Things Sold In The Market That Are Overpriced
We all know that there is a price attached to everything that we buy in this world.
In economics, we know that prices change when the supply and demand for the good change.
Some commodities however, have incredible price mark ups even when there is little demand or there is excess supply.
Nevertheless, we still buy them since there is a real demand for it.
This has always been the case and will be so even in years to come.
Listed here are highly overpriced products we have in our market today.
1.
Movie Snacks Popcorn, nachos, chips, candy bars and soft drinks.
These are the things a great movie shouts out for.
Average markup for these snacks are about 1000%.
Even though we can grab all these things at supermarkets or convenience stores at a much cheaper rate, we still continue to patronise these snack outlets for convenience sake.
Who would take the trouble to go all the way to the supermarket just to get a pack of chips 20 minutes before the movie screens? I wouldn't.
2.
Greeting Cards The price of greeting cards are definitely high on a rise.
The piece of cardboard paper with fancy colours printed on it could easily sell for 2 to 3 bucks.
The cost of producing one is probably only about a few cents.
Greeting cards are usually priced at 200-300% markup.
E-cards have become more popular these days since they don't cost us anything.
But greeting cards do have its place since we do not want our friends to think that we are too cheap to even send them a real greeting card.
3.
Clothing They could easily hit 400-500% markup for the common brands.
The branded ones range starting from 1000% markup.
They are cheap to produce but when they make it to the stores, their prices rockets especially when you have famous celebrities marketing it for them.
4.
Pharmaceutical Drugs Generic drugs are cheaper since they retail at only about 60-70% markup.
Advil tablets retail at about 9 bucks where the cost price is about 5 bucks.
Patented drugs on the other hand can reach about 3000% markup.
Antacid tablets, pain killers and vitamins usually reach 300-400% markup.
5.
Groceries If we are looking at organic produce over here, the groceries could easily hit 50-100% markup rate.
Organic food usually have higher cost in production, which accounts for the difference in price with your normal grocery.
Pre-cut groceries could also cost you more at about 200-300% markup.
The price of fresh cauliflower and broccoli is only about $1.
70.
Pre-cut ones can go up to 4 -5 bucks per box.
In economics, we know that prices change when the supply and demand for the good change.
Some commodities however, have incredible price mark ups even when there is little demand or there is excess supply.
Nevertheless, we still buy them since there is a real demand for it.
This has always been the case and will be so even in years to come.
Listed here are highly overpriced products we have in our market today.
1.
Movie Snacks Popcorn, nachos, chips, candy bars and soft drinks.
These are the things a great movie shouts out for.
Average markup for these snacks are about 1000%.
Even though we can grab all these things at supermarkets or convenience stores at a much cheaper rate, we still continue to patronise these snack outlets for convenience sake.
Who would take the trouble to go all the way to the supermarket just to get a pack of chips 20 minutes before the movie screens? I wouldn't.
2.
Greeting Cards The price of greeting cards are definitely high on a rise.
The piece of cardboard paper with fancy colours printed on it could easily sell for 2 to 3 bucks.
The cost of producing one is probably only about a few cents.
Greeting cards are usually priced at 200-300% markup.
E-cards have become more popular these days since they don't cost us anything.
But greeting cards do have its place since we do not want our friends to think that we are too cheap to even send them a real greeting card.
3.
Clothing They could easily hit 400-500% markup for the common brands.
The branded ones range starting from 1000% markup.
They are cheap to produce but when they make it to the stores, their prices rockets especially when you have famous celebrities marketing it for them.
4.
Pharmaceutical Drugs Generic drugs are cheaper since they retail at only about 60-70% markup.
Advil tablets retail at about 9 bucks where the cost price is about 5 bucks.
Patented drugs on the other hand can reach about 3000% markup.
Antacid tablets, pain killers and vitamins usually reach 300-400% markup.
5.
Groceries If we are looking at organic produce over here, the groceries could easily hit 50-100% markup rate.
Organic food usually have higher cost in production, which accounts for the difference in price with your normal grocery.
Pre-cut groceries could also cost you more at about 200-300% markup.
The price of fresh cauliflower and broccoli is only about $1.
70.
Pre-cut ones can go up to 4 -5 bucks per box.
Source...