2007-10-14 09:43:34 · 3 answers · asked by Anonymous in Business & Finance ➔ Other - Business & Finance
The average markup from wholesale to retail price depends entirely upon the commodity. Retail clothing is probably marked up by 500%, whereas machinery might be marked up only 35-40%.
By the way, "suggested retail price" is the biggest ECONOMIC scam that has ever been perpetrated upon the consumer and the public.
It has ABSOLUTELY NOTHING to do with the actual cost of production, distribution and sales costs (plus a reasonable profit).
"Suggested retail prices" are often set by SURVEYS, i.e. 'would you pay $291.95 for a pair of cross training shoes? (running shoes, cheap rubber, made in third world countries like China and imported for less than $2.00/pair. OUTRAGEOUS!
"there ought to be a LAW" comes to mind. Suggested retail price IS the primary cause of inflation.
Caveat emptor applies. "let the buyer beware".
2007-10-14 09:56:36 · answer #1 · answered by fiddlesticks9 5 · 1⤊ 1⤋
If you have an item that has been in the store for over a year. Would you mark it down 25% every two weeks to get rid of the merchandise?
2015-08-11 05:23:43 · answer #2 · answered by Judy 1 · 0⤊ 0⤋
It varies a lot from industry to industry and product to product. In grocery products, for example, the markups are very low.
2007-10-14 09:53:43 · answer #3 · answered by hottotrot1_usa 7 · 0⤊ 1⤋