Regardless of the fact on whether you are educated or not as a consumer, everyone knows that retailers get more for the numerous products and services compared to what it really costs. Capitalism 101, especially on matters regarding the building of profit margin, dictates that companies have the need to earn profits in order to stay in business and the prices it imposes are pretty much determined by what the consumers are willing to pay.
A lot of people oftentimes have this tendency of willingly pay high markups just to acquire the convenience they want. With these high markups, one will no longer have to create the goods nor do the labor. The questions now are, how much marked up was imposed on that price? Can the marked up really justify the costs and convenience of the services or good paid for?
Below are some of the thoughts wherein markups when it comes to 37 products or more are really not justifiable or worth paying for. A simple example would be that of a single beverage. The price of liquor in a restaurant has a markup value of around 350%. On the other hand, coffee gets about 2,850% higher markup values. If you do not want to know how much these products were overpaid, then, you should better look away. But if your mind has been already curious, then continue on reading.
When it comes to education, you surely have to put up a price. While public schools may be free, parents have the knowledge on how school supplies immediately rise mark up. For the cap and gown, the mark up value is around 1, 011 %; 1, 100 % for the Ivy league Vs. in-state tuition; 1, 329 % for the high school ring; 163 % for the textbooks every semester; 892 % for the TI-83 Plus calculator, and 3, 082 % for the Saturday prep classes.
Family And Food
When it comes to family, 650 % is the marked up value for the new roof; 300 % for the printer ink; 350% for the funeral caskets; 400 % for the furniture. With regards to food and drinks, 2, 900 % for the coffee shops; 694% for domestic beers; 1,150 % for mixed drinks; 1, 150 % for restaurant soda; 2, 000 for water; and 900 % for movie popcorn.
When it comes to services here are the some of the not so bittersweet examples. For interior painting, you get a 6, 329 % mark up; 492% for the cutting of your lawn; 3,900 % for the snow removal during winter; 210 % marked up for the pool cleaning; 313 % valet airport parking; and 5, 900 % just for house cleaning. Can you ever imagine how much you can save if you are doing all these services on your own? But the problem now is that you don’t have any time to waste because you yourself have much work to do. Thus, you would rather spend on these high marked up values and getting that convenience rather than saving and doing it on your own.