Releasing Supplier Pricing

[djgcorporation]

Are there any legal implications of letting a people know the lowest cost of an item? Asin how much you could sell it for without making a loss. Just say I worked for a tv shop and told people they could get one off me for $500, if they payed cash - when the selling price is $700.

No doubt if i let you guys know i could potentially get fired and i understand it isn't ethical...but would it be illegal.

Was thinking about doing a special for you guys here is all.

[eeefreak]

depends on your employee agreement. ours specifically states we are not to disclose cost price, salary information etc... basically we are fucked. check what yours says.

[djgcorporation]

So it'd have to be in my AWA?

[eeefreak]

yeah i imagine so although if your were my employee i'd probably sack you anyway :D fuckin cutting my margins you bastard :D :D

[djgcorporation]

Cutting margins and increasing overall profit and turnover, heightening the employers chance of recieving a 100k+ bonus for running a franchise? ;)

I'd practically be doing the employer a favour!

More discussion on the Legal side of things though, AWA aside. Seems fishy to me.

[macgyver]

hmm as stated above it I believe it clearly comes down to between you and the supplier.

In our game we very occasionally sell things below our cost price just to get the deal and keep the customer from buying things from elsewhere - this may seem stupid but you have to look at the bigger picture sometimes - basically I dont believe in general there is anything wrong with this at all - I dont see why I cant tell you exactly how much I pay my wholesale distributor for an item if I want to?

[oggy]

Cutting margins and increasing overall profit and turnover.

selling things at cost sure wont increase overall profit...only thing that will increase will be overall COS...

sacked...:D

[djgcorporation]

well of course i wouldn't sell it at cost. perhaps $10 above.

[pinchy]

If you go to Harvey Norm, you can work out cost price from the barcode. Take the last 5 digits, reverse them, that's cost. It enables the employees to bargin with the customer when the customer asks "can i get it for $10"...

[Looney_Tunes67]

If you go to Harvey Norm, you can work out cost price from the barcode. Take the last 5 digits, reverse them, that's cost. It enables the employees to bargin with the customer when the customer asks "can i get it for $10"...

May I ask how you found out about this....???

[Benwah]

It's Called "open book pricing" and it's pretty common in most industries (IT, Building, Catering that I've seen it done before) as long as all parties involve agree that it's of mutual benefit then there is no legal reason why you can't do it.

[ShinymetalASS]

I used to do all the pricing and ordering, etc for a retail shop. Part of the procing code was the cost price as well, combined with the month and year ordered and the employee code.

As for voluntary disclosure to a prospective customer, you could almost guarantee it would go against your employer's policy.

If you own your own business, however, the terms of agreement you come to are (largely) up to the parties.

Fairly stupid to sell something with no profit margin.

[Jimma]

If you go to Harvey Norm, you can work out cost price from the barcode. Take the last 5 digits, reverse them, that's cost. It enables the employees to bargin with the customer when the customer asks "can i get it for $10"...
That sounds quite misinformed. I was under the impression that like most large retail chains they use the APN (Australian Product Number) as a barcode. It holds no information really. The very idea is stupid anyway - the last five digits? What if something costs $1111.11? At a place like Harvey Norman they would buy a Television or a DVD player for about half what they sell it for.

[Mr Bigglesworth]

That sounds quite misinformed. I was under the impression that like most large retail chains they use the APN (Australian Product Number) as a barcode. It holds no information really. The very idea is stupid anyway - the last five digits? What if something costs $1111.11? At a place like Harvey Norman they would buy a Television or a DVD player for about half what they sell it for.

This was actually true, however some guy leaked it on the net a few years ago and now the barcodes no longer have the cost price on them anymore.

Regarding cost pricing for friends, I regularly authorise cost pricing for employees families and friends. Id rather the staff buy it from me than steal it from me.