Re:BMW Canada response to CD-ROM price e-mail

[Brian Jarvis <Brian.Jarvis@xxxxxxxxxxxxxxx>]

>Hello! Unfortunately, a simple calculation of the exchange rate is not
how prices for most Canadian goods are derived.  Factors such as much
higher
>distribution costs(fuel, warehousing, tolls, distance between towns,
trucking taxes and licenses), dual translation costs in most cases for
>Canada (sometimes not even the product itself, but the advertising
pamphlets, order brochures, instructions, proof-reading, adhering to
legal
>requirements), the German mark exchange rate, and the potential of sale
in a market of only 30 million consumers with considerably less per
capita
>disposable income than in the US, all lead to higher prices up here,
for everything.  Some Canadians have found ways around the pricing
situation by
>buying directly from the USA, and all that does is drive the price up
here even higher, because that sale counts in the USA's figures, making
their
>market appear even more monumental than it already is. Unfortunately,
it is a dilemma for which there is not a feasible solution, other than
for
>companies up here to charge less and absorb the loss, and there would
be a few shareholders who might not like that idea.  Thanks for writing.

>Internet Coordinator
>BMW Canada Inc.
>website: bmw.ca
>e-mail: custserv@domain.elided


This is bull... If it is cheaper for me - ONE PERSON! - to buy the CD
from the US than buy it locally... EVEN WITH A VENDOR's shipping charge,
profit margin, handling, etc. etc. then HOW can BMW CANADA claim it's
MORE EXPENSIVE for THEM to sell it to me when they're importing in
bulk????

I'll tell you why! Because of the distance between BMW outlets in Canada
there is little competition for their cars, parts, and accessories
between dealers except in some places like Toronto or Montreal. Ever
heard of "out-sourcing" costs, boys and girls???

If what BMW Canada says in this reply were true, how did they EVER
justify bringing in Eurospec M3's to Canada a few years back...??? Must
have lost a bundle on those puppies, eh???!!!

Brian

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