Companies in the US aren't complaining because they *probably* have an online component but at first, they probably were short-sighted and thought they would lose money because they needed to lower markups to compete.
In the DR, we are going through that first phase where companies are starting to notice that sales are down, and the government is also noticing and wanting to do something about it.
Solution: companies should find ways to lower prices (either stop thinking they can be millionaires by reselling swimsuits, find other shipping mechanisms, etc) and the government might start taxing imports, which I think they will start doing.
Customers: find ways to evade those taxes, continue to buy online.
Happy holiday and I wish all a wonderful new year. If I may speak this word that the new year will usher in a better price for oil. It has been steady for few months and I think we will have it better in 2012
At this time of year in particular the freight companies know they have a captive audience, so to speak, and oil prices give them a valid reason for the increase.
@Barbara, thanks for the reply. I don't think oil is a valid reason for this price, because oil prices have corrected significantly this year. Infact oil is trading below 100$ compared to its life time high of 140$+.
Mr R: I suspect the price differences have more to do with local taxes and/or levies...in theory, the Internet should be tax-agnostic because it really isn't "headquartered" anywhere: it is governments that are after the taxes. They have found it is diffcult to enforce, but that doesn't stop them from trying...
How can Amazon apply this? Or does this only work with brick-n-mortar stores w/ online component?
In the Dominican Republic, ordering things online has been a growing business, nowadays, seems everyone has a US address and has at least one courier to bring it here.
Stores are complaining (we are not going to their store) but they have a huge markup!
Governement is startint to notice because that doesn't pay taxes (if it's less than $200).
Customers started ordering clothes and non-perishables but I've ordered boxes of cereal (more variety and a ~US$8 difference - per box!).
Eventually stores will have to either lower their markup or create another courier company.
I hear ya, Tim! I can still remember back in college when a friend of mine bought the White Album on white vinyl! And the Born to Run album cover folded out to that awesome Bruce/Clarence b&w image. (I'm already sounding like my grandmother but I'm only 50...ish...) I wouldn't go back to casettes or VCRs, but some things, such as iconic album covers, get lost in translation. Where would Abbey Road be w/o the photo? A two-inch screen doesn't do it justice.
Great post! But at least today's young generation knows what it means when you say "be kind rewind!" Their kids won't have a clue, but that's their problem!
Readers--am finally getting around to doing some online shopping, and when the postage represents about 50% of what the gift cost, I gotta think twice. Luckily, there are a lot of free shipping options out there--IF you spend more than $100. JayBond's solution is a good one--ship to the store. Many retailers offer different products online than they do in the storefront, so it's a good compromise.
One of the best things going right now is "ship to store". I can't tell you how many times we will order something online and have it shipped to the store for free and pick it up when we are doing errands. Even if it's the only thing we have to pick up it is still cheaper than standard shipping, unless you're using Wal-marts $0.97 shipping.
The stores benefit by shipping the product with there normal deliveries and the consumer benefits by free shipping.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
To save this item to your list of favorite EBN content so you can find it later in your Profile page, click the "Save It" button next to the item.
If you found this interesting or useful, please use the links to the services below to share it with other readers. You will need a free account with each service to share an item via that service.
Tweet This
