Leeds Bradford airport rip off

somethingcorporate

Ahhhh.... you are talking about collusion which is something completely different and is infact illegal. A number of companies (including supermarkets) have recently got a spanking for such behavior.

Cartels are (supposedly) illegal but that is anti-competitive and not the same as normal market competition, which was what we are talking about.

We wouldn't be in any trouble though because the corner shops would sell it for a fraction of the price and take all the profit in selling beans.

fluffnutter

dfh2012 wrote: »

It is quite ridiculous , a scenario where private companies are allowed to charge whatever they want.

Checkout at Tesco

Tin of baked beans- 100000
Load of bread - 100000
Pint of milk - 100000
Jar of coffee - 100000
Using our car park - 100000

That will be half a million please

Shopper- don't be ridiculous.

Tesco - ah, but we are a private company see. We can charge whatever we want !

Legally, sure they can. They're prevented from doing so by the appreciation that they'd go out of business, not the law.

fluffnutter

dfh2012 wrote: »

If all the big supermarkets got together and decided that they would charge 100000 for a tin of beans because they can, we would be in a whole heap of trouble !

Not in the least. A new company would set themselves up selling the beans for a normal price and everyone would shop there. Do you not understand how markets work??

somethingcorporate

fluffnutter wrote: »

Not in the least. A new company would set themselves up selling the beans for a normal price and everyone would shop there. Do you not understand how markets work??

Adam Smith would be spinning in his grave!

Here you go, Hothead: http://en.wikipedia.org/wiki/Adam_Smith

Read and appreciate.

*max*

Maybe the poster was talking about competition laws, specifically price exploitation by a company in a position of dominance? Because there are no competitors in this market (ie: no safe alternative for dropping people off), the charge could be thought as unfair? I don't know if this is valid, I was just thinking about this now and it entered my mind.

fluffnutter

dfh2012 wrote: »

the fact remains that companies do not charge 100000 for a tin of beans which contradicts the statements that they can charge whatever they want !

illogicality_alert

fluffnutter

dfh2012 wrote: »

Leeds Bradford airport could charge 1000000 in parking fees but they don't coz it would cause an uproar.

Thus the statement " Private companies can charge whatever they want " does not stand.

Your argument seems to have revolved around companies not being able to charge what they like because the law prevents them doing so. As I and others have pointed out, it's not the law preventing this. It's other forces including, as you mention yourself, 'uproar'.

That is all.

*max*

dfh2012 wrote: »

Leeds Bradford airport could charge 1000000 in parking fees but they don't coz it would cause an uproar.

Thus the statement " Private companies can charge whatever they want " does not stand.

They can - just because they chose not to doesn't mean they can't.

You can jump off a cliff, doesn't mean you should or would. Reason and practicalities come into it.

In this case however, I think the problem is to determine whether the company in question is exploiting prices because of monopoly, if there is one, which would mean that they cannot actually charge what they want as there are laws on the subject.

more_money_for_me

I live near Leeds, but have never used LBA. Flights from Manchester are nearly always cheaper, and I can get the train straight there.

somethingcorporate

dfh2012 wrote: »

So the central point remains that companies " cannot charge whatever they want ". If so,they would have charged 100000 for a tin of beans which is ridiculous .

They need to follow a simple law- the law of common sense .

Ahh... so not actually a Law then...

you mean the "laws" that govern free market economics. Like we have been saying all along.