Pricing

Living in Canada near the US border we hear a lot from our retail associations and government about the effects of cross border shopping ( going to the US to shop). The complaints are about how it effects our economy, that it makes it hard for Canadian retailers etc. I am sure the complaints are valid, but in today's economy and the ease of international trade I think it is the retailers and governments of all levels responsibility to be competitive in the retail market as it exists today.

I have to be honest as a family we do shop in the US for groceries, clothes and other items, why? you cannot beat the price on exact items, the selection of items in most cases is larger.

As an example, I needed a headlight bulb for my ATV, I called our local Lordco to get a price. The very best price they could (or would) give me was $12.95 ($14.50 with tax) that was including a "discount".

As a frugal shopper I jumped online to check out the pricing and as is quite normal found the price considerably cheaper in the US. I was able to purchase THREE bulbs in the US for $14.97 including tax. For those following along that is a third of the price. With our proximity to the border that meant a 20 minute round trip across the border to get them, because of the small cost no duty or additional taxes at the border and a huge savings to our family.

As the international trade barriers continue to fall/ease I think retailers everywhere need to rethink their pricing, rethink their marketing strategy, people are going to try and stretch their hard earned dollar and they will buy the identical product where the price is best for them.