Oh man OP that's capitalism at work. If you hate the prices then boycott the food and petition. You might not think it but even students like you have some power.
Capitalism: You're doin' it wrong
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they do that a lot at my school. they have a pizza place that delvers pizza to the school and the school sells it at $2.50 at eight slices that's $16 a pizza, only problem is they get them at six dollars less, it's not as bad as your example but the same thing happens at my school a lot, well except we have this extremely large drink that costs a dollar because its from a brand you've never heard of. I think my school just assumes everyone is stupid, they sell cans of Hawaiian punch for one dollar but you can get a can of coke in the vending machine for 75 cents.
One thing I can think to say is that it makes sense, especially if this individual needs to pay a license to sell things on-campus. And because it's a closed-market (considering students can't pack up and leave for lunch), then she can make a capitalist killing in her market. Really it's more abusing the system, while off-setting cost. Not defending, per se, just explaining a possible reason.
When I was a student they let us off school grounds to go to a rundown Italian place across the street. Concerning the OP you're right, it may not be fair but she is doing it right.NewClassic said:
Spartan, what you're imagining is the kind of capitalism I'd like to have, i.e, capitalism mixed with a bit of socialism in the form of regulations. The school itself is more of a pure capitalism, completely governed by supply and demand and profit.
I used to work at a Movie theater in which a large popcorn and drink was $10.75. I figured out the ingredience for that cost about $.75. AND YET PEOPLE STILL BOUGHT IT. It always amazed me that people would pay that kind of price. OK so theres a no outside food rule, but do you really HAVE to be eating durring a movie. What i'm getting at is it worked, people bought the crazly overpriced food, so as long as people are buying it, shes making money. Not exactly ethical but still works as a business plan.
Thats the definition of capitalism.
Its not about whats fair or right, its about making the most money you possibly can, with the highest profit margins you can get, within the competition that lies in the market.
You know whats not capitalism?
the place I work. They defy every law of capitalism.
IF your a shitty worker, They keep you.
IF you don't do your job, they keep you.
IF you take 3 hours to do something that takes 1 hour, they keep you.
IF your an asshat, they keep you.
IF you blatantly defy rules and regulations, they keep you.
Yet, people who do a great job, get paid the same as the shitty people.
People who are fast and efficient get paid the same as the shitty people.
If you follow the rules and regulations, you get paid the same as the shitty people.
They don't keep people who do a good job and pay them the same as people who don't, Give them 10x more work to do, and continue to pay them the same as the perosn who does a shitty job. Yet, they still can't figure out why they have a such a large turnover every few months, and have to spend considerable time and money to train in new people.
To put it simply, if they started microsoft, they'd have gone bankrupt 30 years ago.
Its not about whats fair or right, its about making the most money you possibly can, with the highest profit margins you can get, within the competition that lies in the market.
You know whats not capitalism?
the place I work. They defy every law of capitalism.
IF your a shitty worker, They keep you.
IF you don't do your job, they keep you.
IF you take 3 hours to do something that takes 1 hour, they keep you.
IF your an asshat, they keep you.
IF you blatantly defy rules and regulations, they keep you.
Yet, people who do a great job, get paid the same as the shitty people.
People who are fast and efficient get paid the same as the shitty people.
If you follow the rules and regulations, you get paid the same as the shitty people.
They don't keep people who do a good job and pay them the same as people who don't, Give them 10x more work to do, and continue to pay them the same as the perosn who does a shitty job. Yet, they still can't figure out why they have a such a large turnover every few months, and have to spend considerable time and money to train in new people.
To put it simply, if they started microsoft, they'd have gone bankrupt 30 years ago.
She is not doing anything wrong, but maybe you should consider having a chat with your administrator or someone about the prices, and where the extra money goes. It's not private information, I believe, and I'm sure if you're a good student and come to them with your concern they'd likely discuss the matter with you. Even going to the PTA meetings or School Council would be an acceptible forum. Times are tough for a lot of people right now, and maybe your school can take some measures to ease the burdens on students and lower some prices.
