How are electronics cheaper in Switzerland?Swiss retailers simply take advantage of their customers because the customers buy the products regardless.We go to Germany once a months for some shopping and having a pizza (Its 30min from Winterthur). This is mainly down to the inflated cost of meat in Switzerland, which makes it two … there is one wholesale price for one country and a different one for Switzerland. Another example is seafood. Fresh meat, fish and vegetables are absent from the list. Fish from a long list of countries is duty free, and even when taxed, the cost is only CHF 0.04 per kg. While supermarket take-home pay is substantially higher in Switzerland than some in neighbouring countries, the cost of staff to employers in Switzerland is often lower. And the employee will get paid 3,750 before tax. Taking some approximate numbers (the real rates are different and vary by region) it works like this:If a Swiss employer pays someone a salary of 4,000 per month it will cost them 4,350.
The average swiss indeed lacks the concept of competition hence the Suppliers get away with it. The Consumer Organisations need to wake up !The input costs faced by Swiss retailers (and producers) other than direct staff costs are also very high. There appear to be a number of reasons. They might be on to something.In summary, high Swiss prices are largely down to a lack of competition, one sided, sometimes exclusive, territorial wholesale agreements on some imports, and import restrictions on products in protected industries, farm products in particular. Remember the CHF soaring in value but the gains only slowly benefiting Customers. Plus Swiss staff are more productive. franchise and additional health insurances, which often are in Europe included in the normal state benefits!30+ years in this lovely Country it is clear that we Consumers lack Legal Protection against price fixing and simply lack of competition. So I do not see how Swiss supermarkets are going to be able to cut prices without an associated decrease in operating costs.As an Australian doctoral student who moved to Geneva in 2019, and is paid an Australian scholarship that after exchange and foreign transaction costs is less than 20K CHF annually to live on, the prices have sickened me. Hardly one of the most competitive economies, as they like to claim to be.I bought an HDMI cable in London for 1 pound. Unfortunately, these are hard to fix. Wrong.Kaufland Germany much cheaper than Switzerland – © Rene Van Den Berg | Dreamstime.comA box of Tetley English Breakfast tea bags that costs CHF 2.95 at Migros in Switzerland, costs only CHF 1.28 at Carrefour in France. But still most seafood is relatively expensive in Switzerland.There are a few exceptions however. Food is just one aspect, the same is true probably for all goods and services in this country. For example a pair of shoes would attract 22% VAT in Italy, 20% in France and Austria and 19% in Germany. In most cities, even cheap ones, it is complicated to find a hotel below 150 CHF per night. Meanwhile, back in 2010 a single euro was worth about 1.30 USD, and now it is only worth about 1.10 USD. As mentioned in the article, some products like beef are expensive because of high import duties. The second reason this place is expensive is that minimum wage is much higher in Switzerland. The difference is going to the shareholders of the Swiss chains…and in use for lobbying the government to keep out competition and stay out of the EU so that competition cannot come in.
Anyone who has done a weekly shop in Germany, France, Italy or Austria and compared prices to Switzerland, knows how much more it costs on the Swiss side of the border. But the hotels are also expensive. SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR Your web browser is outdated. There is no data comparing other costs of business such as rent and financing costs. That’s right: I am too poor to qualify for a special housing scheme for the poor. That’s double the price, gram for gram, in Switzerland.High Swiss tariffs on food and drink imports are designed to protect local farmers who generally have smaller farms than international competitors and the steep costs of ‘Eurostat, the European Union’s statistical office, has also crunched the numbers on the high price of eating in Switzerland. In rest of Europe, an employee should not pay in private for his obligatory health insurance. What on earth is meant by this? For this theory to hold, there would need to be some impediment to price competition.
If you continue to use this site we will assume that you are happy with it. Toys and cosmetics at Coop and Manor are particularly expensive, especially when compared to prices in Germany.Many think there is a logical and justifiable reason for these price differences. The savings are actually pretty heavy.