Tuesday, April 26, 2011

Market exchange and Bartering like it's a sport

Market exchange means goods and services are exchanged for money, with the price being set by the market forces or the government of supply and demand. It's like going to the supermarket and buy goods and you give the cashier money. In places like walmart, business related entrepreneurs, you can't really barter. However, I grew up bartering in many places I have shopped, even in big malls. That is because in those places mostly owned by private business people, there are competitions between private owners and private owners, that's where prices can get cut through those competitions and bartering comes to place. Bartering has become sports like for competitions who can cut down the most prices. For example, once my friend went to a shop and wanted to buy a 100 yuan purse. We all know that the purse is fake of some big brand like Chanel. So we wanted to cut the price off to like 95 yuan. Of course the seller grew experiences of looking at his buyers. If he thinks we are rich enough to buy, he won't cut down the prices for us. So we talked to him for a little more, trying to cut down on the prices but he won't do it. Until I said, you got this purse for like 5 yuan and you are trying to sell to us for 95 yuan, you are still profiting a lot! (of something i made up for at the moment both of us know i have guessed it) and he said, no, i got this item for 35 yuan, not 5 yuan! and having spilled that, he felt ashamed and finally cut down on the price.

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