ThePhil wrote:biker jk wrote:ThePhil wrote:With our suppliers we had a huge meeting and they agreed to basically set one world wholesale price in $US, you can't ask for more than that, but they are not then going to start adjusting it for each individual countries importing regimes.
So if the wholesale price is fixed globally why are retail prices in Australia at bike shops often 50% or more above that of overseas competitors? Please don't suggest it's Australian import costs or GST as I will start laughing.
Out of your 50%, one individual example would be say $100 wholesale item, then 10% duty, $110 then, (leave out the IPDC) then mark up, say 30%, $143, then gst, $157.30, compared to $130, thats 21% of the difference. The rest is like talking about how long is a piece of string, maybe ask Cranks?
Are you pulling these number's out of a hat or do you actually have experience in such things? Every time you keep churing out the same thing, GST this, GST that. Wage costs actually have a significantly larger impact on local retailers ability to compete, in particular penalty rates. You can shop in an online store 24/7 without them having to pay public holiday rates (which were significantly higher than other developed western economies last I checked), try doing that in a physical store. Thing is, no-one will come out and say it, imagine the backlash. Oh my god, the poor workers are just trying to make a living, big businesses are trying to blame it on the poor worker etc (keeping in mind I am a retail worker). I could (and would) go further, but then we will start to stray into political discussion which is no go around here.
You want the reality of it from someone who has both worked in and studied retailers both large and small? Claiming that introducing the GST for imports under $1k will save Aussie retailers from being uncompetitive is like claiming if the farmers had pee'd in their paddocks during the drought it would have solved their irrigation problems.
Sorry, but you really are flogging a dead horse here IMO.