Competition Bureau urged to study cross-border price gap

[JonJubeTube]

* Sigh *

Here we go yet again.

I don't work in retail and I don't want to seem like I'm an apologist for the Canadian retail industry. But there are several significant and important factors that DO make higher prices in Canada inevitable:

- We have only 1/9 of the USA's population, scattered over a much larger landscape. Transportation and distribution for each item sold costs vastly more up here than in the US.

- Management and overhead costs per item sold are also much higher -- again, because we don't have the same economies of scale

- We have higher payroll burden up here in Canada, which also affects pricing. (You want cheaper pricing on electric shavers? Are you willing to give up your free healthcare to get it?)

. . . and there are many more valid reasons which i don't have time to go into because my supper is ready.

Bottom line is, though, if you want to do a far more realistic analysis of why retail pricing is higher in Canada, don't compare us with Minnesota or New York; compare us with Alaska or Hawaii (which are also US states, though all the whiners seem to conveniently forget that!) Then you'll begin to see a bit more rational picture of how much major cost factors like logistics and localized costs-of-living can affect prices in retail stores.

I have worked retail, import and distribution and this rationale for the most part is hooey .

Nothing justifies an x price in the US and a 2x price in Canada! In such case overhead, management and payroll are gouging or thoroughly inefficient.

The government is making a % on the import and the sale of most, if not all of these items. Currently they through Canada Post, FedEx and UPS are reaping the tariff and taxing benefits of online shipping precisely due to the inequalities. Yes they should be studying it

Bottom line is that when taxation and prices are too high, people create black markets to avoid taxes and high prices. In Ottawa, an informal study of cigarette butts around the Parliament buildings (ie mps, their assistants and civil servants) showed that 3 in 5 are Native brand. And dont tell me they smoke them because they like the turkish tobacco better. Taxing the crap out of citizens backfires and only those who actually pay their disproportionate share of the taxes that aren't evaded or avoided suffer.

Yes, you sound link an professorial apologist with all the wrote answers with usual excuses. If you want to pay more tax, please go ahead just don't gloss over pricing inefficiencies and gouging to justify them as good in the name of UNIVERSAL HEALTHCARE!

Hawaii and Alaska are not good comparisons. They are geographically isolated, compare their costing to places like the territories and Inuvik region. Toronto and Chicago (where the larger Thule boxes are made) are geographically very similar. Goods should not be 2x the price in Toronto than they are in Chicago.

Hope your supper was good!

[doberman_baby]

Honestly nothing will come out of it. Studies of this nature have been done previously and the result is still the same, CDN pay more, period.
It's a total waste of money. Maybe this can be done cheaper in the US
The only solution is that all CDNs stop buying in Canada and buy every freaking thing from the US.