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Zappykins said:
Few people seem to remember that you need to include cost to the retailer!

With many products if it cost you $500 to make, you should sell it to your retailer at $1000 and they will sell for $2000. (Unless you are Apple, who has even pricier mark ups.)

Anybody know what the markup is on gaming consoles? (I.E. what does Gamestop have to pay Sony for a PS3, that they sell for say $299). I saw 5% but that seems much to low, as most things are 100%-300%.

i've heard the mark up for games consoles is almost nothing, because as the consoles manufactures also do, they make money on software and to get the software selling they need to get as much hardware out as possible.