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Old Nov 1, 2007 | 02:07 AM
  #16  
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I love it. I just ordered a variable fan controller from summit racing for $81 while it is $190 from performance improvements , They concluded if i could buy it cheaper from the states then go ahead . so i did as they refused to budge on pricing.

Best of all they ship USPS not UPS.
 
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Old Nov 1, 2007 | 08:29 AM
  #17  
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Originally Posted by SKperformance
I love it. I just ordered a variable fan controller from summit racing for $81 while it is $190 from performance improvements , They concluded if i could buy it cheaper from the states then go ahead . so i did as they refused to budge on pricing.

Best of all they ship USPS not UPS.
Yeah.. pretty good times for buying mods & other things in US.

....including things with 4 wheels
 
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Old Nov 1, 2007 | 08:54 AM
  #18  
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Originally Posted by inTgr8r
Yeah.. pretty good times for buying mods & other things in US.

....including things with 4 wheels
My guess is it will only get better as times passes. Consumers are now awakening to realize many manufacturers and distributors of products - including cars have been making too much hay in Canada. In a lot of cases we are subsidizing the US operations of some multinationals with exorbitant profits here. I've read stories explaining this and it's so plain to see. Perhaps this currency situation will expose this and help normalize fair pricing in this country.

It was interesting to see on the National the other night a guy that wanted to buy tires. At Costco in Ontario he priced some BF Goodrich tires which were made in Ontario for $127 CDN. He then priced the same tires at Costco in Florida where he winters for $81 US.

Costco claims they work on tiny margins and a good part of their earnings comes from interest due to cash receivables with payables on terms. This kind of pricing disparity blows that theory all to hell. This is indicative of something terribly wrong in the entire retailing industry in Canada right from the manufacturer/distributor/retailer.
 
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Old Nov 1, 2007 | 11:55 AM
  #19  
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Originally Posted by RBull
Costco claims they work on tiny margins and a good part of their earnings comes from interest due to cash receivables with payables on terms. This kind of pricing disparity blows that theory all to hell. This is indicative of something terribly wrong in the entire retailing industry in Canada right from the manufacturer/distributor/retailer.
Keep in mind that Costco most likely purchases their products sold in Canada through the manufacturers' Canadian distributors so the price disparity you're taking about may not reflect a disparity in profit margins for Costco. Instead the manufacturers are quite likely the ones raking in the extra profits.
 
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Old Nov 1, 2007 | 12:12 PM
  #20  
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Originally Posted by ChristianN
Keep in mind that Costco most likely purchases their products sold in Canada through the manufacturers' Canadian distributors so the price disparity you're taking about may not reflect a disparity in profit margins for Costco. Instead the manufacturers are quite likely the ones raking in the extra profits.
Yes, that is possible. However one would have to wonder how the US division can buy so cheaply and the Canadian one pays 50% more for the same product made in this country. It is part of the point I made. If this is right Costco could easily buy everything in the US pay duty and shipping and make margins 5 times what they do in the US. Makes you wonder what is going on. The entire distribution channel is messed up and IMHO most of it is at the manufacturing level to distributor level. There are enormous profits being made on goods going to Canadian retailers. In many case the retailers aren't the bad guys.

The exact same thing is happening with Bombardier products - seadoos, ATV's and snowmobiles. Canadian made and guys in the US sell them for less than the dealers here pay for them.
 
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Old Nov 1, 2007 | 12:18 PM
  #21  
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FYI

http://corp.brp.com/en-CA/Media.Cent...2007-10-23.htm
 
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Old Nov 1, 2007 | 12:45 PM
  #22  
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i think a lot of the problem lies in the speed of the rise. companies just can't react that fast. in some cases entire cost/price structures would need to be redone. I'm sure i don't work at the only company that uses a fixed exchange rate in the system, and i understand the reluctance to change it, since most of our sales are to the states, we would loose a large competitive advantage if we raised the prices accordingly (no, the Canadian prices won't drop, the american prices will rise).

i think a lot of the bargains on Canadian made goods in the states is linked to this artificial lowering of prices in the us. imagine if prices shot up 21% across the board in the u.s., it wouldn't go over too well.

i feel bad for the retailers who bought stock months ago and are now expected to take a 21% loss on the sales, even if the new stock may be cheaper for them to buy, they shouldn't be expected to cut prices until they get the savings themselves. larger stores with higher throughput will probably see price cuts before the smaller, low-volume stores.

the retailers and distributors who have received stock recently and haven't lowered prices, on the other hand, are just plain greedy.

there has always been a price difference between Canada and the states, even after exchange rates are considered, even when the dollar was low a Canadian could stand to save considerably across the boarder.

the current exchange rate is only amplifying the perceived difference, making Canadians realize just how much we've been ripped off.

still, i have to say, buy as local as possible, gotta keep our regional economies strong.
 
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Old Nov 1, 2007 | 04:00 PM
  #23  
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Originally Posted by ChristianN

Thanks. It doesn't really give an answer to my assertions other than to say local market conditions is the factor for differentials.
 
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Old Nov 1, 2007 | 04:24 PM
  #24  
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Originally Posted by RBull
Thanks. It doesn't really give an answer to my assertions other than to say local market conditions is the factor for differentials.
I just thought it was interesting to see the manufacturer's explanation.
 
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Old Nov 1, 2007 | 05:00 PM
  #25  
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Originally Posted by ChristianN
I just thought it was interesting to see the manufacturer's explanation.

Yes I agree. Good job finding that. It was a well crafted document that a put a positive spin on their grasp of things as well as their policies.
 
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Old Nov 2, 2007 | 09:07 AM
  #26  
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Well, we are at an all time high. Our dollar has not reached this level in over 130 years. Bouncing around 1.068 this morning. Holy crap! Am I taking a $hit kicking on the house I bought in Scottsdale. Oh well, it could be worse. It's going to start to hurt their pocket books down south.
 
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Old Nov 2, 2007 | 01:14 PM
  #27  
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i was listening to the business news last night as i was driving home, apparently, the us stock markets, even though they've "gone up" this month when measured in american dollars, they've actually dropped hugely when canadian dollars are used instead.

we must be doing something right, unemployment's falling, (which was responsible for this morning's jump in the dollar), except in quebec, as much as i dislike the torries, their last minibudget will probably do good for business, but i would have rather seen income tax cut instead of the gst, esp since it only happened after i've made all my big purchases for the year (car, tires, cottage weekend etc.)
but, every little bit helps.
 
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