Quote:
Originally Posted by skysurfer
But is this not in Australia by state ? E.g. bypass higher prices of a certain product in NSW by ordering the item in QLD?
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The same with telescopes. I dreamt about 'Polarex / Unitron' branded telescopes in the early 1970s costing thousands of dollars, a 10cm costed A$10000 or more, but my A$1000 11cm ED telescope now is lighter, compacter and performs better than the $10000+ Polarex
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You have to remember, Australia is small population-wise. Giving sole distribution rights to the whole country, is the same as giving it to just one largish US State. I don't think they'd bother giving sole distribution rights to each separate Australian state.
I really notice the effects of monopolies when I visit Italy and check out their liquor stores. Standard brand name spirits such as Scotch Whisky costs around 9 or 10 Euros a bottle, whereas the more expensive liqueurs cost a few Euros more at 12 or 13 Euros (dearest was Grand Marnier at 16 Euros).
But back in Australia, despite all the bottles having exactly the same rate of alcohol tax applied, the well known liqueurs all cost a lot more than the spirits - sometimes $20 to $30 a bottle extra - which makes sense as a liqueur is more unique, and doesn't have any readily available equivalent substitute available. When a price difference of 2 to 3 Euros translates to a price difference of $20 to $30 on the same products, one knows that someone is making a killing on a distributorship deal.
Yes, I remember looking at ads in the 1970s. Amazing how things have changed.
Regards,
Renato