Skip to main content

The great equalizer: Amazon

Until this morning I had not been aware that Amazon.ca now sells more than just books (its mainstay until a few months ago).  What happened is that Amazon finally opened a warehouse in Canada (several actually) that cater to Canadians.

One of the oft lamented problems between Canada and the U.S. is that goods tend to be more expensive in Canada than in the U.S., and for no good reason.  There are essentially no barriers to trade between the two countries (Except for shoes... go figure) and so Canadians have long been insulted that cars would sell for 25% or even 30% more in Canada than in the U.S. -- that has now changed (thanks to the gray market) because Canadian dealers were losing too much trade -- the posted price (on the internet) is still higher in Canada but when you head to the showroom prices are nearly identical.

Now the great equalizer has arrived -- Amazon:  which sells everything from cookware to stepladders on its website-- guaranteed delivery within 48 hours, and you don't have to schlep all the way to the store either.  I've tested the site today (replacing two frying pans, total costs $49.00) at the store downtown it was $72 for the same pans.

A few months ago I mentioned buying replacement parts for my shower -- cost $199 instead of $550.  Imagine what Amazon is going to do to the middleman business in Canada.


Comments

Popular posts from this blog

Ok so I lied...a little (revised)

When we began looking at farming in 2013/14 as something we both wanted to do as a "second career" we invested time and money to understand what sector of farming was profitable.  A few things emerged, First, high-quality, source-proven, organic farm products consistently have much higher profit margins.  Secondly, transformation accounted for nearly 80% of total profits, and production and distribution accounted for 20% of profits: Farmers and retailers have low profit margins and the middle bits make all the money. A profitable farm operation needs to be involved in the transformation of its produce.  The low-hanging fruits: cheese and butter.  Milk, generates a profit margin of 5% to 8%, depending on milk quality.  Transformed into cheese and butter, and the profit margin rises to 40% (Taking into account all costs).  Second:  20% of a steer carcass is ground beef quality.  The price is low, because (a) a high percentage of the carcass, and (b) ground beef requires process

Spray painting Taylor Swift G650 aircraft (updated)

 First, a bit of paint will not harm anyone.  These climate activities are going to learn two things in the next few days:  (1) Trespassing at an airport is a felony almost anywhere in the world.  That means criminal prosecution.   (2) removing paint from an aircraft is expensive.   So these climate activists are about to find out the reach of the British criminal system and it will not be pleasant, the UK has very strict laws about that, I would be surprised if cleaning the aircraft of all the paint will cost less than $100,000.     I am sure that when they planned (premeditation) this little show they had a very valid logic to doing this.  Tonight, they are probably realizing the depth of their troubles.   I understand that in the UK it's a minimum one-year jail sentence.    Also, good luck travelling with a criminal trespass charge against you.  I am relatively certain that the airline industry will slap them with no-fly status. Update;  It seems that what they threw on the airc

21st century milk parlour

When we first looked at building our farm in 2018, we made a few money-saving decisions, the most important is that we purchased our milk herd from a retiring farmer and we also purchased his milking parlour equipment.  It was the right decision at the time.  The equipment dates from around 2004/05 and was perfectly serviceable, our installers replaced some tubing but otherwise, the milking parlour was in good shape.  It is a mature technology. Now, we are building a brand new milk parlour because our milking cows are moving from the old farm to the new farm.  So we are looking at brand new equipment this time because, after 20 years of daily service, the old cattle parlour's systems need to be replaced.  Fear not it will not be destroyed instead good chunks will end up on Facebook's marketplace and be sold to other farmers for spare parts or expansion of their current systems. All our cattle are chipped, nothing unusual there, we have sensors throughout the farm, and our milki