How Much Would You Price This Cake?
Decorating By LookAPikachu Updated 1 Dec 2013 , 7:19pm by MBalaska
how much would you charge for a cake that looks like this
top would look like the picture below
sides would look like picture below
ACheck out the Pricing Formula link in my signature below for more info on how to set a price using your own costs and local market value. You may also want to read the Copyright Law link, since you would need to obtain permission from Tom & Jerry's copyright owners before reproducing their likenesses on a cake.
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Check out the Pricing Formula link in my signature below for more info on how to set a price using your own costs and local market value. You may also want to read the Copyright Law link, since you would need to obtain permission from Tom & Jerry's copyright owners before reproducing their likenesses on a cake.
permission.....mandatory.....keep reminding 'em
(ps: how's the new bakery going?)
here's some previous posts to get you on track.
mb
http://cakecentral.com/t/764941/questions-on-pricing
http://cakecentral.com/t/17214/copyright-characters-anyone-know-how-to-get-permission
AAbout $6,500. That's for a rather large cake... Since you didn't specify size, I just randomly picked one.
Ok, what I'm trying to say is that maybe you just need general info on how to price because if you think that anyone can possibly quote something out for you without any idea what the size is, you may not be quite ready just yet to go into the cake business.
AAlso keep in.mind that Tom and Jerry are licensed characters and its illegal to replicate them.
8" - $112.00
9" - $136.00
10" - $154.00
12" - $208.00
AEdit: its illegal to replicate the characters [B]without[/B]the owners consent. If you're able to get permission to recreate them..it's fine
A
Original message sent by goodvibrations
8" - $112.00 9" - $136.00 10" - $154.00 12" - $208.00
Yeh........you've mentioned your opinion a time or 200. The OP asked "how much would you charge for a cake that looks like this" and I answered. That's the typical rate charged by 15 or so bakers in my area. We all agree that it's the pricing structure that we are comfortable with. We're a friendly group and all make decent livings doing cakes so it works for us.
Probably more helpful for you to consider answering the question that was asked?
About $6,500. That's for a rather large cake... Since you didn't specify size, I just randomly picked one.
Ok, what I'm trying to say is that maybe you just need general info on how to price because if you think that anyone can possibly quote something out for you without any idea what the size is, you may not be quite ready just yet to go into the cake business.
AThanks, Mimi.
Goodvibrations did you just say that a group of bakers got together and decided on prices? Surely you didn't mean to say that.
My comments are typically understood by those who actually make a living on cakes. Are you saying that's what you do? As in, you could support a household charging what you charge for cakes? And have enough hours in the day to make as many cakes as you'd need?
So you're tired of hearing me bring this up time and time again? You can't even begin to imagine how sick and tired I am of competing with people who undercharge for cake. It effects whether or not I can pay my bills. But I'm glad your friendly group is content in its insulated bubble.
For those who don't know, price fixing is illegal. However, it does not stop groups of people who are employed in the same industry from sharing their pricing with each other. That is not illegal. It is up to each individual to use that information in a way they see fit. Maybe they see they are the lone person to underprice their product, and adjust accordingly. But to actually decide among a group that we are all going to charge "X" - that is price fixing.
Tread carefully on this subject.
Liz
For those who don't know, price fixing is illegal. However, it does not stop groups of people who are employed in the same industry from sharing their pricing with each other. That is not illegal. It is up to each individual to use that information in a way they see fit. Maybe they see they are the lone person to underprice their product, and adjust accordingly. But to actually decide among a group that we are all going to charge "X" - that is price fixi
Tread carefully on this subject.
Did you just warn her that if she's been price fixing, she better not mention it it in public?
If you go to her website, you'll see she says her average price per serving is $2.25. That's about $4-5 less than what a bakery in her area would have to charge. As I've mentioned before, the trade laws were written with the assumption that people would act in their own best interests when setting prices, not be inexplicably charging LESS than fair price. I doubt there's any law that applies to that kind of stuff.
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Did you just warn her that if she's been price fixing, she better not mention it it in public?
If you go to her website, you'll see she says her average price per serving is $2.25. That's about $4-5 less than what a bakery in her area would have to charge. As I've mentioned before, the trade laws were written with the assumption that people would act in their own best interests when setting prices, not be inexplicably charging LESS than fair price. I doubt there's any law that applies to that kind of stuff.
No, I'm just explaining to anyone who reads this what price fixing is. Not everyone here has the same background in studying monopolistic behavior.
I agree that it would be idiotic to agree to fix prices where everyone's pricing stays artificially depressed, instead of the usual way, where prices are set artificially high, and there are no alternatives for consumers.
I am saying to be careful in how you run your business, and how you share information with competitors, because you don't want sharing to be confused with actual price fixing.
Liz
... trade laws were written with the assumption that people would act in their own best interests when setting prices...
We need to remember that many people who bake at home have no business sense. They underprice out of ignorance, not malice. They're not criminals, just hobby bakers who don't understand (or care) about the impact their prices have on the larger community.
