Wednesday, March 2, 2011

You Pay For My Competitors To Be Jailed

Add to the list of advantages I want, when customers prefer a small business offering over a big business offering, you and I pay to chase down and jail the customer and the small business person.  In australia, for instance, smokers so prefer chop chop tobacco to that of the big three, that chop chop now has about 16% of the market.

Ostensibly these people are criminals for not paying taxes on their sales, so instead of making chop chop tax exempt, taxpayers have to pay to chase down people to tax. The main reason they are not collecting taxes is tobacco is regulated, and licenses near impossible to get.  So instead of tax exempt, how about open competition.

No way, big tobacco covers a multitude of sins with their high prices, and small competitors would charge less, and do, so competition would force big tobacco to stop featherbedding and bribing.  From the article...

"People are buying chop chop because the average price of unbranded tobacco is about $45 for 250g of loose tobacco, compared with $165 for legal tobacco, it said."
Tobacco does not cost that much, it is just what they charge, since there is no free market in tobacco.


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