Also, I have no idea how contracts with food companies and schools work, maybe there are other fees involved, and maybe the extra money if there is any already goes to help the school.
Also, I have no idea how contracts with food companies and schools work, maybe there are other fees involved, and maybe the extra money if there is any already goes to help the school.
Side note, Costs them $0.89, Cost the company that made it, $0.10.
They sell it to you for $2.50. They (the caterer) are making approximately $1.61 in profit.
Yet, they gotta pay those people $8.00 or more an hour. (Figure 2 hours of lunch = $16+ per person.) Obviously 10 students buying the water would pay there wage, quite easilly. x300 students is approximately $900 (If you bought $3 worth of food/drink...)
But, you gotta take into considereation the schools cut.
They are giving the caterer, the 'space' to cater. So, the schools going to probably take off the top $0.50 per meal for there own, to help pay for free lunches, and other stuff. SO I can easilly see if you add in the schools cut, why your meals cost so much. Afterall, $0.85 profit per item isn't all that much considering 'certain' products out there. Hell its probably less of a profit margin then what they are buying from there suppliers.
They sell it to you for $2.50. They (the caterer) are making approximately $1.61 in profit.
Yet, they gotta pay those people $8.00 or more an hour. (Figure 2 hours of lunch = $16+ per person.) Obviously 10 students buying the water would pay there wage, quite easilly. x300 students is approximately $900 (If you bought $3 worth of food/drink...)
But, you gotta take into considereation the schools cut.
They are giving the caterer, the 'space' to cater. So, the schools going to probably take off the top $0.50 per meal for there own, to help pay for free lunches, and other stuff. SO I can easilly see if you add in the schools cut, why your meals cost so much. Afterall, $0.85 profit per item isn't all that much considering 'certain' products out there. Hell its probably less of a profit margin then what they are buying from there suppliers.
Well, confront her.
Then, if she dismisses you completely, try and go all activist on her ass. If that doesn't work, beat her at her own game.
Buy vitamin water in bulk yourself, and bring an extra backpack to school filled with bottles. Have your friends do the same. Depending on your social network and the size of the school, you could put a sizable dent in her business, and that's just what she deserves. If you're buying it in bulk and selling it at profit, the only flaw is getting the product to the school, as your friends may not want to be in on it.
Then, if she dismisses you completely, try and go all activist on her ass. If that doesn't work, beat her at her own game.
Buy vitamin water in bulk yourself, and bring an extra backpack to school filled with bottles. Have your friends do the same. Depending on your social network and the size of the school, you could put a sizable dent in her business, and that's just what she deserves. If you're buying it in bulk and selling it at profit, the only flaw is getting the product to the school, as your friends may not want to be in on it.
The golden rule of capitalism isn't supply and demand, it's "whatever the chumps are willing to pay." If you don't like what she's doing, tell all your friends. You guys can stock up on stuff at Target from now on if you'd rather not pay her ridiculous markup.
More than anything else, this lady sounds like she's running the Gamestop of cafeterias.
I don't know why you're surprised, oil companies do this all the time.
http://money.cnn.com/2008/02/01/news/companies/exxon_earnings/
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/02/BU6AUQMT9.DTL
More than anything else, this lady sounds like she's running the Gamestop of cafeterias.
I don't know why you're surprised, oil companies do this all the time.
http://money.cnn.com/2008/02/01/news/companies/exxon_earnings/
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/02/BU6AUQMT9.DTL
I'd bet my bottom dollar that they are selling things and benefiting from the mark-up. If your school tuckshop is anything like my school's, the canteen ladies are making a shit ton of money considering the opening hours (~1 1/2 hours a day, and some cooking during class time over here.) In the last year we went from small drinks (just as an example) going from $1, to $1.20, and now they're $1.30, and each time the price went up everyone had a little moan about it but eventually it was accepted (begrudgingly) and the lines today are as long as ever.Spartan Bannana said:
Yeah, you can get things cheaper elsewhere, but the thing is that people tend to be lazy sods and they won't make the effort. If you're bothering to save the dough, good on you, and I'm beginning to think I might do it myself.
