10-23-2007, 11:08 AM
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#54
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Franchise Player
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Suppliers defend high prices
http://www.reportonbusiness.com/serv...l_gam_mostview
“We have extra costs – there should be a difference in price,” said Joelle [Joey] Adler, chief executive officer of Diesel Canada.
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Diesel said freight charges are 10- to 15-per-cent higher in Canada because, with fewer flights and shipping choices, the company has less bargaining power here than south of the border. And duties on imported leather jackets, for example, are 13 per cent in Canada, more than twice the rate in the States, while duties on men's cotton jackets are 17 per cent, compared with 9 per cent in the U.S.
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Others, such as those making DVD movies, have simply refused to budge on their pricing, he said. For example, Paramount charges Best Buy in the United States $18 (U.S.) for the recently released Transformers DVD, which the chain sells for $14.99; Paramount charges the Canadian chain $24 for the same DVD, which sells in its stores here for $19.99.
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