Why are automatic vending machines more expensive than supermarkets?
Cost does not directly determine the market price.In real life,the automatic vending machines we see are more expensive than supermarkets,and the higher-cost products tend to sell at higher prices.This is caused by competition:if someone sets low-cost things at high prices.There will inevitably be people to imitate,and the intensification of competition will eventually push up costs,or lower prices,or both.
When such a mechanism encounters some resistance,we may observe a deviation between cost and price.For example,the pricing of certain state-owned monopolies.Specific to vending machines,its operating costs may be higher than roadside stores or big supermarkets,but this is not the reason why it sells more expensive.
It is usually placed in special places:in these places,or the price elasticity of consumers will be relatively low,such as amusement parks;or the lack of other competitors in the surrounding,even if there is,the original price of a convenience store Also a high business model.
The same is cola,the cola sold by the supermarket and the vending machine are sold in essence.The difference in space and time makes the customer group facing the vending machine unable to buy the cola provided by the supermarket,which makes Supermarkets and vending machines,even when selling seemingly identical goods,have monopoly powers that face price elasticity of demand,which is followed by different profit maximization price levels.
Correspondingly,other businesses with stronger monopoly powers or consumers with lower price elasticity are also likely to push prices to higher levels.For example,in a hotel in an amusement park,the cola sold in it is more likely to be more expensive than a vending machine.
In fact,even if there is really a causal link between the cost and the price of the vending machine,the cause and effect should be the opposite:because the beverage can be sold at a high price in this place,we can use the high cost of the vending machine.Way to sell.Even if the vending machine itself is not costly,I guess the owner of the place will also raise the cost of it in the form of a rent or admission permit.
