Tuesday, February 20, 2007

Permanent Sales

It seems every time you go into stores, there's a sale. Sears does this - it's always sale-time at Sears. But "sale" does not equate to value. It really doesn't matter how much a retailer says that a product cost in the past, what matters is how that product costs now compared with similar products being sold elsewhere.

The fact that my computer was on sale when I bought it is irrelevant. The original price was ridiculously high. The only thing that matter was that compared with the exact model being sold elsewhere, it cost much less.

Some retailers are shameless in marking things down. Cheaply made merchandise will have a ridiculously high sticker price that has then been marked down to a still-high price, but 90% off the original. Wow! What a deal! ... except you can get the same thing at a dollar store.

We shouldn't think" sale price" but instead just think "price."