Tesco's subsadize their CD sales and make up on the price of your grocceries.
It seems unlikely that Tesco would impose a "tax" on their most commonly bought items in order to allow them to sell another item at cost price or at a loss. It would be very strange business practice for them to introduce a new product line, that they know isn't going to make them any money, and in the process raise the prices of their "bread and butter" products (excuse the pun) In fact, if your business model is correct, the best thing for you to do would be to buy all your CDs at Tesco and buy your groceries at another supermarket. This would force Tesco to go out of business, leaving all the small expensive music shops there to take up the slack.
You actually pay the same.
If I buy a CD in Tesco for 9.99, then, no, I'm not paying the same as if I paid 14.99 for it. I'm getting it cheaper. Really cheaper. It's actually, verifiably, costing me less in Tesco. That's a fiver in my pocket rather than in someone else's.
An independant CD store need to make more money on a CD than tesco as he doesn't make his money on grocceries, and has higher overheads
I don't consider need to be a valid claim on my money.
His range of product actually make his CD's BETTER value, as when you buy them you are garenteing future choice for YOURSELF. If you buy cheap and independants go out off business then you are killing the wide advaiability of music to YOURSELF.
His range of products makes his business viable. If he's selling products that aren't available elsewhere, then he's providing a useful service. If he's selling something I can get cheaper elsewhere, then that is NOT better value.
Cd's are not that expensive anyway, even if they could be a few pounds cheaper.
You've obviously got more disposable income than me. It's really beside the point, anyway.
All I'm saying is that our desire for cheapness may cost in the future if we cause small shops with good choice to close.
Why is this wrong?
It's not wrong. It may be unfortunate, but it's not wrong for failing businesses to go bust. That's what they do. If you can't compete on price, you compete on quality. If you can't compete on price or quality, then you can't compete.
Small business do deserve to survive for many reasons , most of all the greater quality they often offer, along with personnal service.
In a free market, small businesses "deserve to survive" if and only if they make a profit. If you're willing to pay extra for a service they provide, so be it. But consumers don't owe them anything.
I wonder how many here would try to buy something as cheap as possible and then if they sell try to get as much as they can, but when someone else offers them something for sale that seams higher than you think it should be, you think they are ripping you off?Buy low, sell high. It's the first rule of business. The second is: "If you don't want it, don't buy it." That way nobody gets ripped off.
Edited by - funkyderek on 9 September 2002 12:38:44