Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.

Are scalpers legitimate businessmen, or unethical opportunists ?


  • Total voters
    188

kenknotts

macrumors 6502
Sep 23, 2013
276
0
There is a REALLY easy way Apple and the carriers could end this (or really slow it down) if they wanted to. Limit sales to 2 iPhones per person at the Apple stores and 1 iPhone per phone line at the carrier stores over opening weekend. Problem solved.
 

makotoisle

macrumors 6502
May 31, 2012
256
26
I wouldn't mind it if it were just like you say: people standing in line for you and charging you a modest price increase for their time spent.

However, I think the bigger issue is that the scalpers kind of cause an artificial inflation. People wouldn't have to line up early and brave harsh conditions (the service you are purportedly offering) if scalpers weren't buying 50 bajillion phones, thus preventing people from getting them under more reasonable conditions.

That said, if you can make money doing it, shrug, more power to ya.
 

MicroMacTosh

macrumors member
Original poster
Nov 6, 2010
78
0
let me ask another question, people are generally scared of selling on ebay, due to chargebacks and stuff. what tips do you give others on avoiding that, any other tips would be helpful too.

and kudos, great job, in getting all those phones.

Send to only verified Paypal users and their verified address.

Track and insure high value items . only Buy it now listings , requiring immediate payment .

Don't ship to APO/FPO/DPO

Internatuonal use FedEx or equivalent with tracking and insured , and sent only to verified paypal address .
 

makotoisle

macrumors 6502
May 31, 2012
256
26
There is a REALLY easy way Apple and the carriers could end this (or really slow it down) if they wanted to. Limit sales to 2 iPhones per person at the Apple stores and 1 iPhone per phone line at the carrier stores over opening weekend. Problem solved.

I think they used to (or still do?) this. The scalpers just bring their whole family and friends with them and still buy up everything.
 

MicroMacTosh

macrumors member
Original poster
Nov 6, 2010
78
0
There is a REALLY easy way Apple and the carriers could end this (or really slow it down) if they wanted to. Limit sales to 2 iPhones per person at the Apple stores and 1 iPhone per phone line at the carrier stores over opening weekend. Problem solved.

That is the current policy ... I don't see any way to enforce it

Maybe they link to you if you use a card , but with cash I can buy as many I want as long as apple em
 

Carlanga

macrumors 604
Nov 5, 2009
7,132
1,409
Out of curiosity, do the people who say they don't have a problem with scalpers already have the iPhone 5s or not looking to upgrade?
I ordered mine online at release. Had it in my hands Monday 32 silver
There is a REALLY easy way Apple and the carriers could end this (or really slow it down) if they wanted to. Limit sales to 2 iPhones per person at the Apple stores and 1 iPhone per phone line at the carrier stores over opening weekend. Problem solved.

Lol those are the rules. Scalpers just pay others to make the line. One guy took a bunch of homeless dudes and they got into a fight. So it's not them making money from their limit but abusing the system taking all the phones and inflating market price due to low quantities of item.
 
S

syd430

Guest
You seem quite agitated my friend .

Let's say you're a Russian oligarch who needs gold iPhones and pays whatever is asked , no questions asked , or a prince who needs 10 gold phones for his siblings and extended family .

They have the money , the desire , what's missing is someone who can deliver them the product , and I fill this economic necessity , this demand .

No. There's also 10 people that would have otherwise been able to get the phone at retail price waiting in line that would now miss out. All you're doing is redistributing to the highest bidder, meanwhile the person that waited with you in the line has to go home empty handed. You're closing access to one group and granting it to another. Nothing wrong with that per se, but no you're not "fulfilling an economic need" because you're simultaneously creating another economic problem. Don't pretend that the only people that benefit are not you and the purchaser.
 

MicroMacTosh

macrumors member
Original poster
Nov 6, 2010
78
0
let me ask another question, people are generally scared of selling on ebay, due to chargebacks and stuff. what tips do you give others on avoiding that, any other tips would be helpful too.

and kudos, great job, in getting all those phones.

There is a REALLY easy way Apple and the carriers could end this (or really slow it down) if they wanted to. Limit sales to 2 iPhones per person at the Apple stores and 1 iPhone per phone line at the carrier stores over opening weekend. Problem solved.

That is the current policy ... I don't see any way to enforce it

Maybe they link to you if you use a card , but with cash I can buy as many I want as long as apple employees don't notice

Just go to different stores , have friends with you etc

I was told to leave curtly a few times by staff , and day hi to the the next day and buy more

Ostensibly 10 device limit per person lifetime but if it's not tied to you in some way , it's meaningless

----------

No. There's also 10 people that would have otherwise been able to get the phone at retail price waiting in line that would now miss out. All you're doing is redistributing to the highest bidder, meanwhile the person that waited with you in the line has to go home empty handed. You're closing access to one group and granting it to another. Nothing wrong with that per se, but no you're not "fulfilling an economic need" because you're simultaneously creating another economic problem. Don't pretend that the only people that benefit are not you and the purchaser.

