From walterwood26@hotmail.com Wed Dec 07 13:26:45 2005
Subject:Re: fair CX-3 price

Don't confuse mark-up and profit.
And I doubt ANYTHING (except possibly furniture) comes anywhere close to
300%.
But, for example:
An item cost the business $100.00.
It is marked up 50%.
That is 100X1.50=$150.00= 50% Gross mark up.
However the Gross profit is 150 divided by 50=33 1/3 Gross profit.
Now the cost of doing business(rent, insurance, salries,loss from theft,
shipping charges.......)
well, you get the picture, has to be deducted to find the NET profit.
Don't look so great now.
Walter

Walter Wood
United TV Service
501 Poplar St.
P.O. Box 602
Pulaski, TN.
38478

>From: "B3bluesman59"
>Reply-To: CloneWheel@yahoogroups.com
>To: CloneWheel@yahoogroups.com
>Subject: Re: [CWSG] fair CX-3 price
>Date: Tue, 06 Dec 2005 16:18:54 -0000
>
>Most of the products at retail stores have a markup of anywhere from
>50% to 300% of the wholesale price. Some items much more. The
>retailer has to make a profit to stay in business. The markup is
>determined by how much competition the retailer has and/or the
>availability of the product. There is nothing wrong with making a
>profit. And if the retailer is not competitive on their price they
>won't be is business for long. That's Economics 101.
>