In my trade, a 100 percent price markup is standard.
The prices in the price list for the end customer were always designed so that I make 100 percent profit on them.
A part costs 200 euros according to the wholesaler's price list. I bought it from the wholesaler for 100 euros.
The manufacturer sells it to the wholesaler for 50 euros. That results in prices where the end customer buys a product whose price
is very high but is not reflected in the quality of the product.
Often the customer then thinks, since they paid a lot of money for it, it must be good. Often, that remains the case.
Nevertheless, wholesale has its justification. The craftsman also stands behind the warranty. He must trust the installed products
and be able to exchange them in case of defects. This becomes difficult with purchases made on the internet.
He can only sell products where spare parts service or functioning customer support also work.
But no one gets upset when Adidas buys a pair of sneakers in China for 5 euros and sells them in the shop here for 120 euros. And this is how the majority of trade works, whether it’s a hardware store or a clothing store.
As long as it is bought, that is not a problem at all.
It is different, for example, in the photovoltaic industry. Here, you can shop privately at many small dealers, and the margins on these parts are very low. There is massive price competition there, and the entire market is fiercely contested.