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Buderus Cost

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I have not seen anything on the Wall that fits the definition. In fact, there is much discussion here about the price cutting of "rogue" plumbers, heating installers etc.. So when ya'll get together to control the price and distribution of the Buderus, you might want to look over your shoulder. Of course, you would have to have your communications about pricing in private and take some action to make it happen. Public talk is just that, public talk. By a few individuals.

Definition:

Any agreement between business competitors regarding price is considered price fixing and is illegal in many countries.

Methods of price fixing can include,

-Agreements to adhere to a price book.

-Agreements to engage in cooperative price advertising.


-Agreements to standardize credit terms offered to purchasers.


-Agreements to use uniform trade-in allowances.


-Agreements to limit discounts.


-Agreements to discontinue free service or to fix any other element of prices.


-Agreements to adhere to previously announced prices and terms of sale.


-Agreements establishing uniform costs and markups.


-Agreements imposing mandatory surcharges.


American law is very specific that price fixing is only illegal if it happens via communication and specific agreement between firms. It is not illegal for firms to copy the price moves of a de facto market leader as is the case with prices of cereals and cigarettes. Critics say that this rule makes the government not able to stop the majority of price fixing which harms consumers.

Comments

  • Dan_15
    Dan_15 Member Posts: 388
    Buderus Cost Increase

    I had a HVAC contractor out last in August 2005 to get an estimate to replace my old boiler.(I live in Delaware) The cost breakdown was as follows:
    Buderus G115-28 boiler w/Riello burner $5,560
    ST200 for hot water 2,120
    Logamatic control 695

    I gambled and got another winter out of my old boiler but it is leaking now so I called him back. He said the cost would be higher and I assumed they would. New cost for same equipment: $5,995
    2,385
    1,195
    He told me the cost increases were due to steel price increases which makes sense. But why is the Logamatic control $500 higher??? Should I go elsewhere? Thanks for your help
  • Constantin
    Constantin Member Posts: 3,796
    Prices are not discussed here...

    ... so I doubt you'll get an answer re: whether the price is "right" or not.
  • steve_29
    steve_29 Member Posts: 185


    Why not ask them... after all they did give you the price.

    You'll find that discussing price on this forum and for that matter, many others, is not allowed.

    It could be construed as price fixing. Sorry
  • joel_19
    joel_19 Member Posts: 933
    prices

    The above comments are correct. I would just add that if the Washington area is anything like Mass. It is not only the cost of materials that have gone up but everything related to the costs of running a company. This year we have had the biggest single year cost increases in everything from Gasoline to various insurance polices that i have seen in 20 years. We've got to pass that along , sorry but what else can we do?

    the Fed is raising interest rates in an effort to control inflation and consumer costs. What a joke , raising interest rates does nothing to lower our costs. If they really wanted to help they'd do something about mind numbing insurance rates and our dependency on foreign oil.


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  • Supply House Rick
    Supply House Rick Member Posts: 1,399
    You have to understand

    When manufacturers raise prices, it's across the board not just items with steel (logomatic has steel in it. Check oil prices lately?, Everything went up didn't it?. If you feel the contractor is "out to get you", get more estimates...

    Rick
  • Weezbo
    Weezbo Member Posts: 6,231
    let me help you with this.....

    My buddy has a boiler in a basement to remove today, You can have it for X dollars ..."well, i dont think i want to avail myself of the opportunity, thanks though..." next year that boiler is long gone and far away. in China they have a saying...My ,my,my...

    the Chinese have words that sound the same however they mean different things and are"Spelled:)" differently ...

    mai 1 means Buy.

    mai 2 means (Buy) because the next time you look it may be Gone.

    mai 3 means (buy) because they might never ever Make any more of those.....

    it is pretty good advise. if you want a 900 $ VW, now! well... your SOL...because they have not sold at that price for quite a while ...
  • Rodney Summers
    Rodney Summers Member Posts: 748


    same thing happened to me on a wood stove called one place a few weeks ago and price was $1,853.64 tax out the door. my dad called the same place yesterday and it went to $2.400 for the same stove. luckily i went to another store last week and had them write me the quote in writing and was able to get the same stove for $1,853.64 and the lady Even threw in some free pipe. seams like the wood guys are trying to make out on the high oil prices because they cant keep up with demand.

    when demand is high prices go up. you cant blame them. but i have more wood then most people ever seen so I'm prepared for the long hall. ;-) I'm not playing the energy price game I'm all set and saw this coming. and am now glad that i don't have to relay on oil to heat my home

    thanks
    Jason

    image

  • Rodney Summers
    Rodney Summers Member Posts: 748


    oh how i remember the good oh days ;-)but with the money i am saving heating with wood i can keep the good oh days coming with nice trips cross country in my 560 sel

    image
    image
    image
  • Maine Doug_44
    Maine Doug_44 Member Posts: 1
    Don't think so

    >>>It could be construed as price fixing<<<<

    Hardly.

    It is not generally discussed here because Dan discourages it and Wallies don't want to. At worst, it could be considered bad manners and poor taste but it is not even near being illegal.
  • Scott Kneeland
    Scott Kneeland Member Posts: 158


    I hate to disagree with you Doug but it can be considered price fixing and it is illegal. I know it a strech. But their seems to be more price issues in the last 3 weeks than ever.

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  • Mad Dog_2
    Mad Dog_2 Member Posts: 8,409
    My comments exactly Joel...............................

    Quotes don't get cheaper tha longer you wait. I also like the question...: "will it be cheaper in your 'slow' season?" Mad Dog

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  • Bob Harper
    Bob Harper Member Posts: 1,143
    Anti-trust guidelines

    We cannot discuss prices at trade shows, training seminars, and board meetings of trade associations due to rigid anti-trust guiidelines.

    Wether in print or verbal has nothing to do with anti-trust. If you communicate pricing information in such as manner it could be construed you're fixing prices, you could be in trouble.

    From trade assn. attorney: If you discuss things in general such as why steel went up 3 times last yr. yet you were unable to pass that cost on, its ok. To say "my price for model XYZ with the flux capacitor was normally $xxx but I'm getting $xxxx without pushback from consumers" and you and your location are identified is pushing the limits.

    Since there are wide differences in local economies, what good does it to discuss pricing anyway? I can travel 1 hr from my home and see a 50% difference in going rates. Within my community, there is a huge chasm btw those who give away certain things as lost leaders to make other sales and those who get top dollar for a professional job and then there is always cheap charlie who likes to pay the homeowner for the privelege of doing dirty jobs.

    We can encourage everyone to improve professionally, which usually commands good compensation and we can discourage hack work. However, when we go to scold ol' cheap charlie, we have to be careful. Sure, he's stepping over money on the sidewalk but that's his perogative. Let the marketplace drive the price. If you feel you're competing with cheap charlie then I guess you are cheap charles. You can possibly subsist at that level for awhile but that's up to you.

    As for homeowners, you have simple economics of paying for what you get then doing your homework to ensure you get the right contractor who will deliver as promised. If you pay big $$ and feel cheated then you cheated yourself because you failed to do your homework such as checking references.

    Just my views and not those of any company, organization, club, assn., or group.
This discussion has been closed.