Honda Motorcycles - FireBlades.org banner

1 - 20 of 29 Posts

·
Registered
Joined
·
11,499 Posts
maybe hatchbacks will come back in style.

Price of gas in Calgary has been 3 dollars a gallon for a couple of years, but the demand for huge pickup trucks just keeps climbing.
 

·
Registered
Joined
·
2,057 Posts
Discussion Starter #4
phobiaphobe said:
but the demand for huge pickup trucks just keeps climbing.

Yeah, I do not understand this. It hurts me everytime I shell out $27 for a full tank of gas each time. I cannot imagine spending $50 a tank. :crap:
 

·
Registered
Joined
·
1,814 Posts
It's not the end of the world. If gasoline goes up .25 a gallon, that's only an extra $3.75 per tank for 15 gallons. Or if you have a truck and fill up with 25 gallons that's only an extra $6.25 per tank. So while a .25/gallon increase is quite significant, it'll really only cost you about $5/tank.
I'm sure the Europeans wish they paid our prices for gas.
 

·
Registered
Joined
·
1,657 Posts
Serial Thriller said:
It's not the end of the world. If gasoline goes up .25 a gallon, that's only an extra $3.75 per tank for 15 gallons. Or if you have a truck and fill up with 25 gallons that's only an extra $6.25 per tank. So while a .25/gallon increase is quite significant, it'll really only cost you about $5/tank.
I'm sure the Europeans wish they paid our prices for gas.

Europeans and canadians too...
 

·
Registered
Joined
·
803 Posts
I fail to see how this is news. I would rather see a detailed story on why gas stations can change the price of gas in the middle of a tank, and get away with saying it's because the price of oil just changed. As far as I know they pay for the gas when the tank is filled, and the price is set. That's what sets me off. They price gouge more than any industry I can think of, and get away with it.. Gas will go up .25/gallon for the next driving holiday.
Fig
 

·
Registered
Joined
·
11,499 Posts
Fig said:
I fail to see how this is news. I would rather see a detailed story on why gas stations can change the price of gas in the middle of a tank, and get away with saying it's because the price of oil just changed. As far as I know they pay for the gas when the tank is filled, and the price is set. That's what sets me off. They price gouge more than any industry I can think of, and get away with it.. Gas will go up .25/gallon for the next driving holiday.
Fig

Or we could complain how our government (in Canada anyway) gouges us 40 cents on every dollar of fuel.
 

·
Premium Member
Joined
·
5,711 Posts
Fig said:
I fail to see how this is news. I would rather see a detailed story on why gas stations can change the price of gas in the middle of a tank, and get away with saying it's because the price of oil just changed. As far as I know they pay for the gas when the tank is filled, and the price is set. That's what sets me off. They price gouge more than any industry I can think of, and get away with it.. Gas will go up .25/gallon for the next driving holiday.
Fig
:huh:

My parents own a station and it would be impossible to change the price in the middle of a fill-up. I hope you're just embellishing? If not, that ain't right. My parents are making significantly less money than they were in the early 90's, so I guess they haven't figured out the whole "price-gouging" strategy. I know a lot of city stations will do it during peak travel times, but you can usually go a mile outside town and avoid that. The retailers aren't benefiting from these current prices, I'll tell you that. It's more expensive than ever to buy inventory (often financed) and there are new government regulations every year. I think complaining about a $1.50 16-oz bottle of water might make more sense... :idunno:
 

·
Registered
Joined
·
712 Posts
tigerblade said:
:huh:

My parents own a station and it would be impossible to change the price in the middle of a fill-up. I hope you're just embellishing? If not, that ain't right. My parents are making significantly less money than they were in the early 90's, so I guess they haven't figured out the whole "price-gouging" strategy. I know a lot of city stations will do it during peak travel times, but you can usually go a mile outside town and avoid that. The retailers aren't benefiting from these current prices, I'll tell you that. It's more expensive than ever to buy inventory (often financed) and there are new government regulations every year. I think complaining about a $1.50 16-oz bottle of water might make more sense... :idunno:
Wow....it's nice to see it from the other side of the fence. Thanks TB. As for the water...you're right. You are a freakin moron if you walk into a gas station and buy a bottle of water. I buy the case of 30(I think) bottles at Costco for 5 bucks. Can't beat it.
 

·
Registered
Joined
·
4,668 Posts
tigerblade said:
:huh:

My parents own a station and it would be impossible to change the price in the middle of a fill-up. I hope you're just embellishing? If not, that ain't right. My parents are making significantly less money than they were in the early 90's, so I guess they haven't figured out the whole "price-gouging" strategy. I know a lot of city stations will do it during peak travel times, but you can usually go a mile outside town and avoid that. The retailers aren't benefiting from these current prices, I'll tell you that. It's more expensive than ever to buy inventory (often financed) and there are new government regulations every year. I think complaining about a $1.50 16-oz bottle of water might make more sense... :idunno:

I don't think he's referring to changing the price during a customer filling up. I believe he's referring to them changing the price between the stations holding tanks being filled. :idunno:
 

·
Premium Member
Joined
·
5,711 Posts
RRWANTR said:
I don't think he's referring to changing the price during a customer filling up. I believe he's referring to them changing the price between the stations holding tanks being filled. :idunno:
Well yeah, you have to change it sometime. People only think about the price going up. Think about when the retailer has his inventory full. Let's say he's sitting on 200,000 gallons of fuel. Now the price drops 10 cents. His competitor gets a load of the cheaper fuel and drops his price. The first guy has to drop his price to match his competitor but has spent a lot more for his inventory than the second guy. Just because you paid a lower price for your inventory doesn't mean you sell all that inventory at a set margin. You have to make up for the time when the price goes down and you're sitting on an expensive inventory. It's not your local retailer that's making the money off higher prices, people. Things are the same as they've always been, they've just shifted to a different price point. Margins at the retail level aren't what's changed.
 

