Thread: Tired of being robbed.

As for reasons, take your pick, eg Why do Australians pay so much for luxury cars

Manufacturer feels like it.
Importer feels like it
Retailer feels like it
Taxes
Exchange rates
Small market
Overhead for warranty claims
etc
etc

It would be amusing to see Harvey Norman et al reduced to a single tiny store with only 'demo' or dummy items on display (like mobile phones) and your order gets drop shipped from China.

Sounds like an eBay shop...

The future arrived 10 years ago, but it takes a while for people to notice.

When I was in the US last week, I bought a set of Dewalt Thicknesser blades from Amazon and had them sent to my hotel. I paid NZ$55. Exact same blades in Bunnings? NZ$127.

If that's not robbery, I don't know what is.

I've just bought a woodturning item from the UK. AU$18.99 shipped to my door. Cheapest I could find in Australia was AU$56, plus postage. I'll gladly support the local guy if the prices are comparable, but not when it's three times higher.

Different example: Asics Gel Kayano 17 shoes. Local shoe stores (everywhere I checked): $280. Direct from UK: $140 delivered. (they're now $180 delivered, but I paid $140). Previous shoes were a similar story.

And don't even mention books:
Free delivery worldwide on all books from The Book Depository
Does books significantly cheaper than Australian bookshops again with free delivery, oh and fairly regularly they take 10% off that!

And yes, I do realise that shipping and import duty are part of the equation.
BUT for companies like Carbatec who have made their business through selling imported goods through the internet and have used that to gain market share, (and beat competitors), they can hardly complain when someone else does it to them!

Chris

Part of the problem is a combination of a small market, slow moving stock & minimum order sizes.

There might be a product that you sell one a month, but the manufacturer demands you buy 50, and even then you don't qualify for a price break. Small shops often comment that their 'wholesale' price is still more than that of the large supermarket chains.

So now you have a cash flow problem from the slow stock, plus the cost of warehousing, plus the risk of being unable to sell an outdated model.

Solution? You hope the high price on the first few makes up for it all.

Yes we all buy overseas on the Internet and we all save money, or do we. Now my son is doing his masters in this sort of crap, He tells me , If you buy in the local store, on average your money rotates three times. ( Salespersons wage, salespersons Pizza etc). Before your money transaction is dead. Now at each stage, tax is payed. Buy from overseas, money goes overseas and is a negative on the balance of payments. So do I buy on line, yes I do, but yes I know my gain is the countries loss.

Originally Posted by rrobor

yes I know my gain is the countries loss.

Not necessarily. People buying heaps of cheap crap from China is great if you're an Australian miner. Do people still complain about Italian wool suits?

Originally Posted by Dropcat

Not necessarily. People buying heaps of cheap crap from China is great if you're an Australian miner. Do people still complain about Italian wool suits?

I wrote a simplistic, but correct post. What you now introduce is what is the balence of payments between countries. What wool was used in the Italian suit etc. The complex becomes more complex so yes you are correct, The knives someone bought may have been made in China from Australian steel but if you wish to untangle webs it still does not compensate for the loss of revenue, or the loss of jobs.

Where does that the money go that we spend on second hand tools? (don't tell the missus)

Cheerio,
Virg.

If you think it is bad for tools try car parts. We have an Astra Diesel Turbo that needed a dual mass fly-wheel. From Holden $2000 plus postage from the east. From a supplier in England $650 landed in Perth. The same for almost any other part.

Seems we are being done in from all directions

Originally Posted by rrobor

... it still does not compensate for the loss of revenue, or the loss of jobs.

So that means we don't have any money to buy this stuff from overseas. Right. Good thing it's cheap then, eh?

As you say, it's not that simple.

Olden days:
Pollie: ...and so we plan introduce a new tax on sheep dip...
Farmer: What! Are you mad, Oz rides on the sheeps back! We'll be ruined!

Current day:
Pollie: ...and so we plan introduce a new tax on mining profits...
Miner: What! Are you mad, Oz rides on the mines back! We'll be ruined!

Was in Canada and the US recently and they are astonished to hear of the salaries we have here long service etc.

I guess the government(taxes) and the manufacturing importers are also going to take advantage of that (minimum wage salaries) in comparison too

cheers