A
Original message sent by howsweet
As I've mentioned before, the trade laws were written with the assumption that people would act in their own best interests when setting prices, not be inexplicably charging LESS than fair price. I doubt there's any law that applies to that kind of stuff.
What goodvibrations described could be considered both price fixing and predatory pricing (where a business prices below cost in order to drive out competitors or new market entrants). Both are antitrust violations in the US and could be legally actionable.
http://en.wikipedia.org/wiki/Predatory_pricing http://en.wikipedia.org/wiki/Price_fixing
What goodvibrations described could be considered both price fixing and predatory pricing (where a business prices below cost in order to drive out competitors or new market entrants). Both are antitrust violations in the US and could be legally actionable.
Jason, does the law also call for intent?
A
Original message sent by MimiFix
Jason, does the law also call for intent?
That's an excellent question. Appeals courts have been split on the issue of whether intent factors in, but combining predatory pricing with collusion and price fixing would probably be a good indication of intent, even if the colluding businesses were not knowledgeable enough to realize what the economic results would be. It would make for an interesting test case.
Maybe I read it wrong but she said that what she charges is what other bakeries in her area are charging, not that they all got together and decided to all charge the same. Everyone charges differently and location is a big factor. Her prices where about $5 per serving which doesn't seem SUPER low like howsweet is saying, especially for a pretty easy design. That being said, if you have to ask about pricing then you shouldn't start charging for any cake until you get your pricing matrix down.
"Danger Will Robinson"……..internet postings are not necessarily legitimate legal opinions.
Wikipedia is an encyclopedia written by anyone, and edited by everyone. How does anyone know if it’s accurate?
‘Black’s Law Dictionary’, ‘The Intellectual Property Law Dictionary’, even “The Dictionary of LegalBull****’ are law books.
Wikipedia is not the basis for any Judicial instruction. Moreover I Don’t think it’s admissible in court, but it may give simplistic examples with non-legal-eagle words that most people may be able to understand and comprehend.
{Never heard of an Attorney At Law quoting internet website gossip to support their case}
A
Original message sent by MBalaska
Wikipedia is an encyclopedia written by [I]anyone[/I], and edited by [I]everyone[/I]. How does anyone know if it’s accurate?
If you are unsure of the validity of something you read on Wikipedia, check the citation. If there is no citation then take it with a grain of salt.
We are not arguing a case in a court of law here, we are simply having a high-level discussion about business, in which case a Wikipedia article with citations is more than authoritative enough for a summary of a concept, legal or otherwise.
A
Original message sent by reginaherrin
Maybe I read it wrong but she said that what she charges is what other bakeries in her area are charging, not that they all got together and decided to all charge the same. Everyone charges differently and location is a big factor. Her prices where about $5 per serving which doesn't seem SUPER low like howsweet is saying, especially for a pretty easy design. That being said, if you have to ask about pricing then you shouldn't start charging for any cake until you get your pricing matrix down.
And you might want to go back and read that again about how they all agree on pricing. Here, "We all agree that it's the pricing structure that we are comfortable with"
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"Danger Will Robinson"……..internet postings are not necessarily legitimate legal opinions.
Wikipedia is an encyclopedia written by anyone, and edited by everyone. How does anyone know if it’s accurate?
‘Black’s Law Dictionary’, ‘The Intellectual Property Law Dictionary’, even “The Dictionary of LegalBull****’ are law books.
Wikipedia is not the basis for any Judicial instruction. Moreover I Don’t think it’s admissible in court, but it may give simplistic examples with non-legal-eagle words that most people may be able to understand and comprehend.
{Never heard of an Attorney At Law quoting internet website gossip to support their case}
With all the misinformation given on the website, why call foul on information just because it cites a wikipedia article.? Of course Wiki articles aren't cited in court as case law, but what does that have to do with anything? And I don't understand what you were saying at the end there - are you calling Wikipedia internet gossip? Besides, the articles just give some basic definitions. Jason just provided those as a courtesy.
Yes
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Holy moly, we all know about pricing for different areas, cost etc. why can't someone just ask opinions and be done with it. Why does it always have to turn into a debate about everything but the kitchen sink? Oh, wait I think that is included too.
Maybe missed some posts, but I thought we had only discussed pricing issues on this thread.
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"....... why can't someone just ask opinions and be done with it. Why does it always have to turn into a debate about everything but the kitchen sink?......."
Ah yes, perhaps you have hit on it squarely. Best to be serene. Opinions asked for and given lead to debate. Therefore once the designated opinion has been given, it shall stand. Caveat Emptor.
A
Original message sent by waggs
Seriously, look back. The op only wanted an opinion, I know , can't give one based on the area etc. but really, come on. Just an opinion?
I think it's great when threads expand to discuss different facets of a question. If you are not interested in exploring these topics you are free to move on to a different thread.
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