Re:Because they can (Score 1)

I suspect there may be another underlying reason, which won't occur to you unless you are involved with multinational planning and marketing.

Marketing plans are developed often more than a year before the product is released. The marketing department have to make sales predictions based on volume by nation or territory, and this then gets converted back into the manufacturer's currency.

In the past couple of years we have watched the dollar fall against the Pound, and tumble against the Euro.

However, the pricing was already determined,and that is where "Because they can" kicks in.

If a new product fails to sell in Europe, they WILL address the pricing, but if the product sells based on the predetrmined pricing there is no reason for the manufacturer to consider reducung his profitability by reducing pricing.

The manufacturer will argue that currency markets fluctuate, and he could take a beating next time around.