World of Finance: Price drama that retailers play-2

And you would think that since the stores are going out of business, they would want to sell items at the lowest possible price but I read somewhere that they do not and they actually price it higher than the regular price to make sure they recuperate as much money as possible. And since the customers are not in the habit of remembering what were the prices a few weeks ago, they get lured into these shops and pay for it thinking it is a bargain but it is not. And I will readily admit that I have visited these places but the prices I have seen made me turn back. And when the prices go down each week by 10 percent and then you visit the store, there is only crappy stuff remaining and the staff about to get laid off does not care that much any way of who buys or not. And recently a news article came out which said was an open secret that businesses don’t sacrifice their margins even when the discount or put items on sale. They buy from vendors for a certain amount and then put amount on the item which is like 200 or 300 percent more and even if they discount it to like 50 percent that is their initial margin that they are comfortable with and that is what they adjust it in their books. It is like a casino where the house (casino) never loses money no matter how many gamblers win, it is the same with retailers unless the customers don’t shop their anymore in which case the stores go out of business.

World of Finance: Price drama that retailers play

I wrote long time ago about how the prices end up on .99 or .95 and I have noticed that not only in the U.S. but other countries too, maybe because they are copying from the U.S. or have conducted their own survey to suggest that those numbers are the psychological numbers where people buy their products. But there are other ways the retailers use prices to lure their customers and it can include discounts, point, price comparison, loyalty cards, sales, early bird specials, limited time deals and other tricks they have in their sleeves. And nobody has the time to see if the prices are really down from the actual prices or are the same by looking at the original price and then putting a line on it and giving it a lower price which may actually be the same price it may have sold a few weeks or months ago. Because the store rarely sacrifices their margin by giving sales and discounts. And I have noticed one more thing that when a department store or any store for that matter is having a going out of business, losing a lease or going bankrupt, you should notice the prices of their products during their normal store hours or in happier times and now when they are having a to liquidate all their inventory, the prices are rarely at the discount level and are even higher than the original prices. Maybe the owners want to recuperate as much or even more from the unsuspecting customers or they think that the customers don’t remember the prices before, but this is highly deceptive and unfair.

On the lighter side-Movies-Red 2 (2013)- Bruce Willis, John Malkovich

Those spies from the first Red movie (Retired Extremely Dangerous) are back, this time trying to retrieve a mobile nuclear device which can cause massive devastation. Enjoyable movie with fast paced action. Recommended

On the lighter side-Movies-The Grandmaster (2013-HK)

Another Hong Kong movie about the Grand Master Yip Man who famously was the teacher of another Martial Arts Legend Bruce Lee. Less fights and more talk but executed brilliantly. Recommended