List pricing is confusing and sometimes misleading. The online shopping industry, Amazon, continues to use the pricing system even though it has become a problem in many other shopping industries.
The Consumer Watchdog found that list pricing is extremely prevalent in many shopping industries and discovered that Amazon uses the pricing system with over 4,000 of their products.
List pricing is probably something you have seen before. It is crossed-out price tags shown alongside the cheaper most current cost. Consumers are usually drawn to buying products that have a larger difference between the crossed-out price and cheaper most current price.
The issue is that the list price is not always what it seems. With Amazon the list price is generally the suggested retail price of a product by a supplier or seller. This creates the appearance of a much cheaper price.
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