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Your quote:Where do you think it can come from? The supermarket business is one of the most competitive businesses there is. On a broad range of goods their markup is in the 14 - 17% range, and their net profit for the year is in the 1 - 3% range. One of the things that throws people off is that milk prices on the mainland are artificially low, often being sold at cost as a "loss leader" to attract shoppers who will hopefully buy something else while they are in the store. End quote
So basically what your saying is the avg price difference between a gallon of honolulu milk from the mainland vs avg price of a gallon of milk here in Oregon. The difference is shipping costs? So the $5 to $6 cost difference for one gallon of milk is to pay for shipping one gallon of milk to Honolulu? Thats more then the value of the milk alone.
Im no economic expert but if your running a business that is only making 1-3% profit period you need to quit doing that business.
Shipping, higher wages, mandatory benefits, super high rental rates for the site.......
I'll take 3% on revenue of 1M any day. Just as an example, I do not know the revenue for a supermarket.
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Shipping, higher wages, mandatory benefits, super high rental rates for the site.......
I'll take 3% on revenue of 1M any day. Just as an example, I do not know the revenue for a supermarket.
Maybe im misunderstanding you. Wages in Hawaii is cheaper then Oregon for example. Or min wage is almost 2 dollors more an hr. Mand employee benifits? Im not sure what the % is but dont a big majority of employers only higher less then 30hrs so they dont have to pay mand health benifits?
Im sorry my point isnt to argue all the time. Im just solution minded and how do you fix the issue. Because obviously how things are now doesnt work for the majority. Maybe a new way of thinking is in order idk?
@Hawaiian By Heart
How many people would love to move to Hawaii but don't because they can't afford it?
How many people move to Hawaii and leave with in two years because they can't afford to stay?
Now, imagine if there was a vote and after that vote all the prices were brought down to mainland levels and wages were brought up.
Where would you put everyone that could now afford to live in Hawaii?
How long would it take for all of the Hawaiian islands to end up looking like Oahu?
Maybe im misunderstanding you. Wages in Hawaii is cheaper then Oregon for example. Or min wage is almost 2 dollors more an hr. Mand employee benifits? Im not sure what the % is but dont a big majority of employers only higher less then 30hrs so they dont have to pay mand health benifits?
Im sorry my point isnt to argue all the time. Im just solution minded and how do you fix the issue. Because obviously how things are now doesnt work for the majority. Maybe a new way of thinking is in order idk?
I have no idea what supermarket employees make here, what percentage are part time and which ones are union (Safeway is I think).
But neither do you, so it's a wash.
The factors are not going to change. Hawaii is remote and has limited real estate, that situation will always result in a higher cost of living.
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@Hawaiian By Heart
How many people would love to move to Hawaii but don't because they can't afford it?
How many people move to Hawaii and leave with in two years because they can't afford to stay?
Now, imagine if there was a vote and after that vote all the prices were brought down to mainland levels and wages were brought up.
Where would you put everyone that could now afford to live in Hawaii?
How long would it take for all of the Hawaiian islands to end up looking like Oahu?
Now I never said to have the prices like the mainland. Maybe have the price of the $8 or $9 gallon of milk be maybe a dollar cheaper.
We keep saying that the cost of living is what keeps people away from moving to Hawaii but the truth is since late 1970s honolulu country has only seen an increase of less then 200K in residents. The issue of overcrowding isnt residents, but the multi-million and rising yearly population of tourists and short term residents that is really the issue.
So what you are saying then is that the higher prices have kept the population growth in check.
No what im saying is you cant blame the explosive rise in the price of things on the resident population growth, or crowding. When the most expensive areas like the city of Honolulu has only grown by about 65,000 in 40 years.
Wouldnt that kinda sink the supply and demand argument at least when it comes to population.
Population growth is outside of Honolulu County and tourism.
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