MadCityRich

This is a public forum. Questions meant for individuals should be handled by "PM" or e-mail. Otherwise one should expect commentary from the public.

As to the question on margins and definitions:
If I buy something for $1 and sell it for $2, my markup is 100%. My margin is 50%. But that margin has to cover all my other costs of bringing that product to the customer. So my profit margin may be much less. For Jason, that's the cost of advertising, running a website, and the time and risk it take to work with customers.

From a strict economist point of view, something is worth whatever someone is willing to pay for it, or not sell it for. If the muffler was worth $90 to a purchaser, who cares what the wholesale price was. The fact that it was purchased for $90 is what makes it worth at least $90 to the purchaser. What if the purchaser was really willing to pay $120 for the muffler? Does that create an obligation by the purchaser to pay the retailer more than the asking price?

MadCityRich
2002 4Runner Ltd.

Man4God

+1

I totally agree. Anything is for sale, and it will sell for exactly how much someone will pay for it.

A big screen TV for example, is marked up 100%. And guess what? You are going to pay for it if you want that big screen TV.

Ron Helmuth

I thank you MillerPKA for sharing the pricing info you learned via the drop ship paperwork that in theory should not have been shared with you. That is why we all use these forums I hope-to get information to make rational decisions of our own.

This is indeed how big business works but as always folks let's not bash one another to make that point. Please do not write things out of anger and do not respond to those comments in the same manner. Let's treat one another with some respect please.

I have worked retail and wholesale and yes a markup of double the cost is not unusual nor price gouging. We are discussing "performance" auto parts and not insulin so the ethical considerations would not too strong I hope you all can agree.

If you are able to actually buy that same muffler for that same cost as sold to Burtman then all the more purchasing power to all of us. However I believe you likely already know that is not possible, but a bunch of us are probably scrambling Google already to be sure.....

Happy holidays to all of you (in my best Rodney King 'can't we all just get along?')

DeathCougar

iTrader: (23)

However bashing on him is silly at best. tell him to take it to PM's, and be on your way.

YT is a place for people to get INFORMATION which is precisely what he is/was providing. Info, and facts. Most peoples comments are not helpful.

MillerPKA

thanks for those who understand the purpose of me making this. for those of you who read this with swords already drawn have some personal anger problems they need to sort out before bleeding them onto the forum. i've been good natured and mature about this whole thing, only looking for a simple answer, i can't say the same for 75% of the other posters on here. also, some of you are getting caught up in words too much, so i used the wrong terminology at first...when i said it was listed at 45 and sold for 90, you have to be a fool not to understand what i meant.

i'll say it again, i don't have a problem with paying it as some of you ridiculously assumed. there was no negative connotation with the questions i ask as you so ignorantly interpreted. i wanted a simple fact to get out and have one question asked....i think nate08 proved my point fairly well. once again reiterated, at the very least, don't send the original shipping info to smack in our faces...and to whoever bashed my intellect, if you ever find a sensible way to test me let me know and we'll place a bet, i could use the money right now.

the way most of you have reacted is part of this site's downfall, if some of you are too ignorant to realize that then maybe you shouldn't be here in the first place

fastkevman

I have read this thread multiple times and although some of the responses are kinda harsh, MillerPKA, you brought it on yourself......heres why......your original post, no matter how many times I read it and even reading your other posts and re-reading the first post, looks just like a total bash on Jason/Burtmann Ind. and I truly believe that was your original intent and after it back-fired on you, you are trying to back-pedal......its not working.

I understand your initial shock and dismay at seeing the invoice and wanting to vent a little......thats human and we've all been there.

This is how business works, you didn't get the greatest deal ever but, you didn't get "screwed" either, you did however learn two great lessons.
1.) How retail business really works.
2.) People won't always take your side.
Now you should learn one more.....
3.) Take your "lumps" like a man.

You bashed someone and in return got bashed, its not the end of the world and it doesn't mean we hate you just because we don't agree with you.

P.S. Before you bash me read this carefully and you will see its meant to be good advice, not harmful, I get your point but, I also get theirs!

Nate08

Your first post really could be taken that way even though you say you didnt intend for it to be bashing.

Re-read your post. As a third person point of view. Read it slowly.

MillerPKA

i understand, and apologize for how it came out. i know promising doesn't mean anything on the internet, but i promise i did not mean it in that way, otherwise i would have called jason directly and left a message. sorry it turned out the way it did but i truly did not mean it in the way everyone interpreted it, my apologies. my main inquiry was whether or not the company in slc was restricted to vendors or if it was a retailer as well, therefore it would be great information to heed that you can buy it there for half the price. i'm sorry if that means i'm bashing burtman (i frequently plug his site so that's not my intent) but the bigger picture is finding the best deal

Nate08

Fair enough.

Everyone is happy, conversation over

Godzilla

now lets go to the other thread and slam people for not liking BFG a/t's!

Texas_Ace

LOL


As for this post, you have been bashed enough so i will not go into a long rant here. I own a buissness as well, not to differnt than burtman really (with the one big differnce being that i NEVER dropship).

Jason is just selling the parts for what he thinks he can get out of it. There is no way he can MAKE anyone buy ANYTHING so if he was to have something listed with a 10,000% markup and someone bought it they didn't get ripped off at all. It was up to them to find the best price, if they bought it from him for that price then they were ok with the price when they paid. They then can't not be happy with it after they get the item.

Wal-mart has about a minium markup of 100%, i know i have seen some things they markup well over 300% in my area of selling. And people buy them! An example was a part that wholesale costs $7.50 (and that is to little stores, wal-mart gets a discount i am sure) and they were selling it for $34.99.

Markup is how buissness stay in buissness. That is where we make our money. The standard markup for any item in the US is aprox 4 times the cost to make the item is what retail is. Some things will be much higher than that but that is average. this is because each middle man needs his cut, there is nothing wrong with that, everyone has to make a living.


P.S. Jason, better have a talk with that supplier about putting the invoice in the dropshipping.