they seem to feel as uncomfortable as I do selling stuff we can't even afford anymore.

The background to my little rant before, I guess, is that all the bike shops in my part of the world are locally owned, small businesses that tend to employ skilled, creative, hardworking, underpaid and generally pretty decent people (owners included). They're working within a capitalist framework, certainly, but I'm pretty sure they aren't the bad guys. Even if i didn't depend on a shop for my living, I'd still rather see folks support local shops in thier own communities. Bike shops are the kind of places that we really have to keep around no matter what kind of economy we eventually decide for ourselves.

Now what we should really be talking about is a benevolent anarchist takeover of the Shimano factories, in case of worldwide, violent economic upheaval.
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Old 04-16-09, 09:55 PM
  #35  
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It's funny that we get all up in arms about a LBS making 50-100% mark up (not profit, just gross mark up) yet as American's we flock to restaurants umpteen times a week. Do people not know, or care that food in the restaurant biz is typically marked up 200-400% and liquor is between 300-500+%? And that's not including what we shell out for tax and tip.

Everyone's trying to make a living.

I'm just sayin....
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Old 04-16-09, 11:32 PM
  #36  
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malpag3 is correct, albeit slightly off.

people are being ripped off.
but not by the local bike shop specifically.
they're victims as well.

those who push smrp are the guilty ones.

further reading: http://www.lickbike.com/productpage....SUB=%271138-10

Wanted: Class Action Lawyers Who Ride Bikes. ... CALL
We believe along with at least seven other major bicycle retailers that the unequal enforcement by manufacturers of SMRP (Suggested Minimum Retail Prices) is a restraint of free trade under the Sherman Anti-Trust act 15 U.S.C.A. 1 et seq.(A) The manufacturers are unable to control their product sales on the internet especially from outside the United States where the price of goods can not be set. (Article 81& 82 of the EC Treaty) Our distributors are unable to help us compete because they are told what to do by the manufacturer. Since September 2008 we believe the USA and Canadian bicycle community has been over charged by some manufacturers between $10 to $30 million dollars. The fair price of a product is determined by the quality of the product, dealer training programs, customer service, delivery, and supply and demand. By fixing the price to one value, we prevent the market from finding a fair price. The supreme court case Leegin vs. PSKS. is the basis for many of the manufacturer SMRP claims but this was a poorly researched decision by a 5 to 4 vote which changed over 100 years of efficient business transactions. Leegin vs. PSKS. never considered the dynamics of the internet nor the currency exchange rates which modern businesses must compete against. Often bicycle componentry can not be integrated from one company’s product with another, so the idea of enhancing interbrand competition has no relevance in the bicycle industry. Under Suggested Minimum Retail Prices, the consumer is forced to overpay for replacement parts. Remember, consumers do not have to ride bicycles; there are other options for their entertainment or transportation dollars. The inability to compete with European retailers is another reason why we are loosing good jobs because of poorly made decisions.
LickNotes: (A)Sherman Anti-Trust Act 15 U.S.C.A. 1 et seq., unreasonable restraints of trade are illegal per se and interfere with free competition in business and commercial transactions. Such restraint tends to restrict production, affect prices, or otherwise control the market to the detriment of purchasers or consumers of goods and services. A restraint of trade that is ordinarily reasonable can be rendered unreasonable if it is accompanied by a Specific Intent to achieve the equivalent of a forbidden restraint. Applicants: please call Mr Ami Bachar 708-383-5541 a working knowledge of professional bicycles an the willingness to work with our corporate attorneys is a must.
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