It is an electronic gadget , not a necessity . Now , say people attempt to profit from people in need , real needs , not manufactured needs , say basic staples like water , fuel , etc , that is abhorrent .

A new smartphone is no necessity , simply manufactured needs , turning wants into needs .
 

Realistiic

macrumors regular
Sep 23, 2012
129
16
Scotland
I personally don't mind them, I wouldn't pay the prices they ask for. It is bad enough at Apple prices but I have thought about doing it myself. Maybe next year with the iP6.
 
S

syd430

Guest
That is the current policy ... I don't see any way to enforce it

Maybe they link to you if you use a card , but with cash I can buy as many I want as long as apple employees don't notice

Just go to different stores , have friends with you etc

I was told to leave curtly a few times by staff , and day hi to the the next day and buy more

Ostensibly 10 device limit per person lifetime but if it's not tied to you in some way , it's meaningless

----------



It is an electronic gadget , not a necessity . Now , say people attempt to profit from people in need , real needs , not manufactured needs , say basic staples like water , fuel , etc , that is abhorrent .

Right and that's why we leave most basic needs to the state, or at least heavily regulate those markets.

By your own advise though, I guess you wouldn't mind if every TV manufacturer on the planet colluded to jack up the price of every single TV to $100,000. And you happen to be in the market for a TV. I mean, it's not food or water right? Oh, you mean it's only OK when it happens to other people and not you?

Obviously people that do this with basic necessities are abhorrent as you put it, you're not as bad, but you're still a problem. And no you're providing no economic benefit as you're simply redistributing without paying any tax on your gain. It's a net economic loss. Please stop pretending that you're on some humanitarian mission, and please for the sake of everyone in this thread, take ECON101 again...
 

6thDAY

macrumors 6502a
Apr 14, 2010
734
88
the real question is how do you have 20k to drop on these phones at retail price?

are you a CEO or....? :rolleyes:
 

user-name-here

macrumors 65816
Aug 31, 2013
1,111
1
To me it's like if there is only 2 loafs of bread for 2 starving families. The scalper doesn't give a damn about their fellow man and will just buy up the 2 loafs to hold the other family for ransom for every penny they can squeeze out of them.

I could forgive scalpers if they simply sold things at full retail prices (the way a real business does) but they don't. They are simply scum that look to prey on artificial scarcity and rip off whoever they can for a quick buck.

I personally have no more respect for scalpers than I do crack dealers on the streets.
 

kenknotts

macrumors 6502
Sep 23, 2013
276
0
Lol those are the rules.

Where? Not out here. My friend told me the guy in front of him bought 10 phones at the Apple store launch day and 2 verizon corporate stores told me there was no limit on how many you could buy.
 

jabingla2810

macrumors 68020
Oct 15, 2008
2,271
938
You mention that the iPhone only costs $200 to make, but Apple sell it for $450.

I don't mind paying this, Apple have invested money in R&D, Design, Engineering, Marketing, Production, Procurement, Distribution etc.

You have contributed nothing.

It's not your fault you don't have a real job, or contribute anything to society, I guess it's society's fault that it allows you to live such a life.

Just because its possible and legal, doesn't mean others, like myself, have to agree with it.
 

mcdj

macrumors G3
Jul 10, 2007
8,968
4,223
NYC
To me it's like if there is only 2 loafs of bread for 2 starving families. The scalper doesn't give a damn about their fellow man and will just buy up the 2 loafs to hold the other family for ransom for every penny they can squeeze out of them.

I could forgive scalpers if they simply sold things at full retail prices (the way a real business does) but they don't. They are simply scum that look to prey on artificial scarcity and rip off whoever they can for a quick buck.

I personally have no more respect for scalpers than I do crack dealers on the streets.

Please tell me you're kidding. A starving family? Bread? Ransom?

We are taking a phone here. A luxury smartphone. No one is being forced to buy at a scalper's price. They are not preying on anyone. And in the case of the gold iphone, the scarcity is anything but artificial,

Why do people feel so profoundly victimized by scalpers? If someone wants a gold iphone and they are sold out everywhere, and they buy one for an inflated price, how is that even remotely yours or anyone else's business?
 

MicroMacTosh

macrumors member
Original poster
Nov 6, 2010
78
0
To me it's like if there is only 2 loafs of bread for 2 starving families. The scalper doesn't give a damn about their fellow man and will just buy up the 2 loafs to hold the other family for ransom for every penny they can squeeze out of them.

