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Relevant to note that almost no American businesses include sales tax in their listed prices either. (Though it's required in some countries [at least in some c

Relevant to note that almost no American businesses include sales tax in their listed prices either. (Though it's required in some countries [at least in some circumstances].)

JanezStupar 13y ago
Yes as an European I find it really odd how Americans get to put up with consumer abuse, just because "this is the way things work". And this is the country where supposedly everything is done in the name of consumer. And listing taxless prices and hiding the cost of service from me by expecting me to tip waiters. This is also the reason why I find this article distasteful. So if you are really that sure about your position, why the hell don't you raise your prices 20% or even 30% for that matter. And when people ask you why are you so expensive, you can tell them that you pay your people fairly.
- masklinn 13y ago
  > And when people ask you why are you so expensive, you can tell them that you pay your people fairly. Or they can see the notes about "no tipping" and "service charge: included in prices"
  - deleted 13y ago
    [deleted]
- doktrin 13y ago
  > This is also the reason why I find this article distasteful. So if you are really that sure about your position, why the hell don't you raise your prices 20% or even 30% for that matter Unless they have forged a particularly tight bond with the community, simply raising prices is a sure fire way to lose potential customers. Tipping is so ingrained in American restaurant culture that everyone assumes it to be in place. Unless they have a gigantic sign that flashes "NO TIPPING" in neon colors, you can bet that anyone scanning their menu will just assume it's a really expensive restaurant.
  - JanezStupar 13y ago
    So you are saying that tip is not a cost of the meal somehow? It just tells me that people are content with additional mental pressure because of sentimentality. I understand that Americans are used to it. But it is still absurd and in absolute discord in regards to America attitude towards business.
    - RogerL 13y ago
      No, he is saying that when I look at the menu of a restaurant, before walking in, I look at the prices and make a decision on whether it is in my price range or not. If I don't notice that the tax is included on this menu (but not the dozens of others I have looked at over the past years), I will think, say, a sandwich at $10 is a bit expensive because I didn't realize tax was included in the price (tax is almost never included in American retail prices).
      - JanezStupar 13y ago
        Ok taxes are different between places. But if you wanted to sort it out, you could have - like we have. We just abstract accounting away from the point of sale. Thus all the prices could be advertised with tax. But I was asking about tips in GP. I think we all know it is actually preying on the dumb and those weak willed people(look a 12$ lunch! Which turns out to be in fact a 15-20$ lunch in reality).
- aestra 13y ago
  The reason why prices are almost always listed as taxless is complicated. Sales tax in the US is weird, and varies a lot by product and jurisdiction. We have no national sales tax, but each state can levy a sales tax, also each county and each city can tack on their own tax to that. In New York City for example, there is a additional small sales tax that is a fraction of a percent that goes to the MTA. Each percent of the sales price can go to 2-3 or more different places. As a result a product can be taxed differently down the street. Each item is taxed differently, food isn't usually taxed, unless it is restaurant food. Clothes are in some places are aren't in some places. Sometimes clothes are only taxed if they cost more than a certain amount. Tax laws can change at any time, so it is easier to program a register than to reprice the entire store if tax laws change. Our sales tax went up recently.
  - JanezStupar 13y ago
    That is not a reason, that is an excuse. Here in Europe local community also gets their own share in taxes. They are merely levied in a manner that does not obscure the sale price.
gohrt 13y ago
Sales tax though is well known. It's not a hidden fee like what the cable/phone companies charge.

Relevant to note that almost no American businesses include sales tax in their listed prices either. (Though it's required in some countries [at least in some circumstances].)

JanezStupar 13y ago

Yes as an European I find it really odd how Americans get to put up with consumer abuse, just because "this is the way things work". And this is the country where supposedly everything is done in the name of consumer. And listing taxless prices and hiding the cost of service from me by expecting me to tip waiters. This is also the reason why I find this article distasteful. So if you are really that sure about your position, why the hell don't you raise your prices 20% or even 30% for that matter. And when people ask you why are you so expensive, you can tell them that you pay your people fairly.

masklinn 13y ago
> And when people ask you why are you so expensive, you can tell them that you pay your people fairly. Or they can see the notes about "no tipping" and "service charge: included in prices"
- deleted 13y ago
  [deleted]
doktrin 13y ago
> This is also the reason why I find this article distasteful. So if you are really that sure about your position, why the hell don't you raise your prices 20% or even 30% for that matter Unless they have forged a particularly tight bond with the community, simply raising prices is a sure fire way to lose potential customers. Tipping is so ingrained in American restaurant culture that everyone assumes it to be in place. Unless they have a gigantic sign that flashes "NO TIPPING" in neon colors, you can bet that anyone scanning their menu will just assume it's a really expensive restaurant.
- JanezStupar 13y ago
  So you are saying that tip is not a cost of the meal somehow? It just tells me that people are content with additional mental pressure because of sentimentality. I understand that Americans are used to it. But it is still absurd and in absolute discord in regards to America attitude towards business.
  - RogerL 13y ago
    No, he is saying that when I look at the menu of a restaurant, before walking in, I look at the prices and make a decision on whether it is in my price range or not. If I don't notice that the tax is included on this menu (but not the dozens of others I have looked at over the past years), I will think, say, a sandwich at $10 is a bit expensive because I didn't realize tax was included in the price (tax is almost never included in American retail prices).
    - JanezStupar 13y ago
      Ok taxes are different between places. But if you wanted to sort it out, you could have - like we have. We just abstract accounting away from the point of sale. Thus all the prices could be advertised with tax. But I was asking about tips in GP. I think we all know it is actually preying on the dumb and those weak willed people(look a 12$ lunch! Which turns out to be in fact a 15-20$ lunch in reality).
aestra 13y ago
The reason why prices are almost always listed as taxless is complicated. Sales tax in the US is weird, and varies a lot by product and jurisdiction. We have no national sales tax, but each state can levy a sales tax, also each county and each city can tack on their own tax to that. In New York City for example, there is a additional small sales tax that is a fraction of a percent that goes to the MTA. Each percent of the sales price can go to 2-3 or more different places. As a result a product can be taxed differently down the street. Each item is taxed differently, food isn't usually taxed, unless it is restaurant food. Clothes are in some places are aren't in some places. Sometimes clothes are only taxed if they cost more than a certain amount. Tax laws can change at any time, so it is easier to program a register than to reprice the entire store if tax laws change. Our sales tax went up recently.
- JanezStupar 13y ago
  That is not a reason, that is an excuse. Here in Europe local community also gets their own share in taxes. They are merely levied in a manner that does not obscure the sale price.

gohrt 13y ago

Sales tax though is well known. It's not a hidden fee like what the cable/phone companies charge.