I must be missing something

[SunLover2]

Some shops have a policy to sell near expiration date goods at reduced prices, some don't, Foodland doesn't have that policy but Big C, Tesco, Tops and Villa have.

In Big C you will find the French cheeses in that section. Normally there would be 4-5 pieces on such an occasion, these days there are 25 - 30 Camembert or Brie in the 50% reduction section.

This could be a conscious business decision:

Stock an item 5 units deep: sell 5 units at regular price

Stock an item 10 units deep: sell 8 units at regular price and 2 units at a discount price, and you are still ahead of the game

It depends on the sales margin. It also drive a treasure hunt mentality with consumers which makes them coming back more frequently in order to secure the fleeting sale items availability.

SL

[seancbk]

So what is your topic about?

I would have thought that anyone, with a brain at least the size of a green pea, would be able to comprehend the text in the OP.

So for you only.

If foreign currencies get weaker against the Thai Baht, it is only logical that importing goods from those countries becomes cheaper in Thai baht terms, especially since also shipping cost have declined because of the 50% decline in oil prices.

So since most Western currencies, except the US$, have weakened by about 30% and prices of imported goods in Thai shops have increased by at least 30% during the same period, prices have actually increased by 60% where there logically should have been a reduction of 30%.

So where is the logic the prices of imported goods increase instead of decrease.

"So where is the logic the prices of imported goods increase instead of decrease."

As said previously, supply and demand.

It doesn't matter who is buying the products, Farangs or Thais, the fact that there are enough people willing to pay the increased prices means Big C (or whoever) will analyse their sales figures and will try increasing the price until they find the break point where any further increase results in a decline in sales (and only where the decline in sales offsets the increased profits on the item will they reduce a price).

At least in Bangkok there are increasingly more people (Thais) earning enough money to easily afford to pay for imported foodstuffs. They are also increasingly adopting foreign tastes too, so more of them buying imported products (increased demand).

It's simple economics.

[ggt]

You are a rich foreigner who came to Thailand to be exploited...the Thais will be glad to take advantage of you...thank you for your contribution...

[SOTIRIOS]

...do you really think that they would lower any prices regardless???

...Red Cup and shaving cream used to go for $1 on sale back home.....

...since when did they go to $6 + each......since I can remember...

...we used to have 'Dollar Stores'.....12 tapered candles for $1......30 baht.....

...never seen any comparable value in Thailand...and most of the stock is from China...a stone's throw away.....

[Ulic]

The price is determined by what people will pay. Profits are way up on European products that are sold in Big C.

That said you have to subtract the lower sales and spoilage as there are fewer Europeans and more stuff

is being sold in the discount bin as it is about to expire.

[GOLDBUGGY]

Yes! You are correct! Imported Goods should have gone down in price.

The only time the US Dollar has any effect on Imported Goods is if they are Commodities, such as Oil, Gold, etc., because they must be bought and paid for in US Dollars. So obviously, Imported Canned Goods from France is not part of that action. Please keep in mind, that the price of Oil has dropped over 50% in the past 8 months and we haven't seen that price drop at the Gas Pumps either. Only a small one.

I don't think that the fraction of Americans that live here has anything to do with this price. Or someone who has money, as nobody wants to pay more for something regardless if they have money or not. But Supply and Demand does matter.

Imported Goods can be considered a Specialty Product. As such, they can charge any price they want as long as people are willing to pay it, and the product moves. I have been trying for months to buy normal Mayonnaise, but all I can find is shelf after shelf of that Low Fat Crap which tastes like <deleted>! I finally gave in as I really needed it, which now I wished I hadn't, but these are your choices here most times. Which is either buy what they offer, and pay the high price, or go without.

But I absolutely refuse to buy Strawberries, and pay a Buck for each, or Canadian Maple Syrup here, at a Buck a Teaspoon. So even I have limits. It would be nice to think that the Farangs branded together and protested, to get some changes with this. But I am afraid that the only changes we would see here is they would just stop imported these goods, instead of just making a fare profit.

[minikev]

Does it all sell or do they throw some away? if it all sells even at the last minute price they are doing good business. Sell the first lot at an inflated price compared to purchase price. When placed in the last minute shelf the bargain hunters come. Tills ringin away. Nothing wrong with that.

Is that what you were missing?

[ICECOOL]

You forgot the other Big C in Thailand ...Customs and Corruption

[ricklev]

I haven't read all the replies but there is very little competition in the imported food market. Prices are not based on a competitive market and the currency fluctuation is only a minor factor.

[Beetlejuice]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

First of all the topic is not about how many Americans live in Thailand or how wealthy they are, I'm sure the 46 million Americans on food stamps are not included in that wealth.

Secondly there are much more other nationalities, who's currency has got weaker, living in Thailand all together than there are Americans, so why would Thai companies have their price policy directed at a minority group of people.

You will know that UK is the most represented in Thailand, with Germans next and Australians third.

Thirdly, if it goes so well with the sale of their imported products, then explain to me why the amount of goods nearing expiration date, and be sold at 50% discount, has been at least six folded over the past months.

In your estimation, how many types of goods sold in Big C and Tesco Lotus are actually imported from Europe, the UK and America?

