ss_blog_claim=8dcabb3175f064b32823a45ed345083b Majik's Thoughts: Parity Prices?


Parity Prices?

There has been a lot of complaints by consumers in Canada recently. C.B.C aired a special on Canadian consumers demanding a lower price. The special was called "Dollar for Dollar" and it included opinions from Canadian consumers. This is a good thing, because Canadians are finally starting to realize that the consumer can affect the price. Even the Retail Council of Canada has taken note. The Retail Council of Canada has issued a letter to Canadian suppliers to reduce prices.

Now of course there are other factors to consider when looking at the price of goods, it's not just the retailers that set prices. Manufacturers also set prices for their products. Also, Canadian manufacturers have higher operating costs than their counterparts in the U.S. which will affect the price of Canadian made products. Another thing to consider when looking at high prices, is competition.

Granted that the Canadian market is smaller than the U.S. market, but there are fewer and fewer competing companies. In addition to that, there are many barriers preventing more competition in the Canadian market. As well here in Canada, we have higher safety standards than some other countries and have to pay to make sure that a product is safe for sale on the Canadian market. Along with higher taxes, all these factors will be included in the price of a product on the Canadian market.

It isn't likely that we will see parity pricing here in Canada, but if more and more consumers start to stand up for themselves, we can effectively drive the price down. Canadian retailers do not want to see business go south of the border and are working to reduce prices. The Retail Council of Canada have a link on their website to a petition of sorts that will allow you to let the suppliers know that you want lower prices. This is a good thing and will help the Canadian consumer stand up for themselves and demand lower prices!


Javi said...

hey Malik! looks like your stumble icon is working right already.

Post a Comment