Friday, June 15, 2007

Why I Hate / Love Capitalism

I was searching for plane fares to head back East in a few months and being that I don’t watch much Tele and have internet access at my finger tips even when I do watch it I went a searching for the best deal, now for me this could be a several hour venture. I automatically rule out the $1900. door to door in 10 hours because I live on a foggy, windy, unknown weather condition island and door to door in 10 hours rarely happens anyways. So I look at the bargain prices, and lets take Northwest for example…. I can get from Anchorage to Boston for $668 on Priceline, $1012 on Orbitz or $992. by buying direct from Northwest, now mind you these are the same flights for all 3. Orbitz will charge me $344. more for the same flight as Priceline and dealing directly with the airline (without a middle man) will cost me $324. more than Priceline. Bottom line is that at $668. both Northwest and Priceline are making money or we wouldn’t have that price!!

So capitalism is a great thing when all sides win, the airline makes a profit, the middle man makes a profit, and I get to where I want at $668. The hate factor comes in when the airline and the middle man take advantage of or I guess the word is “capitalize” on the consumer for upwards of $344. more for the same product. And as far as the argument of well the consumer should research before buying, not everyone has the luxury that I have of spending too much time online (they would if their muscles felt like mine after today’s hike). The love factor comes in if I was a shareholder and some idiot spent $344. more then he had to and my dividend went up .0000000002 cents because of it

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