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IT's Most Outrageous Markups?

Posted by Cliff on from the insane-profit-margins dept.

masteritrit asks: "I have seen some really outrageous markups from IT companies. Cisco sells memory for a router I have for $1500 bucks and I bought it directly from Kingston for $56 bucks. I also had someone at storagetec accidentally reveal that their standard markup is 700%. What are some examples of this that others have seen and how do you feel about it?"

2 of 194 comments (clear)

  1. PRINTER INK! by Dr.Dubious+DDQ · · Score: 4, Insightful

    Numerous stories have been posted on this - I'm surprised "Printer Ink" isn't half of the posts here...

    --
    Hacker Public Radio is our Friend
  2. Markup != Ripoff by NanoGator · · Score: 3, Insightful

    Listen dudes, just because it's got a high percentage of profit, doesn't mean it's a rip-off. It's an example of supply and demand. If $5 USB cables are being sold for $30, then it's because enough people are spending $30 a piece to buy them. When people stop paying $30 a piece, the price will drop.

    It really is important to understand this concept of business. Just because they can sell it cheaper doesn't mean they should. Remember, they're not just selling you small quantities of material, they're selling you a tool that helps you do a job.

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    "Derp de derp."