Is it illegal to open a business where you only order the products for others?
For instance, there’s a place by me that sells big patio pavilions. They’re like $11,000, and people buy them!
Then online I found sites that sell the same thing down to the trim for about $7000. I’m not saying this place is buying them online and selling them at inflated rights, but I’m wondering if it’s legal if I were to “sell” them myself for let’s say $8,000, and when someone buys one I essentially just place the order and plug in their address. I make $1000 profit for basically doing nothing. Is that legal?
- Obi Wan KnievelLv 72 months ago
No it's not illegal. Ask any vehicle dealership.
- RICKLv 72 months ago
Thats who 90% of businesses work,so no its not illegal
- JudyLv 72 months ago
no not illegal ............................
- SlumlordLv 72 months ago
Its perfectly legal, assuming you follow the procedure correctly and pay all taxes and such. Does the place selling them for $11k have them on display and deliver themselves and get them there faster because there is some value to that. Not saying its 4k worth of value but they are a business they can and should do what they are able to maximize profits, within reason, and if the customers don't like it then they can just find and order it online, as you suggest.
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- Anonymous2 months ago
Its called dropshipping. Of course its legal. But don't expect to be making thousands a week.
- MamawidsomLv 72 months ago
Duh, yes. There is nothing illegal or wrong with being a retailer. Basically all retail stores purchase products produced by manufacturers (tools, clothing, furniture, home goods, food) and resell those products at a profit. It is up to the business owner to determine the retail price for the goods they sell. If the price is too high, people won't buy. If it is too low, they won't make enough to survive. Your local store owner has, in theory done some research and determine a $300 mark up is within the range of what people are willing to spend. It is very unlikely that people would spend 8-10 times the online price for a product.
Some people like to see and feel and "test" the products in person and are happy to pay more in order to see a produce rather than hope an online product will meet their needs. Some people have bad experiences with online. products. Some people aren't comfortable ordering online. All that said, every type of retailer is in competion with an online source for a product.