Wednesday, December 01, 2004

amazonian arbitrage

hublog points to priceonia -- a brilliant arbitrage system for amazon purchases.

the service compares item prices amongst amazon's regional sites: america, canada, the uk, france, germany, and japan.

for example, if a german wanted to buy gamma et al.'s 'design patterns', it would be significantly cheaper for them to purchase the book from amazon 'america' than amazon 'germany' -- even with the increased shipping costs (39.84€ vs. 52.90€, or a savings of ~25%).

however, this does not take into account taxes & VAT, but still, it's pretty interesting information.


At 10:20 PM, Blogger Mark N. said...

I love it. Arbitrage opportunities exist to be exploited and eliminated. All things being equal, the price for the same good should be the same everywhere. When it isn't it is normally a sign that the company is trying extracting additional revenue from an otherwise indifferent segment of a market.

Also this is further proof that globalization kicks ass.


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