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I am not sure if manufacturers will be open to selling directly to someone who is not buying a large enough quantities. But even if they are, they probably won'
by smnrchrds 7y ago
I am not sure if manufacturers will be open to selling directly to someone who is not buying a large enough quantities. But even if they are, they probably won't sell them to retail arbitragers.
I cannot remember if it was from the same episode or another Planet Money episode, but I remember them talking to manufacturers who were unhappy with their products being sold online for prices much different than they intended to.
The gist of it is that, if you are for example Coca Cola, you want people to think of your products as an everyday item they can drink anytime, not a luxury to be saved for special occasions. And if you are Apple, you won't want your product to end up in the bargain bin. Pricing is part of a brand's marketing strategy and identity. People who price products way out of the range the manufacturer envisioned are detrimental to their brand image and long-term market share.
- mooreds 7y agoIt wasn't until the 1970s (in the USA) that retailers could determine the price of goods in their store. Before then manufacturers could dictate the price of their goods (laws protected that). So retailers competed on other dimensions (service, location) rather than price. I learned this (and a lot more) from "Goliath": https://www.simonandschuster.com/books/Goliath/Matt-Stoller/9781501183089 https://www.simonandschuster.com/books/Goliath/Matt-Stoller/...