jeez, do you buy ever anything online (as some unscrupulous
buyers do and avoid paying state taxes simultaneusly hurting
local retailers) -- we should call this "retail piracy", i guess...

best
mishka

On 10/26/06, John Celio <[EMAIL PROTECTED]> wrote:
> >> Granted, this is somewhat different from selling gray market cameras, but
> >> the loss of sales and profits is the same.
> >
> > Um, no it's not, it would be similar if you could clone cameras. Grey
> > market import protection is in place simply to ensure that the local
> > market can gouge local buyers.
>
> It's not gouging, it's staying in business.  The costs of successfully
> running a business in one country or region can be substantially higher than
> running it in another country.  This is why outsourcing of jobs has become
> such a major problem in recent years.  A friend of mine whose job at Intel
> was outsourced referred to it as "job piracy."  In a country like the US,
> workers cost more, insurance and benefits cost more, rent costs more, etc.,
> compared to some "2nd world" country in southeast asia where gray market
> retailers get much of their stuff from.  Thus, retailers in the more
> affluent regions have to charge more to stay in the black.  The gray market
> undercuts their ability to stay in business, which affects not only the
> business itself but also its employees and the revenues and taxes it
> generates for local and higher governments.
>
> In other words, the gray market has an effect on entire industries and
> economies, not just local stores.
>
> There's also the fact that different countries have different import taxes,
> and some countries have sales taxes that others do not.  A good example is
> the VAT that some UK travellers wanted to avoid by buying their cameras from
> me at my last job.  There are reasons for these taxes to exist, the first
> and foremost is to ensure your government (local and national) has the money
> to continue to function.
>
> Unscrupulous dealers will do whatever they can to circumvent these costs,
> and unscrupulous or ignorant buyers will seek them out.  On a large scale,
> this hurts the local and national economies and has been affecting the
> camera industry in particular for a long time now.  It's one of the major
> reasons internet retailers have been successful at driving brick-and-mortar
> retailers out of business.
>
>
> I'd like to see how you felt if you were running a legitimate business and
> some jackoff came into town selling the same product, only at substantially
> less because he got it through illegal channels.  The worst part is, you
> can't do anything to him because he's not located in a store: he's in a
> roving van that can go wherever buyers want him, which means he doesn't have
> the same costs you have associated with rent, insurance, employees, etc.
> Your business does not gouge customers, and provides services the other guy
> cannot or will not, but he's still successful because people don't realize
> he's hurting their economy.  Your store goes out of business and your
> employees are now getting meager unemployment checks from the government
> (who is now getting less tax revenue, by the way) because they can't find
> work, all while the other guy keeps about his merry way taking more and more
> bites out of the economy until it dries up and he moves along to find
> greener pastures to slash & burn.
>
> This is what the gray market is doing to the camera industry, leaving us
> with fewer and fewer real, respectable camera stores.
>
> I guess that's what you want, though.  Enjoy!
>
> John Celio
>
> --
>
> http://www.neovenator.com
>
> AIM: Neopifex
>
> "Hey, I'm an artist.  I can do whatever I want and pretend I'm making a
> statement."
>
>
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