Law of Diminishing Profit Margins

For the most part, I have not been bothered by any Indians. However, as soon as I step foot in any 'tourist trap' area (i.e. MG Road, Brigade Road, Mysore Palace), I obviously stick out like a sore thumb and people trying to sell crap flock to me. It is always junk that I absolutely have no interest in purchasing, but I actually get a kick out of haggling with these folks just to see how low they will go. I'm calling this the law of diminishing profit margins.



First off, I will give these guys some credit though, as they are VERY aware of the exchange rate, and know that they can set their price based on cheap "American" prices and they walk away with a nice profit.

Back to diminishing profit margins. Let's take, for example, some sort of flute/recorder this guy was trying to sell me. His initial offer was Rs. 200, or about $4. I continuously told him no, but he persisted. Next offer Rs. 100, or about $2. I told him again that I had no use for whatever it was. He refused to give up and then offered one for Rs. 50, or $1. After I told him no more abruptly this time, he came back with a final offer of two for Rs. 50. I probably should have made the purchase just because, but still a no go.

My favorite response to date, which I plan to use more in the future, is when I told a guy who had been following me for about two blocks, 'What if I give you Rs. 100 if you leave me alone and don't say another word?" Of course, he responded, "Ok", to which I responded, "You just said another word, so the deal is off now." It was successful, as he stopped in his tracks confused at what had just happened. This kind of play reminds of the episode of Seinfeld when Jerry gets a call from a telemarketer and says, "I'm busy right now. Could I get your number to call you back?" The telemarketer responds, "Sorry sir, I can't do that." Jerry quickly fires back with, "Why, because you don't want people calling and bothering you?" and then hangs up.

My visit to Mysore Palace last week had to be the worst. There were so many 'vendors' set up all around the grounds it was flat out annoying. Reggie definitely found it hilarious how I am like a magnet once I approach an area like this. I really do wonder if these folks actually make enough to survive by selling this stuff all the time, and also who actually buys it. I have yet to see any of them make an actual sale.