Most of the western type foods, such as cereals, chocolate bars, biscuits and so on are mostly imported from Malaysia and Australia. There are only minimum products imported from the West for what I have seen.

[williet98248]

The USD has stayed the same with the baht over the last 18 months. Also, Americans are quite wealthy now due to the US stock market run up in recent years as well as the strong dollar.

There are a lot of Americans in Thailand and they can afford to pay high prices. It's supply and demand.

Strange, I read reports on here that there are not much Americans in Thailand due to the long travel distance, and also because Thailand is so much more expensive than the US or other closer by holiday destinations.

You must also have missed the thread Leaving Thailand for good which are mainly Americans who return home.

So what Big C or Tesco, which are European companies have to do with America is beyond me.

Has nothing to do with Americans and the US dollar. Hard to find useful and accurate data but it appears that Americans are way down the list as expat residents. Japanese seem to be the high majority, with Brits and other Europeans way more than than Americans. Doubt very much that the run-up in the stock market has made many American expats rich as not all or indeed a majority have investments in stocks. As an American expat my own anecdotal experience is that i am always thrilled to meet a fellow American because it is so rare. Mostly Brits, Swedes and Aussies. Japanese stick to themselves. I read somewhere that Americans make up only 10% of tourist arrivals and that would translate into a correspondingly small number of American expats. But, you know, we Americans are to blame for everything. Oh, and yes, the 50% decline in oil prices too.

[carter1882]

If you are prepared to buy at inflated, unrealistic prices then you are the problem. Dont buy and the price will drop.

[emilymat]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

Seriously, does every American invest in the stock market as a matter of course?.

It's certainly not a European trait.

[Anthony5]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

First of all the topic is not about how many Americans live in Thailand or how wealthy they are, I'm sure the 46 million Americans on food stamps are not included in that wealth.

Secondly there are much more other nationalities, who's currency has got weaker, living in Thailand all together than there are Americans, so why would Thai companies have their price policy directed at a minority group of people.

You will know that UK is the most represented in Thailand, with Germans next and Australians third.

Thirdly, if it goes so well with the sale of their imported products, then explain to me why the amount of goods nearing expiration date, and be sold at 50% discount, has been at least six folded over the past months.

In your estimation, how many types of goods sold in Big C and Tesco Lotus are actually imported from Europe, the UK and America?

Most of the western type foods, such as cereals, chocolate bars, biscuits and so on are mostly imported from Malaysia and Australia. There are only minimum products imported from the West for what I have seen.

Big C is part of the Casino group from France, All the Casino branded products, which are a lot, come from France, so do the French cheeses and a lot of other products. I'm actually talking about Big C extra which I assume has a lot more imported products than the regular Big C.

[MyFriend You]

I love your Macro-Economics, it makes sense, but you left out one important issue = Greed.

[MaeJoMTB]

I realized several years ago that BigC was not a budget supermarket, nor Tesco either in Thailand.

Almost everything can be purchased much cheaper in local stores and markets or Makro.

Tesco and BigC are often 30% more expensive for the same items from Makro.

So I stopped using those stores.

[Naam]

If you are prepared to buy at inflated, unrealistic prices then you are the problem. Dont buy and the price will drop.

and when prices have dropped one buys to drive prices up again Mr. Genius?

[meltingpot2015]

Big C has done pretty well with their Net Income over the years...No Idea what Tesco Lotus's Net Income is for comparison.

@ OP: Are the prices of the goods you are referring to the same in both Big C and Tesco Lotus?. What are the names of the goods and the prices at either store. You've mentioned French Cheese in Post #30 (and #44) as I recall, but without names of the goods and prices, its difficult to gauge.

Also, what about finding out the price of the same good in Big C's in Vietnam or Laos.

Edited April 19, 2015 by meltingpot2015

[Anthony5]

Big C has done pretty well with their Net Income over the years...No Idea what Tesco Lotus's Net Income is for comparison.

@ OP: Are the prices of the goods you are referring to the same in both Big C and Tesco Lotus?. What are the names of the goods and the prices at either store. You've mentioned French Cheese in Post #30 (and #44) as I recall, but without names of the goods and prices, its difficult to gauge.

Also, what about finding out the price of the same good in Big C's in Vietnam or Laos.

I don't shop at Tesco, mainly because there assortment of imported goods is next to not existing, and even then I doubt that they have the same products because Big C has many of the imported products under their home brand Casino.

But to give you some example

President Camembert 250 gram is 540 baht. In November I was in Europe and brought some with me at 1 Euro 59 cents.

The Casino spread cheese with garlic and fine herbs 125 gram was 75 untill about 6 months ago and is now 95Baht. It's 43 Euro cents in Europe

[ableguy]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

Tell me how the hell does a stock market rise help a American retiree on a fixed pension,the dollar and the baht have been pretty stable for two years around 32 to the dollar.

Get your facts In order before running your mouth off.

I am a retiree USA here for six years,yes my pension goes up with the cost of living but really that's peanuts, I have no money in the stock market sa millions of other retirees do not too.

Kindly engage brain before opening mouth.

