Quote:
Originally Posted by affald
People saying, "don't let the door hit you on the way out" and other snide remarks don't really add anything or answer the questions.
If taxes, utilities, wages are lower here... then why are groceries higher.
Are there some monopolistic forces at play or is it simply economy of scale?
A reply from someone with real knowledge would be appreciated.
Long ago someone said the area is monopolistically controlled, but I forget the details.
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I don't know for sure, but it could be that real estate and rentals are more expensive in The Villages. I don't know if the same with the Publix and Winn Dixie stores 50 miles from here but it could also be that those stores pay higher wages and have better employee benefits than others. I know Publix does.
But I think that it's more likely what the market will bear. Every retailer tries to set their prices at a level that will give them the highest return on their investment at the same time retaining a good customer base. In other words, they will price things as high as they can until people start shopping elsewhere. Stores in areas with higher income levels will charge more for the same products than stores in low income areas.
I don't understand how there is any kind of monopoly going on here. We have a choice of several grocery stores to choose from.
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