Jungle Jim
12-01-2009, 10:11 AM
i posted the following
"
The stock on the shelf could have been bought from the distributor who got it a a given rate months ago -since that time the rate has moved.
Retailers (the easiest to blame on this issue) can’t adjust prices frequently in accordance with market fluctuations.
So they have to price their stock at a point where it allows for a safety net of sorts. A few months ago we were all whinging that the dollar strengthened but the prices hadn’t come done locally.
True- in those time the margins would have been better then the dollar started to slide...it seems to have taken a very long time for the prices to be adjusted accordingly. Therefore what we see is the retailer and perhaps (some)distributors absorbing the variance as long as possible but eventually they have to move.
The alternative would be to have a market whereby the retailer negotiates on a price relative to how the currency is trading on the day.
EBAY is good like that......... Service stations........i wouldn’t mind filling up the tackle box on cheap Tuesdays.
Personally whenever i buy is sell gear i work in Us dollars. This way i know what it will cost to acquire or dispose of.
Jim"
for the life of me i cannot find my post or the thread. has it been removed?
yes i have tried seraching using keywords with no luck.
thanks
"
The stock on the shelf could have been bought from the distributor who got it a a given rate months ago -since that time the rate has moved.
Retailers (the easiest to blame on this issue) can’t adjust prices frequently in accordance with market fluctuations.
So they have to price their stock at a point where it allows for a safety net of sorts. A few months ago we were all whinging that the dollar strengthened but the prices hadn’t come done locally.
True- in those time the margins would have been better then the dollar started to slide...it seems to have taken a very long time for the prices to be adjusted accordingly. Therefore what we see is the retailer and perhaps (some)distributors absorbing the variance as long as possible but eventually they have to move.
The alternative would be to have a market whereby the retailer negotiates on a price relative to how the currency is trading on the day.
EBAY is good like that......... Service stations........i wouldn’t mind filling up the tackle box on cheap Tuesdays.
Personally whenever i buy is sell gear i work in Us dollars. This way i know what it will cost to acquire or dispose of.
Jim"
for the life of me i cannot find my post or the thread. has it been removed?
yes i have tried seraching using keywords with no luck.
thanks