Re: Boycott Vista in the UK!

Mike

Inline


Mike Hall - MS MVP Windows Shell/User wrote:
Gerry

Whatever you do, don't blame the British retailers.. bless their
little souls, they are only trying to make an honest living.. and
they have been doing that since time immemorial, screwing the
British public for every last penny for all they are worth,
knowing damn well that the average Brit can't cross a national
border easily to get a better deal..

That is balloney. Crossing the channel from Dover to Calais with a Transit Van to stock up with booze for personal consumption is very popular. Importing cars from Belgium is also popular.

Have you ever lived in the UK?


All prices in North America do NOT include federal or
state/provincial taxes, unlike the UK where, unless one is a
middleman, ALL prices include ALL taxes.. if you see a product in
your local PC World or wherever, the price shown is what you will
expect to pay.. here in Canada, to buy a $499 dollar Vista
Ultimate, you would have to finally pay nearer $600 depending
upon province..

Prices displayed in retail outlets are normally inclusive of VAT. Prices quoted in the commercial world are normally on an exclusive of VAT basis. VAT is neutral in the world of business as, apart from certain exceptions, any VAT paid on purchases is deducted from VAT collected on sales and only the difference is paid over to Revenue and Customs.

Rate of exchange $CAD 1.18 to $US 1.00. $US499 = $CAD589. Where's your grievance?


Re economies of scale, the North American market is HUGE.. even
Macs sell in large numbers, way surpassing the 5 user customer
base in the UK (two in Croydon and three suspected Mac users out
in the UK wilds (all wanted for questioning re gross stupidity)..
towns with only 10000 inhabitants, large by Canadian standards
(96% of Canadian place names have a population of 300 or less
people), have as many as five retailers all selling computers..
UK residents have zero idea of the economies of scale here in
North America.. this is a 'throw away' society, and goods are
priced by the retailers accordingly..

I am not an economist but the larger the market does not produce ever greater economies of scale. Indeed larger organisations can be less efficient. The population per sq mile in the UK is far higher than the US so distribution can be more efficient and offers greater opportunities for cost savings than a a population dispersed over a large land mass. Of course large parts of Canada are remote with a very low population per sq mile.

Microsoft is dependent on world wide sales to recoup it's high research and development costs. If those sales did not exist customers in the US would need to pay significantly more for Microsoft products.


Re. pricing to retailers, there has always been a discount for
bulk purchases.. all manufacturers do it, whether producing
software, cigarettes or candy.. unfair on the small operation?
yes of course it is, but when you go into a store, do you not ask
for a discount if buying more than a few products at one time? I
have known Brits that do, and who expect a discount..

The debate is about pricing as it impacts on home users. Not many home users in either country would qualify for bulk discounts. Large retailers will gain discounts in both countries. No one is complaining so I fail to see the relevance of your point.


I really can't believe what the problem is with MS and pricing..
why do people expect to get the top Vista for nothing? would
these same people go into a BMW auto dealership and complain that
they need some of the features of a 7 series car but object and
cry 'unfair' to the $80,000 price tag? no, of course not.. if
they want a BMW, they buy one within their means and accept the
limitations or go look for some other product that more meets
their needs..

No one in the UK is asking for preferential treatment. We just want to pay a "fair" price.





--

Regards.

Gerry
~~~~
FCA
Stourport, England
Enquire, plan and execute
~~~~~~~~~~~~~~~~~~~

.

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