Why on eBay are things so cheap when coming from Hong Kong & other places outside of US?
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Sorry if this seems to be a dumb question to some but I recently got into shopping on eBay. I've sold a few things on eBay before but hadn't actually purchased anything. Anyway so I've been coming across beautiful scarves for a few bucks, leather bracelets, beautiful coats (with types of fur too). Then some of them have pics of celebrities wearing the items. I'm sure they are replicas? Really cute things I don't see out here, it all looks like good quality. Anyone have experience with these items on ebay? How are those nice things so cheap when coming from places other than the US?!?! Thanks!!
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Answer:
Numerous answers. Firstly they may well be knock offs which accounts for the lower price, there are a lot of knockoffs in China entire markets filled with knock offs. Secondly, Hong Kong is a bit more Laisez faire than the rest of the world. For example sales tax in the USA varies from state to state but 8% is what I hear as an average. I live in the UK where sales tax is 20%, Norwal is 25%! Hong Kong has no sales tax and no VAT. It also happens to have no NIC, and low taxes for the people there (nobody pays more than 16% of their total income most people pay zero taxes) Thirdly lower safety standards and knockoffs. For example a sofa (couch) a UK distributor started selling sofas made in China. The retailer made big $$$ selling them at UK prices. Except during the tanning process for the leather a flesh burning chemical was not cleaned off properly. This links into environmental stuff as well. Your US company has to comply with stuff, like not dumping waste into rivers and paying for tech to clean up emissions. Chinese companies don't it just goes right into the river making people sick. Fourthly no warranty and no returns. US companies to keep a good reputation have to honour returns. These companies don't so if say a big US corp screws you over you can do something about it. So a HK company sells you a knock off that burns your skin can you get a refund or take any action against them? NOpe.
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