I could forgive scalpers if they simply sold things at full retail prices (the way a real business does) but they don't. They are simply scum that look to prey on artificial scarcity and rip off whoever they can for a quick buck.

I personally have no more respect for scalpers than I do crack dealers on the streets.

I follow a simple mantra.

An item is worth what someone is willing to pay for it.
 

user-name-here

macrumors 65816
Aug 31, 2013
1,111
1
Please tell me you're kidding. A starving family? Bread? Ransom?

We are taking a phone here. A luxury smartphone. No one is being forced to buy at a scalper's price. They are not preying on anyone. And in the case of the gold iphone, the scarcity is anything but artificial,

Why do people feel so profoundly victimized by scalpers? If someone wants a gold iphone and they are sold out everywhere, and they buy one for an inflated price, how is that even remotely yours or anyone else's business?

Even if we are talking about a smartphone in this instance the personality flaw is the same: they are scum that don't care about their fellow human beings (only themselves) and look to sell things above what they are worth to make a quick buck.

The scarcity sure is artificial when scalpers buy them up in an effort to drive prices higher.

I have an issue with anyone that artificially inflates prices. A real business makes profit by selling at MSRP. A scalper is simply a street dealer that will take whatever handout he can squeeze from someone.

I follow a simple mantra.

An item is worth what someone is willing to pay for it.

Personally I feel that gives too much leeway for those who want to take advantage of the system and screw consumers over (i.e. scalpers).
 

mdlooker

macrumors 65816
Mar 7, 2011
1,227
203
US
I don't think this would classify as a business. It's just a seasonal opportunity, which is the same for amusement parks. The only difference is a "legitimate" business is one that is recognized by the city, state or whatever entity and you register it in that way. If you find loopholes to avoid paying taxes and all the other overhead stuff associated with that "business" then you'd be "legitimate." You're not a corp or LLC or anything else for that matter. You're an opportunist at best.

So with that said, there's nothing legally "wrong" with scalping. If you get in line 1st then have at it. I hope you save those few thousand a year you make to replace your social security check. But I suspect you'll be on the grind til the day you die. Good luck with that.
 

MicroMacTosh

macrumors member
Original poster
Nov 6, 2010
78
0
Just sold an iPhone 5s 64 GB Gold to a buyer in Singapore ....

Sold for $1,700.

Profit of $780.

:D

(Experienced eBayer here, aware of all the tricks and rules and everything sealed tight on my end, no risk- verified Paypal address, tracking, insurance, video and photo proof of package and box)
 

Jman13

macrumors 68000
Aug 7, 2011
1,570
277
Columbus, OH
I hate when reports like this come out, because the average person doesn't realize that doesn't include any labor, design, etc. I am an electrical engineer who designs electrical systems for buildings and infrastructure. I may work 2-4 months on a project. My final product? A stack of drawings that cost about $15 to print. Of course, our fee might be $50,000 for a project that has a $700,000 construction cost and takes me 4 months to design...I assure you my company isn't making $49,985 in profit on that project. If we're lucky, we might pull $2-5,000 profit on that $50,000 fee.

Apple is probably making about $100 per 5S and about $150 per 5C when it's all said and done.

As to scalpers? Free market...
 

Abazigal

Contributor
Jul 18, 2011
19,678
22,218
Singapore
In the end, it's really all about me (and pretty much everyone else who complains). I remember when tickets to a popular K-pop concert were sold out online within 10 minutes, and those tickets subsequently went for sale online (and went on to command multiples).

I eventually opted to give the concert a miss because I couldn't afford the asking price (nor was I willing to anyways).

I care about scalpers when they prevent me from getting a product that I want, at the price that I want.:p
 

billycuth

macrumors 6502a
Jul 31, 2010
754
75
IF you think about it, scalping opportunities exist because there is a supply/demand imbalance.

Apple could take advantage of this themselves, by selling the phones for outrageous prices at the outset to control demand. But they don't do this. Scalpers do it for them and profit handsomely.

Apple doesn't do it because they are not a completely unethical company. It's unethical to scalp things because it's not how the free market is supposed to work. It's a form of control on market forces by artificially raising the prices temporarily while supply is scarce or not in line with demand.

Personally I think it's lame. You didn't make the product, you didn't develop the product and you are profiting off of others' inability to pick up their own in a store. Scalpers ADD to the shortage problem and cause the shortage problem to last longer because supply can't catch up right away.

It's a free country and you can do what you want, but if this shortage was over food/gas etc and people were scalping that like you are iphones, you can bet the government would intervene. If you want to justify yourself being a creep, go right ahead. Doesn't change my opinion of you.
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.