I noticed an interesting scenario when it came to mark ups on a particular item. Essentially, think of it where two months back there was something that cost about $5 to purchase from a manufacturer and various companies would resell it at a higher price to make a profit. For example sake, let’s say $10. Just recently, the price of that item just skyrockets where stores are now selling it to the end consumer for about $30. There is no difference in terms of cost on their end at all too.
What was the difference? Apparently more people in the area now earn a lot more money. Therefore, all of the retailers had a common thought that since people have more money to spend that they wouldn’t mind paying more. Interestingly enough, a lot of people did have that mentality where they assume that is just what the average price is now and so it seems fair and reasonable to purchase it.
For myself, I still always try and research for better deals regardless of what the new average price is. You just never know if this is just like a price gouging incident because of an event. Sure enough, when I looked harder there were still a lot of lesser known stores that were still selling it for a reasonable price. When in doubt, as boring as it sounds just do some basic research about what you are buying. See if you can find any related news as to why the price of an item would have all of a sudden increased in value. Don’t just accept the fact that so many others are offering something at a particular price that it is a sign of a fair deal, so to speak.