[sead]

Thats called business .Maybe they think they loose so many years and now its time to make some cash. Soon they going to loose again

[chilli42]

I think it's rather straight forward. Somone mentioned greed. That is an emotional reaction on the part of a buyer. The fundamental purpose of a business is to maximize profit and pricing is one of the major mechanisms to achieve this goal. Be honest with yourself, you woukd do the same if it were your business. In a market economy, prices are set based on demand. It's got nothing to do with cost. It certainly has nothing to do with what the price and demand situation is in a market thousands of kilometers away. Prices keep going up because the demand continues to support it ... period. So unless you are advocating Thailand move to a planned/controlled economy there is only one thing you can do and that is to vote with your Bhat (stop buying and substitute) ... and console yourself that being an economic refugee in Thailand means your purchasing power is considerably higher than were you living in your home country.

[meltingpot2015]

Big C has done pretty well with their Net Income over the years...No Idea what Tesco Lotus's Net Income is for comparison.

@ OP: Are the prices of the goods you are referring to the same in both Big C and Tesco Lotus?. What are the names of the goods and the prices at either store. You've mentioned French Cheese in Post #30 (and #44) as I recall, but without names of the goods and prices, its difficult to gauge.

Also, what about finding out the price of the same good in Big C's in Vietnam or Laos.

I don't shop at Tesco, mainly because there assortment of imported goods is next to not existing, and even then I doubt that they have the same products because Big C has many of the imported products under their home brand Casino.

But to give you some example

President Camembert 250 gram is 540 baht. In November I was in Europe and brought some with me at 1 Euro 59 cents.

The Casino spread cheese with garlic and fine herbs 125 gram was 75 untill about 6 months ago and is now 95Baht. It's 43 Euro cents in Europe

Have you checked Villa (I know Villa can be quite expensive in General, but I have never bought cheese there) like this link suggests:

http://www.thaivisa.com/forum/topic/555758-cheese-in-bangkok/#entry5322987

There are also some other places suggested on the same thread. Emporium and Central World Plaza.

What I said about finding the prices in Big C's in Vietnam or Laos, was just to get some idea if Big C is hiking the prices in neighbouring countries also. Even if their prices are lower, it would be a long trip just to buy some cheese.

I did an online search for "President Camembert 250 gram" and a Business (Corporation) based in Punnawithi, Bangkok came up as a distributor of the product. May be worth checking who they supply the product to, if its not Big C, then we can check their price.

[DogNo1]

I recently had a cardiac checkup at Bumrungrad and had some medicine prescribed as well. It cost me 20% more than it did last year for everything - doctor's fee, nursing fee, laboratory fee, facilities fee and medicine. Twenty percent is a big increase for just one year!

[Lukecan]

The guy has a very valid point, since western currencies lose their value, it should be cheaper to buy in thb.

Whats with people trying to make fun of him?

[Lukecan]

Price of BMW,Mercedes Benz etc should of gone down too, because of the very weak euro. But thats not the case either.

BMW and Mercedes dealers in Thailand are making a killer right now. 1 euro was 45thb 1 year ago, now it stands at 35thb.

Edited April 19, 2015 by Lukecan

[Lukecan]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

Tell me how the hell does a stock market rise help a American retiree on a fixed pension,the dollar and the baht have been pretty stable for two years around 32 to the dollar.

Get your facts In order before running your mouth off.

I am a retiree USA here for six years,yes my pension goes up with the cost of living but really that's peanuts, I have no money in the stock market sa millions of other retirees do not too.

Kindly engage brain before opening mouth.

Just because you're not invested in the stock market doesn't mean others aren't. Lots of people have dividend, rental etc income as well. Strong dollar is definitely helping them.

Edited April 19, 2015 by Lukecan

[mikiea]

Many American retirees live in Thailand. They are paid in USD, the world's reserve currency, very strong right now. In addition, as I said, they are wealthy due to the stock market run up. They have no problem with the prices at Big C and elsewhere.

yes we do have a problem with the price increasing all the time. but we understand the "supply & demand" is a way of life. there is no "cradle to grave" nanny goverment help . it is the nature of amercians to find the best deal we can. it is not our nature to be a bunch of manby pamby whiners, complaining about O.P.M. , good lord stop counting "other peoples money" get a job, teach, go home , put the wife to work, spend less time on the bar stool, sheeeeese :-)

[mikiea]

The guy has a very valid point, since western currencies lose their value, it should be cheaper to buy in thb.

Whats with people trying to make fun of him?

he is funny because he has failed to understand "supply & demand. maybe i can teach him quickly. ----if all 25 of da ho's in a bar charge 2500 bht for happy , then the police come and arrest 15 of them how much will the remaining ho's charge ? 4000 is the correct answer, they will increase the price due to the demand created by the coppers, no money will be lost due to the coppers action, this is s&d :-)

[mikiea]

I recently had a cardiac checkup at Bumrungrad and had some medicine prescribed as well. It cost me 20% more than it did last year for everything - doctor's fee, nursing fee, laboratory fee, facilities fee and medicine. Twenty percent is a big increase for just one year!

boo hoo, wawawawawa. give me a break, you paid a fractionof what most western people pay, :-)