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Bokal said:
Geldorn said:
@Bokal: you're forgetting there is a 15-25% tax on goods in Europe, which by law has to be precalculated in the price of sale (exact percentage is dependent on country)

So although both the Netherlands and Luxembourg will have the PS3 at €399 at the store, Sony will make more money in Luxembourg because the VAT is only 15% there rather than the 19% it is in the Netherlands.

 

You're right. Let's assume 20% taxes. It makes the PS3 320€ = 470$

 

The % is on brutto not netto. So its 333 € thats about 490$.

But you also have to consider some more points. Higher retailer margin, higher costs (more languages/country/shops) and warranty (by default 2 years in E.U.).