The site Eurosport indicates (January 23, 2024) that the shoe brand On Running was the subject of a complaint by the German-speaking Swiss consumer magazine Ktopp. Indeed, he denounced the excessively high margins made by the Swiss company, namely a selling price of a high-performance sports shoe model, which helps absorb shocks, more than ten times higher than the purchase price when leaving the factory in Vietnam. The company declined to comment, but said some of the allegations were inaccurate.
Several French media took up the information by copying the AFP dispatch, always at the forefront when it comes to denouncing capitalism. The fact that one of the company’s shareholders is the immense tennis champion Roger Federer is undoubtedly not insignificant in the diffusion of the news.
The spokesperson for the Swiss NGO Public Eye, which acts for a “fairer world”, where “ecological limits are respected”, declared to AFP: “Sustainable management consists of equitably sharing the fruits of value creation. If the sales margin of a brand company is so much greater than the margin of shoe factories, then the balance is not good.”
What this right-thinking NGO forgets is that it is up to companies to freely set their prices and therefore their margins, for the simple reason that price freedom is one of the foundations of a free economy. Denouncing “excessive” margins is a call for an interventionist policy against a backdrop of Third Worldism (the old “deterioration of the terms of trade”) and the denunciation of profit. It also penalizes innovation.
Ultimately, it is up to the consumer whether or not they want to purchase a product (“consumer sovereignty”). As for anyone who considers the price to be excessive, they can simply not buy it.
2024-02-02 21:17:29
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