·
Registered
Joined
·
11,499 Posts
I was a petroleum transfer engineer when I was 16 working at a Mohawk. THe owner told me once that the money he makes on fuel is just enough to cover his fixed overhead, and to make a profit he needs to sell point of sale crap in the store. IE cigarettes, coffee, bottled water, shitty sandwiches, dirty pornos. (55+, Voluptuous, Big Butts, Chicks with Dicks, not classy rags like Hustler)

55+ was my favorite. What's this thread about?
 

·
Registered
Joined
·
14,390 Posts
I don't know about the guy who owns a gas station, but somehow oil companies are seeing record profits.

I don't blame them for charging more. This country has proven it is more than happy to piss money away commuting in SUV's, so why not? If people where worried about the price of gas, they'd choose different cars.

What sucks is that this + increasing interest rates= the beginnings of INFLATION
 

·
Registered
Joined
·
1,820 Posts
tigerblade said:
Well yeah, you have to change it sometime. People only think about the price going up. Think about when the retailer has his inventory full. Let's say he's sitting on 200,000 gallons of fuel. Now the price drops 10 cents. His competitor gets a load of the cheaper fuel and drops his price. The first guy has to drop his price to match his competitor but has spent a lot more for his inventory than the second guy. Just because you paid a lower price for your inventory doesn't mean you sell all that inventory at a set margin. You have to make up for the time when the price goes down and you're sitting on an expensive inventory. It's not your local retailer that's making the money off higher prices, people. Things are the same as they've always been, they've just shifted to a different price point. Margins at the retail level aren't what's changed.
TB, I would say that's the Cost of Doing Business. I feel for the retailers in your example above, but what about when the prices go up just after a double tanker was there a day or two ago??

Sorry, I don't buy that.
 

·
Registered
Joined
·
1,180 Posts
colryn said:
Yeah, I do not understand this. It hurts me everytime I shell out $27 for a full tank of gas each time. I cannot imagine spending $50 a tank. :crap:

I'd kill a Nun to only spend $50 for a fill up... :smilebig:


J
 

·
Premium Member
Joined
·
5,711 Posts
Newfie TLR said:
TB, I would say that's the Cost of Doing Business. I feel for the retailers in your example above, but what about when the prices go up just after a double tanker was there a day or two ago??

Sorry, I don't buy that.
If you don't buy what I've said, open your own station. See how long you can keep it in business. Like I told you, there are times you sell your fuel for below cost when the price goes down. The price is often independent of the retailer's cost. It's not as easy as just charging 15 cents more than you paid for each gallon of fuel.
 

·
Premium Member
Joined
·
5,711 Posts
Here's a long but interesting article. It's focused on Canada, but the same concepts would be true for the US as well. Some interesting bits:

The price of gasoline changes often, a fact that draws considerable media attention. This attention, combined with the visibility of prices, has meant that consumers are much more aware of fluctuations in the price of gasoline than in the price of most other products.
Despite public perception, when integrated oil companies report much higher profits, as they do during periods of high crude oil prices, these additional profits tend to result from the production of crude oil, not from increased refinery or retail margins.
Price cycles tend to be a way of life in most urban centres in Canada. Gasoline prices slowly fall and then abruptly take a leap – jumps of four or five cents a litre are not uncommon. Why are there price cycles? There are substantial economies of scale to be realized by increasing market share – the pumps exist and more customers can generally be handled without additional staff (the added customers may also splurge on a car wash or some goodies from the convenience store). The way to attract price-conscious gasoline customers is to lower prices. Of course, the competing outlet on the opposite corner or down the road doesn’t want to lose customers, or market share, so it lowers its price to match that of its competitor. This lowering and matching of prices continues until profits are badly compromised – losses may even be incurred. Then one of the majors raises its price and the others follow suit with great relief. Sooner or later, a retailer will drop the price and so starts another cycle.
OVER THE YEARS, the federal Competition Bureau has carried out investigations of the gasoline industry in response to public concerns that competition was being thwarted. In early 2000, the bureau reported on three investigations following claims of artificially high gas prices in 1999. These investigations completely exonerated the industry of anticompetitive behaviour.
There is no evidence to suggest that gasoline companies communicated or co-operated with one another when implementing price increases. The July 1999 price increases, while dramatic, were the result of normal market forces."
 

·
Registered
Joined
·
10,531 Posts
Whatever, TB. You don't know what you're talking about. We all know, thanks to the genius minds in Australia and at democraticunderground.com, that every penny is going directly into President Bush's pocket. All the gasoline in American tanks is refined from Iraqi oil, stolen to personally profit President Bush.
 
1 - 20 of 29 Posts
Top