Un-Fair Competition

The Houston Rodeo is the largest rodeo anywhere in the world. It draws huge crowds who stick around for a livestock show, shopping, concerts, a carnival and lots of greasy foods.

One thing I noticed when I went today was the long lines at EVERY food concession stand, despite the prices:

  • Pickle – $2.75
  • Soft Drink – $3.00
  • Funnel Cake – $5.00
  • Chicken Leg – $7.00
  • Regular Beer – $6.00

These prices may look familiar if you ever go to football games or amusement parks. The rodeo regulates the prices for these items, not allowing them to be sold for under a certain price. This price cooperation between vendors forces patrons to pay preposterous prices.

Thankfully free competition in the real world prevents prices from getting out of control! From the Rodeo’s standpoint they had a good deal going. They had a complete monopoly on the food market, huge crowds, lots of hungry kids and parents with money to spend.

Lesson for Business Minded People: Fixed competition can be used to your advantage.

Be Sociable, Share!

    Blog posted on: March 12, 2005

    2 comments on “Un-Fair Competition

    1. Neville

      Actually yes! Between our family of four, we had:

      -2 orders of nachos
      -3 orders of Dippin Dots
      -1 foot long hot dog
      -2 funnel cakes
      -2 sodas

      Close to $50 worth of food!

      Reply

    Leave a Reply

    Your email address will not be published.

    You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>