Quote:
Originally Posted by percy
Canadians are getting screwed every which way possible. But those doing the screwing know us Canadians will only bitch for awhile then accept it.
A pair of Clark shoes I purchased last month in Boston were $89 retail. Why should I wait for a sale in Canada for the same shoes that are on sale once a year for $99, regularly $139
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I've said it once; I'll say it again: economies of scale. I wouldn't be surprised to learn the market for Clark shoes in Boston is larger. And if the distribution for them is national, rather than local--even if it's regional--well, then, there you have it. The price of a good or service isn't tied merely to the cost of currency. Distribution is a huge factor.
We aren't getting "screwed" every which way. We merely a smaller market. Comparing the Canadian market to the American market will usually get you this kind of disparity. It's the nature of the beast.
We're talking this kind of difference:
GDP (2008)
U.S. $14.4 trillion
Can $1.3 trillion
Now think about doing business in each market. Do you make different kinds of decisions? Do you have different factors? Of course. You can buy and sell a huge amount in the U.S. compared to Canada, and this brings your unit cost down substantially, passing the savings onto the customer.