Gold Sale?

[Paulio]

This the the epitome of what's wrong with the US's economy. We'll never fully recover if consumers always refuse to pay full price. How can a business survive if they constantly take a 20% hit to their revenue?

In the past, businesses would offer discounts during off times. Monday nights or weekdays from 2-4 or whatever. Now people expect discounts all the time even on weekends. How can we ever recover with that mindset? A vault of gold doesn't cost $80. It costs $100. Every now and then they do us a favor and reduce the cost to $80. You seem to expect it to always be $80. It's that same mindset that expects drinks to be at happy hour prices at 9 pm on. Saturday and for movie tickets to be at matinee prices all the time. When did this thinking start and when will it end?

That's actually not at all what's wrong with the US economy - the problem with our economy is greed and lack of financial literacy, not frugality ... but that's another discussion entirely. Let me try to explain how sales/discounts can be beneficial to a business:

For simplicity sake, suppose Funzio sells 1,000 vaults of gold per week at the regular price of $100 (1,000 vaults x $100 = $100,000 in revenue).

If they discount the price by 20%, what is the break-even point for Funzio? 1,250 vaults, which is a 25% increase in sales. (1,250 vaults x $80 = $100,000 in revenue).

So in our example, if the 20% discount spurs greater than 25% increase in sales, it's a win-win for Funzio and gold spenders.

[Joeycool]

Last time I checked the USA had the strongest economy in the world?

[joaquim]

Last time I checked the USA had the strongest economy in the world?

That is true but I read a news report online saying that China would overtake the USA in a few years as the biggest economy in the world.

[Joeycool]

That is true but I read a news report online saying that China would overtake the USA in a few years as the biggest economy in the world.

That may be so. At the moment the GDP of the US is more than twice the value of the next country (that is in fact China) and people were commenting with the "problems" in the US economy.

Ironic?

[joaquim]

That may be so. At the moment the GDP of the US is more than twice the value of the next country (that is in fact China) and people were commenting with the "problems" in the US economy.

Ironic?

I blame all of the USA's problems, fake and real, on Obama. If he wins re-election the world will surely end December 21 of this year.

[Plumbernick9]

Gold sale please. Put me down for 3 vaults of gold.

[mnju_03]

I'm good. Thanks though.

[Vile Lynn]

I don't know why any of you would want to give any more money to a company that can't pull it's head out of it's...

neck.

[Quirt]

I don't know why any of you would want to give any more money to a company that can't pull it's head out of it's...

neck.

LOL :-D

I just joined this game in April --- bought gold on sale on April 28th --- didn't know how often they had sales -- but kinda glad they aren't more often since I'm a sucker for a sale :-D
Anyway gold might not be "on" sale but its "for" sale :-D LOL

[2Legit]

I don't know why any of you would want to give any more money to a company that can't pull it's head out of it's...

neck.

I so agree wit u....I'm surprised u ppl r still willing to spend money from all the things that's been happening...

Go to a casino and waste ur money there...at least theres 50% chance u'll hit the jackpot...unlike here...u get nothing in return...even the support is gettin suckier every min >.<

[Quirt]

I so agree wit u....I'm surprised u ppl r still willing to spend money from all the things that's been happening with this game...

Go to a casino and waste ur money there...at least theres 50% chance u'll hit the jackpot...unlike here >.<

WTF?!?! 50% chance of winning the jackpot?!?!? Quick tell me what casino this is

[2Legit]

WTF?!?! 50% chance of winning the jackpot?!?!? Quick tell me what casino this is

ok im exaggerating, but u know what i mean....theres still a reward u get than trash talking another avatar online

[Quirt]

LOL But I like your avatar And I like exaggerating too -- I do it a few trillion times a day

[Tramp Stamp]

This the the epitome of what's wrong with the US's economy. We'll never fully recover if consumers always refuse to pay full price. How can a business survive if they constantly take a 20% hit to their revenue?

You are correct but not for the reasons you state. As income increases, the benefits of frugality decreases. This is readily observable in people who scale lifestyle along with means. Part of this is higher earners buying more things but another is them supporting higher margins through reduced frugality. Taken to an extreme, frugality can actually cost high earners in terms of time expended.

You didn't state where you expect the surplus funds to come from, but I suspect you mean one or both of supporting higher margins through reduction of savings or acquisition of less goods and services. Either way, it demonstrates that the middle class no longer has sufficient buying power to easily afford disposable activities and thus is willing to do without if paying the "sale" price is not an option.

[Feng1234]

Tramp Stamp? Now that's worthy of a thread itself!