Price fixing is illegal - price sharing is not

[Pierre C Belarge]

As has been mentioned, it is not illegal for ECs to speak to each other about how they price out jobs in general.

If they get together to price a particular job, that is an issue.

So, posting pricing as in general is not an issue that will get one in trouble.

 

[quogueelectric]

I recently did a kids bathroom for the owner of a plumbing supply out here . He was telling me how tempting it was for him to be an electrical supply house because the markup was so much higher he kept on repeating it as we built his 25,000 bathroom for his kids. God bless him. It really made him pissed.

 

[dezwitinc]

in my area, plumbers and hvac are always very close on price (there are a couple that undercut); electricians will cut your throat out and feed it to you while stomping your face with a hobnail boot.

Why do you suppose that is?
I have been trying to figure it out for years.
Look at the bid results on most any job and the plumbers will all be within a few points of each other and the electricians are all over the map.
Is estimating plumbing that cut and dried whereas the electrical is open to a different interpretation by everyone?
Any opinions?

 

[mdshunk]

Certain types of price fixing is legal. They call this "brand maintenance". This is one reason why you can often get Square D stuff from non-authorized Square D distributors cheaper than authorized distributors. There is a price floor, below which dealers aren't supposed to sell the product.

Reference the very recent Supreme Court ruling knows as the "price floor ruling". Leegin Creative Leather Products Inc. vs. PSKS Inc.

 

[Rockyd]

The better you get at estimating, the less likely you are to actually get the job...

 

[emahler]

The better you get at estimating, the less likely you are to actually get the job...

ain't that the truth...

 

[tonyou812]

ain't that the truth...

that sounds like a Yogiberaism

 

[hardworkingstiff]

The better you get at estimating, the less likely you are to actually get the job...

Rocky, that's funny (only because it's so true).

 

[sgr1]

A good friend of mine told me I wouldn't be a good estimator because I know how to do the job. He told me not to over estimate my jobs. LOL

 

[Former Jeanyus]

The better you get at estimating, the less likely you are to actually get the job...

Well that's my problem then! I've been 'practicing' way too much...

And there certainly have been a lot of contractors dropping their prices like they're a K-Mart doing blue-light specials. Maybe if we can hang on long enough for a couple of these to go under, we can pick up the job from the bonding company.

 

[jmsbrush]

Guys speaking of estimating, I'm in OK right now visiting my cousin. He is a roofer contractor. He is making such a great living.
He is actualy making 30% on some jobs (big jobs) Making incredible profits.

HE also is a GC. He showed me some of the neighbor hoods that he built.
I asked him on top of his head how much are the Electricians charging? I said give me a rough price.
He said $3.00 a square. Thats no different that FL.
Things are so tight I started bidding at 10 % and still can't land jobs.
Here he is making $18,000 to $30,000 per job PROFIT.
For roofs. Imo not nearly as technical as Electrical.