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Old October 24, 2013, 09:42 AM   #43
dogtown tom
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Join Date: January 23, 2006
Location: Plano, Texas
Posts: 3,073
Quote:
ClydeFrog ......As discussed, the overall demand for many common calibers; .22LR, .38spl, 9x19mm, .40S&W, .45acp, .223, .308(7.62mm), 7.62x39mm, etc might wind down but I doubt the sale prices will lower too.
Sure they will....if the price of gas lead and copper fall. In "non panic" times retail ammunition prices are affected more by the cost of raw materials and transportation costs than by demand. While demand for ammunition rises during hunting season.............usually you'll see ammunition sold as a LOSS LEADER (especially .22).

Ammunition is heavy and requires shipping via Ground transportation. No Flat Rate USPS boxes. Shipping costs may have the biggest impact on ammo price flunctuations.





Quote:
The major ammunition firms will space it out so local gun shops & retailers can keep the prices higher.
Huh?
If ammunition manufacturers colude or engage in price fixing its a pretty serious Federal crime.

The business of any business is to stay in business and make a profit for THEIR business........intentionally withholding ammunition from retailers makes how much profit for the manufacturer?...........NONE.

Any manufacturer who cannot supply enough product to the retailers at a competitive price risks losing business to the manufacturer with better pricing and available product.

Ammunition priced as a loss leader gets traffic into the store.....and those buyers often buy something else. Just as grocery stores use milk and bread as loss leaders to get you in the store.
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