Subject:
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Re: Tell us (was: Found Discounted 5978; and Clearance Question)
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Newsgroups:
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lugnet.off-topic.debate
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Date:
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Tue, 8 Feb 2000 23:15:51 GMT
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Viewed:
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803 times
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Bryan Wong wrote:
> In lugnet.off-topic.debate, Larry Pieniazek writes:
>
> > These are all related to a less regulated business environment overall.
> > Typically, the more regulated the businesses are, the less they
> > discount. Also the less they compete with each other for sales. More
> > regulated businesses can't afford to discount, they are trying to hang
> > on for deal life.
>
> After reading that, I'd hafta agree with you... Especially that last sentence.
>
> Darn it, I'm moving to the States!
Me too! Oh, wait, I'm already here. I'm moving to Wal-Mart!
Actually, isn't it possible that in part it is these overseas activities that help
float the company over smaller margins at home? There are a few companies that
operate this way--they make money hand over fist abroad and discount at home.
When this would happen within the US it was considered "abuse of market share" or
monopolistic practices (e.g., a chain lowering prices at only one store
specifically to undercut a local competitor) but in the wider world this is
acceptable, especially because few national borders are so porous as to allow
shoppers to cross without hassle. This allows companies to make tiny amounts of
money at home in the US yet gain market share while still staying afloat.
best
Lindsay
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