Problem
Variation of prices for the same product in different places
Incidence:
There are big variations in the price of identical food items in different countries throughout the world. Although some price variations could be explained by exchange rates, local raw materials and shipping costs, and taxes (especially on cigarettes and alcohol), in many cases it appeared that many multinational companies are charging what they believe the market will bear. Early in the 1990s a 24p Mars bar in the UK cost 44p in France, 50p in India and 57p in Iceland. A 25p tin of Heinz baked beans (or equivalent) costs 43p in Holland, 75p in Spain and 89p in Germany. The same brand of disposable nappies costs 750% more in Belgium than in Czechoslovakia. The cost of a standard 22-item shopping basket was around three and a half times more expensive in Iceland as Mexico or India.Particularly in the small-car segment, car prices for private customers in the UK tend to be higher than those in other EEC/EU countries, especially Belgium and the Netherlands.
Broader Problems:
Instability of pricesUnfair pricing by transnational corporations Related Problems:
High consumer pricesVariation of prices in the same area Values:
Variation Subject(s):
Commerce → Purchasing, supplyingIndustry → Products
Related UN Sustainable Development Goals:
Problem Type:
F: Fuzzy exceptional problems Date of last update
01.01.2000 – 00:00 CET