Businesses can charge what the market will bear for their products.
If a new business wants to compete, it has to be able to provide a more attractive alternative, be it price or product.
So far, I have not seen anyone do that in the Calgary market. Wai's is the one to beat.
I could buy more volume if I went somewhere else, but I would hate to see Calgary lose the high quality products that Wai's offers.
I don't argue with the price, so I'm an easy customer to deal with, versus someone that complains about the price and tries to buy items for less.
Less profit = harder to do business = possibly going out of business entirely.
When I was in business, startups wold come into my market and offer cheap similar products at low prices. It hurt my sales. I know what it is like. Less than a year later, the startup was gone and out of business, because they weren't making enough money. Meanwhile, my sales suffered, I had to let people go, reduce my inventories and it took a while to build back up again. Soon another startup would try again and the cycle continued.
I wish good luck to all businesses, but I'm not a fan of shopping for cheap prices alone.
__________________
Mitch
|