why are Airports duty/tax free shops never cheaper than regular shops outside the airport?

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why are Airports duty/tax free shops never cheaper than regular shops outside the airport?

In: Economics

9 Answers

Anonymous 0 Comments

Because they don’t sell products in the same volume as a store outside of an airport.

Walmart can sell stuff cheaper because they buy and move such a large volume of products that they can purchase those products for a lower price.

Airports might have a high volume of traffic through them, but most people aren’t stopping in the shops to buy stuff. The longer products sit on the shelves, the more it costs for a store to offer those products. And since they don’t move large volumes of products, thru don’t get the bulk purchase discount.

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