Leicashot has a point. Sooner or later, this topic could take a negative turn. We participate in a Free Market, as such, a business owner has a right to set prices for goods and services based on the competition between business participants in that market.
Bottomline: The forces that drive prices come down to supply and demand:
It concludes that in a competitive market, the unit price for a particular good will vary until it settles at a point where the quantity demanded by consumers (at current price) will equal the quantity supplied by producers (at current price), resulting in an economic equilibrium of price and quantity.
The four basic laws of supply and demand are:
- If demand increases and supply remains unchanged then higher equilibrium price and unchanged quantity.
- If demand decreases and supply remains the same then lower equilibrium price and unchanged quantity.
- If supply increases and demand remains unchanged then lower equilibrium price and higher quantity.
- If supply decreases and demand remains the same then higher price and lower quantity.
The only problem I have is not with Stephen prices. It's the fact that the state of California in which his business and I both reside requires him to collect state sales taxes. Those sales taxes are based on the county where his business is located, not the county where I happen to reside within the state. Stephen is in one part of the state of California, and I reside in another. If we were both in the same county, I would be more than glad to pay the sales tax because I would otherwise have to pay them if I chose to buy from a retailer within the same county where the tax is based and the county most likely to benefit from those taxes collected.
But that's not Stephens fault. He's simply operatings within the rules. As a consumer, I have to accept it, pay the tax, or look elsewhere. Unfortuanetly for many retailers such as Stephen Gandy, is that they potentially loose sales because the consumer is looking for the best and lowest price and that's not including shipping or other charges.
So if a consumer residing in California would really like to support a local business, all things being equal (identical product) that consumer is taking into account price + tax + shipping costs.
Guess where that consumer is likely to spend their discretionary dollars?
Once again, don't get me wrong - I'm not finding fault or placing blame.
As consumers, the choice is always ours.