I have written an article about the soaring prices of pearls that I’m currently experiencing. While wholesale prices for pearls have seen a significant increase, it appears that retail prices have not yet proportionally adjusted to this trend.
It’s possible that retail stores are currently absorbing this gap, and it remains uncertain how long this situation will persist. Additionally, Japanese wholesalers typically maintain a clear distinction between wholesale and retail prices, with a consistent price difference. It’s common for the retail price to be set at three to four times the wholesale price. However, some Chinese buyers are often seen adding only $30 to the wholesale price and selling at retail. This results in a significant price gap. For instance, a pearl priced at $100 at the wholesale level may end up being sold to end customers for either $300 or $130.
As the sales landscape undergoes a dramatic transformation due to the influence of the internet and smartphones, there is an ongoing debate about the ethics and appropriateness of these practices. However, much like water flows from high to low, I feel that these changes are inevitable and cannot be stopped.