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Companies can and do, e.g. Costco, for prescription glasses anyway. I bet what often happens instead is that the higher margin company just buys out the cheape
by munchbunny 8y ago
Companies can and do, e.g. Costco, for prescription glasses anyway.
I bet what often happens instead is that the higher margin company just buys out the cheaper guy, and... it's back to the higher prices!
- linuxftw 8y agoThis is how it seems to work in the US Airline industry.
- imroot 8y agoLuxottica ran the CostCo Optical centers for a little bit. I believe they got out of it because they were not making any money on it.
- munchbunny 8y agoThat makes sense. Costco sells a lot more than just eyeglasses, so it's a rare case where Luxottica just doesn't have leverage. If it's not Luxottica, it's someone else, but Costco's brand is very strong, so there's no concern about quality where you'd otherwise judge based on price/brand.