Inflation It'S Coming

[powderpuff]

Well so I had a wander around the lovely Paragon Food Court today - Ground Floor.

Such an amazing choice of food makes ones head spin. So do the prices. At Cinabon they are selling ONE cinnamon roll for 89 baht. Now last time I checked McDonalds was selling a filet of fish sandwich a coke & fries for 109 baht.

Paad Thai - which sells on the street for up to 70 baht goes for 140 baht in this place.

So I expect "prices to necessarily skyrocket"

I had a nice meal the other day I my favorite Thai Chinese Seafood rest. I say enjoy it while you can. Wicked price inflation is coming.

Your thoughts?

[Jingthing]

Yes, the sky is falling. Now excuse me while I go powder my nose.

[ukrules]

Wow, they've opened a Cinnabon in Bangkok, I missed this even though I walked all around the food area there last week.

I first came across one of these places in KL a few years back, very tasty food.

[eateer]

What I want to know is why are the food prices basically the same here as in the US. I.E. Mcdonalds cost 6 bucks back home and costs the same here, yet the staff here make a out 10 bucks a day at these places.... So labor cost is a min 5 times more in the us, constructions costs, taxes, licenses, insurance.. All cost loads more in the US. What am I missing???

[kuffki]

What I want to know is why are the food prices basically the same here as in the US. I.E. Mcdonalds cost 6 bucks back home and costs the same here, yet the staff here make a out 10 bucks a day at these places.... So labor cost is a min 5 times more in the us, constructions costs, taxes, licenses, insurance.. All cost loads more in the US. What am I missing???

a million dollar question! LOL

Its same across the board, clubs, bars, food etc etc etc

I guess if people are paying-owners are charging!

But i must say, in my opinion and my opinion only, if this continues for long time it may lead to a huge BOOM and i do not mean in a nice way but more like a crash. General population is not earning salary's in line with prices and prices are growing at Western rates while wages are staying the same or slight increases.

[thrilled]

It's A business.If ya want to eat there then pay up.

And inflation is here.I see many things going up in price on A regular basis.

[thedistillers]

Huh... Paragon is a luxury shopping mall... Prices are high because 1) there's people willing to pay that price, 2) location 3) lots of imported products. What does it have to do with inflation?

The Food Court (ie where you pay with a card) is actually not THAT expensive.

As for McDonalds, filet of fish sandwich a coke & fries for 109 baht... Seems like the right price to me. That's less than 4$ US. I'm pretty sure you would pay twice in Australia, for example.

[kuffki]

It's A business.If ya want to eat there then pay up.

And inflation is here.I see many things going up in price on A regular basis.

Well if it A business then its safe to assume that the wages of the employees of that business also go up in proportion with the prices so does the rent, insurance and everything else involved. Is that right???

[kuffki]

Huh... Paragon is a luxury shopping mall... Prices are high because 1) there's people willing to pay that price, 2) location 3) lots of imported products. What does it have to do with inflation?

The Food Court (ie where you pay with a card) is actually not THAT expensive.

As for McDonalds, filet of fish sandwich a coke & fries for 109 baht... Seems like the right price to me. That's less than 4$ US. I'm pretty sure you would pay twice in Australia, for example.

In Australia you would also pay your employees $8 per hour as a minimum(making monthly salary for 38 hour week of about 60000 baht per month, not 6000 baht per month for 60 hour weeks), plus workers comp, plus public liability insurance, plus super, plus rent of $3000 per week not per month, plus much much more!

Little just like some bar owners who charge Western prices for drinks and try to justify it that they must pass the cost, yet at the same time they buy 25 000 000 baht car and live in a 25 000 000 baht house, yet employees do not get any increase in their pay.

[eateer]

Huh... Paragon is a luxury shopping mall... Prices are high because 1) there's people willing to pay that price, 2) location 3) lots of imported products. What does it have to do with inflation?

The Food Court (ie where you pay with a card) is actually not THAT expensive.

As for McDonalds, filet of fish sandwich a coke & fries for 109 baht... Seems like the right price to me. That's less than 4$ US. I'm pretty sure you would pay twice in Australia, for example.

I don't really think it is in line acutally... In thailand Mcdonalds empolyees earn 29 baht an hour. So the labor costs are signifigantly cheaper... Houses in Hua Hin cost twice what the cost on the NC coast, construction wokers here earning a few hundered baht a day, and for the most part absolute crap construction. Just seems weird to me, i understand there is demand... its just hard for me to wrap my head around.

Edited January 24, 2011 by eateer

[stickyrice2000]

Farangs said 'ok' because I make enough money to cover the cost. Thais said 'no way' because I cannot afford a price increase. Have Farangs pay the higher price only would make perfect sense. Just put 2 menus side by side.

[thaibear1]

Farangs said 'ok' because I make enough money to cover the cost. Thais said 'no way' because I cannot afford a price increase. Have Farangs pay the higher price only would make perfect sense. Just put 2 menus side by side.

