When you buy a bag of potato chips at the store, why is there always a stamped price on the bag? The price you pay is always cheaper.

170 views

When you buy a bag of potato chips at the store, why is there always a stamped price on the bag? The price you pay is always cheaper.

In: 0

Anonymous 0 Comments

The stamped price is the MSRP, manufacturers suggested retail price. It’s just the price the makers of the product suggest it be priced at. They know the cost they sell it at wholesale for and factor in the cost the merchant would face plus profit margin. The manufacturer can set this at whatever, there is nothing putting any force behind it usually. Sometimes it’s because they want it cheap, other times they want it expensive to make the image of a luxury product, but in any case unless there’s a contract with the retail store they can be completely ignored if the seller wants to.

You are viewing 1 out of 1 answers, click here to view all answers.