Diamond engagement rings became famous in the 1930s, when a company named De Beers came up with a brilliant marketing strategy to spark their diamond sales. They convinced couples that the more a man paid for a diamond engagement ring, the more he showed his future wife that he loved her. He would be buying her something rare and unique, like her. However, diamonds aren’t all that rare, nor are they that expensive. Actually, De Beers is one of the few and the biggest diamond companies, almost a monopoly that controls the supply and prices of the stones through its government allies. So, a man pays on average $6,000 for an engagement ring, when the price could actually be closer to $500.
Studies have shown that in a year, Americans purchase an average of 50 billion water bottles, that’s around 20,000 bottles per second, and all of them are entirely overpriced. In the United States, the water supply is very clean and therefore, people could fill their bottles at home with tap water. It would be essentially the same, as long as you don’t live in a very polluted area, because many companies actually just pack tap water and sell it. However, people are under the wrong impression that tap water is contaminated and bottled water isn’t, as a recent poll revealed, so they could keep spending $2.50 per bottle when they could enjoy it for $0.002 at home.
CoffeeMost people aren't aware that the amount of ice in the Frappuccino is larger than the rest of the other more expensive ingredients like the coffee, syrup, milk, spices, and cream. It seems a bit unfair, considering ice is essentially costless for Starbucks. What could cost you less than a dollar, ends up costing you around 5. But ice isn’t the only problem since major chains like Starbucks offer different sizes of coffees like Venti and Grande, but baristas will pour the same amount of espresso shots in your hot drink.
Nike company spend $28.50 to manufacture a $100 pair of sneakers and about $16 to produce the luxurious Air Jordans in China, which they then sell for over $400. Prices have to be inflated to account for marketing, logistics, and other costs, but a 2,500% markup in price feels like they’re really overestimating.
The colleges in America are really overpriced, compared to higher education around the world. Additionally, textbooks prices are very high and the average student will be expected to spend almost $1,300 per year on them. They cost about 10% of their selling price to print, at around $10 to $11, but usually cost $100+. On top of that, professors also list their own books or those of their friends as required reading, adding to this unfair problem.
Any student that needs a graphing calculator, they’ll be expected to pay around $100 for it. The main manufacturer of calculators, Texas Instruments, has monopolized this market, allowing it to put high prices on its products. The average calculator costs $15 to $20 to manufacture, but it’s sold for as much as 6 times that cost. But college students still have to purchase them, since many of their college books pair mathematical exercises and illustrations with some calculator editions.
Content created and supplied by: BenTheAuthor (via Opera News )