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Re: [IP] Preferred provider's high supply prices

In a message dated 04/12/1999 8:41:28 AM Central Daylight Time, 
email @ redacted writes:

<< I'm all for buying at the best price, and in the competitive world, may 
the best
 provider win.  However, it would be nice to have a level playing field.  For 
 company like ours who tries to offer a comprehensive, local diabetes 
 program, this mail-order arrangement means a loophole in our program.  For 
 customers who prefer to have a local face to deal with, they don't like 
 someone "way off" for their personal medical needs. >>


It was good to hear another perspective on this.    

Some people are willing to pay more for service.  I'm willing to pay more for 
something, say a piece of clothing, at a place where there are no hassles for 
returns, free gift wrapping, knowledgeable sales people, etc.  Skimping on 
medical care is not something I care to do and would pay extra for service, 
and it is always nice to have someone else tackle the insurance companies for 

However, the problem comes in the way mark ups are frequently done.  A 100% 
markup (which appears to be common) on a high ticket item is quite different 
from a lower ticket item.  I have tried working with several providers on 
this, offering them to make a profit but still keeping costs down.  Because 
some people (or rather insurance companies) are willing to pay the higher 
prices they feel they will lose money in the long run if they lower their 
prices so they stay high and I in turn go to the manufacturer for supplies.   
Who caused it?  The insurance company for paying higher prices, the provider 
for charging too much or the manufacturer for not offering discounts to 
resellers?  Sounds to me like all three are involved.

Just a thought...


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