Are Canadian prices too high?

[dialog_gvf]

What is your reaction to something like this:

HD-XA1 for $599 FedEx included

If you do the exchange, that's less than the cost of an HD-A1 here.

Gary

[gfong]

I agree with you on the cost differance but I attribute it to the population and the buying power that the USA has.

[57]

I guess we need one of these threads every few months???

http://www.digitalhome.ca/forum/showthread.php?t=31544

http://www.digitalhome.ca/forum/showthread.php?t=41795

http://www.digitalhome.ca/forum/showthread.php?t=30787

http://www.digitalhome.ca/forum/showthread.php?t=43590

[lovemov]

Well, only problem here is CAD is too strong. If it goes back to 1.5:1, all prices will be a lot cheaper

[CalgaryCowboy]

Yes, a little but not too much. In the US we are starting to see good sales because of increased supply and study demand. Amazon.com is at $412US and has been in the top5 dvd players sold for months. Unfortunately our strong dollar and econmomy has pushed prices up. The reverse of when big ticket items where cheaper here then the US. The London Drugs recent sale price of $599 is more in line with what I think the Canadian price should be. Hopefully by Christmas mid low 500's is common.

[pjreid]

Originally Posted by CalgaryCowboy

Unfortunately our strong dollar and econmomy has pushed prices up.

I don't quite get this logic. Shouldn't this be the reverse? If the dollar is stronger, then that makes it cheaper to import product from the US and elsewhere; hence prices should go down, not up.

Companies that export, on the other hand, hurt because they get back less money for their product. This shouldn't affect prices in Canada, though.

[David Susilo]

yup, the stronger CDN $$ should make the prices down NOT up.

[diogen]

If it makes you feel any better - the Europeans get ripped off even more.
In most cases they see the same number on the price tags as the Americans do, but in Euros (1EUR=1.3USD).

Diogen.

[hugh]

I'll do the obligatory point counterpoint which has been highlighted in all the threads that 57 posted.

Recently I drove from Buffalo to Rochester and it cost me $6 in tolls.

I don't pay huge health care premiums and I have access to free healthcare.

We live in a huge country whose infrastructure costs per capita are much higher and we can't take advantage of many economies of scale as in the U.S.A.

How can you compare a sale price on a discount website (that does not have a store and probably won't accept returns etc) with the regular price at a Canadian store? (very much an apples to oranges comparision)

Anyway those reasons have been trotted out before, along with countless others, and ignored but I thought I would mention them

[Arcanum]

Originally Posted by diogen

If it makes you feel any better - the Europeans get ripped off even more.
In most cases they see the same number on the price tags as the Americans do, but in Euros (1EUR=1.3USD).

Diogen.

On a lot of electronics, we canadians would be lucky to pay only 1.3 times the US price. The HD-A1 for example would only be $648.70 - $50 cheaper than what retail is. So the Europeans are getting this player cheaper than us as well.

Does anyone know what the difference in import duties is for us vs The US for Japanese products for example? It seems like it must be much higher in order to substantiate the cost difference. You have to figure that production costs are the same - it all comes from the same batch - and shipping should be the same between here and the US so we must face higher import duites.

[CalgaryCowboy]

High dollar=strong economy=higher prices

When the dollar was low the prices where lower then the US especially cars where you had to sign an non export clause.

Higher dollar means higher profit for importers not lower prices. Price is set on what the market will bear for supply. I do not agree though. Should be a little lower if the supply is high enough.

[David Susilo]

all I know is that they're losing marketshare because people are buying stuff from the US instead. I bought my camera lens in the US because even after brokerage fees, shipping and duties/taxes, I still save about CDN $1,000, the same goes with HD-DVD movies. If I buy them in Canada, so far I will have spent around $650, but instead I only spent about $450.

By buying from the US, each year I can save easily about $5,000.

[pjreid]

Originally Posted by David Susilo

I bought my camera lens in the US because even after brokerage fees, shipping and duties/taxes, I still save about CDN $1,000

Off topic: That's a heck of an expensive lens, if you're saving $1000...

[David Susilo]

yup, the lens at the time was $3,100 CDN plus taxes and the US price was US$1,700 minus a $150 rebate. plus $50 expedited shipping = US$1600 or (at the time) CDN$2,240.

Now Canon Canada comes to its senses and dropped down the lens price to 'only' $ 2,250 whereas in the US it's US$1,500 (about $1,650 CDN)

[Artmic1]

What are brokerage fees, and why does ups rip us off on them?
i bought 1300 dollars worth of computer hardware from florida, that was not available anywhere in canada, and they slapped like 200 i think in fees on top of the god damn tax...