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31st October 2008, 02:39 AM
#31
The point I'm trying to make is that they used the drop in exchange rate as an excuse to raise prices, but didn't adjust the prices back when the exchange rate went up. I'm wanting to see if they will be using this latest drop in the exchange rate as an excuse to raise their prices again, despite not getting any relief as it climbed. I just think that Hasbro US and AUS got it so good as the exchange rate went up, that they will try to maintain that excessive profit margin as the exchange rate goes back down - they can still make a profit from the toys with a rate even worse than it currently is at, but it's that recent 100+ percent profit margin they've been enjoying lately that they may want to keep enjoying.
As such, I think the only relationship there is between their prices and the exchange rate, is when it gives them an excuse to raise prices, but never drop them.
I'll have a think about it though, as it could still be something else that could be asked.
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