FARANG pay mostly double or min. higher price already ..... you never feel it? Same for rent house if you aren't enough clever ..... Have a nice day :jap:

[TCW]

Terrible for the Thais of course.

My only consolation being an expat Brit is that the GB Pound is finally strengthening, after a couple of years of terrible exchange rates, making everything about 30% more expensive, without any price increases.

[thedistillers]

Huh... Paragon is a luxury shopping mall... Prices are high because 1) there's people willing to pay that price, 2) location 3) lots of imported products. What does it have to do with inflation?

The Food Court (ie where you pay with a card) is actually not THAT expensive.

As for McDonalds, filet of fish sandwich a coke & fries for 109 baht... Seems like the right price to me. That's less than 4$ US. I'm pretty sure you would pay twice in Australia, for example.

In Australia you would also pay your employees $8 per hour as a minimum(making monthly salary for 38 hour week of about 60000 baht per month, not 6000 baht per month for 60 hour weeks), plus workers comp, plus public liability insurance, plus super, plus rent of $3000 per week not per month, plus much much more!

Little just like some bar owners who charge Western prices for drinks and try to justify it that they must pass the cost, yet at the same time they buy 25 000 000 baht car and live in a 25 000 000 baht house, yet employees do not get any increase in their pay.

There is no business in the world that will sell a meal 2$ when they can sell it 4$. So it IS the correct price (ie, neither too cheap or expensive).

Anyway all this has nothing to do with inflation.

[MunterHunter]

Anyway all this has nothing to do with inflation.

Neither has this thread in reality... he OP is complaining about the prices in the food hall at siam paragon...

[Heng]

One can rationalize that the businesses are doomed to fail, so one can feel better about not wanting to spend 89 Baht at Cinnabon. Most new businesses fail so the odds are in your favor that you can do a 'I told you so' sometime between now and 5 years down the road.

The other alternative (which I choose) is to perpetually earn more over time.

[Chunky1]

We have all of course heard about US money printing. China, Brazil, Thailand and other various developing nations have been printing money in order to prop up the US dollar in the interest of their export markets, standard wealth redistribution through the invisible tax. Unsurprisingly, the result is ferocious price inflation. Truth be told, it is worse elsewhere than Thailand which is an agricultural exporter with plenty to spare for the local population. Vegetables are only up 25% yoy in Thailand per the government issued statistics. Try Egypt which is on the brink of chaos. It is much easier to export less than to import more in the face of surging inflation.

Ask yourself, why is the SET past the levels it was at before the Financial Crisis 2007 when the World's economy is currently in shambles? Well, these gains are largely nominal. Look at what world markets look like since 2007 when priced against commodities as opposed to fiat currency.

Now, that most make pension and social security benefactors sick.

[Ulysses G.]

One can rationalize that the businesses are doomed to fail, so one can feel better about not wanting to spend 89 Baht at Cinnabon.

I rather spend the 89 baht.

[MJP]

Up here, in sticks, Kow Pad was 25 baht and recently is risen to a massive . . . 25 baht.

[phaethon]

Now 60 baht for a haircut! Madness!

[taff33]

Now 60 baht for a haircut! Madness!

You must be living in the wrong place only 30 baht where I live.

[Naam]

Now 60 baht for a haircut! Madness!

and additional 20 Baht for shampooing!

200 Baht for a one hour body massage. hilarious! i can get that anywhere in Germany for mere 100 EURos.

[Carmine6]

What I want to know is why are the food prices basically the same here as in the US. I.E. Mcdonalds cost 6 bucks back home and costs the same here, yet the staff here make a out 10 bucks a day at these places.... So labor cost is a min 5 times more in the us, constructions costs, taxes, licenses, insurance.. All cost loads more in the US. What am I missing???

$6 in Bangkok? So about 180 baht? I think the highest priced combos I've seen in Bangkok are maybe 149 baht, with most 100 to 120.

[Ulysses G.]

They probably have to import many of the ingredients. That could have something to do with it.

[Chunky1]

They were giving out FREE samples today OP.

[spud1]

They probably have to import many of the ingredients. That could have something to do with it.

What do they serve in Mcdonalds that can't be produced here?Perhaps gherkins.

[Chunky1]

[Ulysses G.]

They probably have to import many of the ingredients. That could have something to do with it.

What do they serve in Mcdonalds that can't be produced here?

I would guess that their beef is imported for a start.

[powderpuff]

Yeah I saw the free samples.

So Paad Thai at 140 baht? Only stupid tourists are eating that.

Thai Massage here in Onnut is 100 baht per hour. Haircut 50 shampoo 20. Shave 20.

Some people are careful shoppers. Some shop at the Paragon.

[trogers]

Yeah I saw the free samples.

So Paad Thai at 140 baht? Only stupid tourists are eating that.

Thai Massage here in Onnut is 100 baht per hour. Haircut 50 shampoo 20. Shave 20.

Some people are careful shoppers. Some shop at the Paragon.

The stalls in the food court at Paragon only carries food warmers. They have no kitchens. So food are cooked elsewhere and keep warm till served. Cheap and delicious?