Quote:You do yourself no favours backing yourself into a corner like this. Whats "stupid and naive" is your simplistic and rigid "never ever" views on such an issue that is in reality far more complicated - and hysterically lash out at anything that questions this as "typical muslim logic".
You are wrong. Your argument is stupid, and you only make it because it is on behalf of fellow Muslims screwing people over.
Quote:Absolutely they react to "market conditions", yet curiously, after mentioning this once here you then go on and attribute any and all cost absorption to nothing more than "doing a rough job at keeping up with them" - and that they will inevitably catch up on them later.
Or prior. Businesses are obviously going to factor in some level of unexpected future costs into prices.
Quote:An example of reacting to market conditions would be if they decide that some increase in production costs need to be absorbed and their profit margin decreased in order to sustain their share of the market.
You are conflating two separate decisions Gandalf. Profit margins will only be decreased if a benefit in total profits as a result is anticipated. Those total profits will inevitably take into account all costs incurred. Costs also will only be incurred if there is a net benefit. These are two separate decisions based on separate criteria. This BS about allocating one particular cost to the decreased margin is either a childishly naive view on how businesses are run, or deliberate BS spin.