Bargain Hard to Get Fair Prices in Chinese Shops
Vendors See $$$ Signs, Raise Prices High When Foreigners Approach
Shopping for souvenirs is the fun part of any vacation. And because travelers are on vacation, they may spend money more freely. That’s what Chinese vendors are counting on to make their day.
Because Americans have the reputation of being big spenders abroad, Chinese vendors hike prices so high the price approximates highway robbery. Yet, Chinese will never pay these prices, nor will they be asked to. The average Chinese is an expert at haggling – they have to be since they bargain for almost everything they buy: items like fruits and veggies, toilet paper, inexpensive clothing. Bargaining is not done in upscale stores, though customers who find flaws in merchandise can ask for discounts, just like what’s done at home in the United States.
Bargaining Expected in Street Markets
Bargaining skills are used the most at street and flea markets, and at department stores like Beijing’s Hongqiao Department Store across the street from the Temple of Heaven’s east gate. Even the Chinese bargain at places like these.
Bargaining is a must at Panjiayuan flea market, Beijing’s biggest flea market. Vendors do not reduce their prices as much as they used to, and it takes time and skill to get them to reduce their asking prices to 50 percent. Vendors there always quote higher prices to foreigners than they ask of their fellow Chinese. One time a foreign shopper found a clay teapot she liked. The seller quoted her a price of 160 yuan. He quoted the Chinese man next to her a price of 35 yuan for the same teapot, not knowing they were together. The companion was able to buy the teapot for 20 yuan, while the best the foreigner could do was 85 yuan and had to bargain harder to get the vendor this low.
Hongqiao is a store reminiscent of early Kmart, with each small shop being individually owned. It’s possible to get vendors to accept 10 percent of their asking price, which gives shoppers an idea of how exorbitant the item was priced to begin with.
It’s possible to bargain at street markets with no knowledge of Mandarin, but foreigners who know numbers will do a little better.
Basic Bargaining Skills Easy to Learn
Basic bargaining is not that hard. The shopper points to an item and asks how much it costs (which phonetically is dwo shao chee enn in Mandarin. The vendor will then either put in a number on a pocket calculator or write his price on a piece of paper. The shopper then shakes his head and says it’s too expensive (tie gway le) and makes a counter offer. This goes on until a price is agreed upon – a good negotiator will not go up as much as the vendor comes down. If there is no mutual agreement on a price, the shopper should walk away. In most instances, the vendor will call him back and agree to the shopper’s price. If the vendor doesn’t do this, then the shopper should keep on walking because the next vendor should be more agreeable. If the vendor doesn’t some after the shopper this is an indication the shopper’s price is too low, and the vendor will lose money. A Chinese vendor will cut his profit margin pretty low to make a sale, but will not sell an item at a loss.
Shoppers should be familiar with the costs of items in retail stores in Beijing or back home. This will help them in determining their final price when bargaining. Experienced bargainers note the final sales price should range from 25 percent to 40 percent, give or take a few percent either way, of the initial asking price.
Chinese vendors expect customers to bargain
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