Some thoughts about shrimp crackers and entrepreneurship
Speedy, Sam and Alex all love shrimp crackers. Being allergic to shrimps, including shrimp extracts, I stick with the occasional potato and tortilla chips. Speedy often buys the brand of shrimp crackers that you see in the photo. In the supermarket, a bag costs 13 pesos and a few centavos.
One time, we were on our way home from somewhere — I think we were along Kalayaan Avenue in Makati driving towards the intersection to turn left at C5 — when I saw several hawkers, you know the ones who play patintero with vehicles, selling the very same shrimp crackers.
Someone, Alex I think, started whining for shrimp crackers and Speedy automatically said he would buy later at the supermarket because these hawkers pad the price by so much. I was curious about the difference in prices and was about to roll up my window to call one of the hawkers just to ask. I changed my mind, started rolling down the window, when Sam exclaimed from the back seat, “Go ask, that’s bloggable!”
Bloggable, alright. The shrimp crackers were being sold at 35 pesos per bag, or three bags for a hundred pesos. Speedy said that wasn’t unusual because these hawkers put a hefty price on their labor — they sell on their feet, carrying their ware, under the hot sun and even when it rains. I can understand that, sure, but it occurred to me that while we tend to pat the backs of those who opt to perform such a hard job rather than become beggars and mendicants, it is also true that the exploitative aspect of selling — this tendency to raise the price as high as possible — is not something peculiar to big companies (oil! oil!) but it is true even for the simple man like these ambulant peddlers.
Now, consider the tax implications.
No receipts are issued with these sales. I doubt if these peddlers pay income taxes from what they earn selling. If big companies cook their books to lower their tax liabilities, these peddlers don’t even keep books that they have to cook.
Then, consider what kind of traffic hazards they pose. These peddlers don’t exactly wait until the light is red. They don’t approach drivers only after the vehicles have come to a full stop. They run towards the still-moving vehicles and they run after vehicles that have started to move after the light has turned green.
Of course, these were all passing thoughts as we drove home. And I remembered a peddler of hand puppets near the intersection of Ayala Avenue and Makati Avenue from years ago when I was still working and driving through the area was a five-days-a-week routine.
Late one night, I wanted to bring home some pasalubong for the kids and there was this guy selling hand puppets. When the puppet’s mouth was pressed from the inside, it stuck its tongue out. Cute, I thought. I called the guy over and asked how much for the puppets. He said 250 pesos each. I pursed my lips and told him that was too much. All through the red light, I haggled. Before the light turned green, the price was down to 50 pesos. I bought two — one for Sam and one for Alex. I felt so happy and proud that I got the puppets for what I considered a fair price.
A few weeks later, I was at the Antipolo Cathedral with Alex for a school affair. There was this peddler selling the very same puppets that I bought from the Makati hawker. I don’t remember why but I stopped to ask the man how much he was selling the puppets for. He said 20 pesos each. In this country, the first price that is quoted is never the real price. Haggling is the rule and I bet I could have bought his puppets for 10 pesos each.
A third of what’s been written about me is true, a third is half-true and the rest consists of drug-induced hallucinations. I suppose I’d better let me, rather than them, tell you 
11 responses to "Some thoughts about shrimp crackers and entrepreneurship"
huwat!? 35pesos? hahaha, grabeng magpatong ano?
nung college ako, sabi ng prof ko kapag makikipagtawaran, don’t give your desired price. dahil kapag nagustuhan nila ang presyo mo, you have to buy the product else they’ll raise hell over. dapat daw tanungin ko kung magkano ang last price para ikaw ang may control sa negotiation?
here in china, i can only apply the first dahil hindi ko pa alam sabihin sa chinese ang “magkano ang last price” pero enjoy na enjoy ako makipagtawaran kase alam ko sabihin in chinese ang mga kaperahan LOL
more than 100% mark-up nga. eh mas malala yung tindero ng hand puppet ano? At tama yung prof mo, wag magpatali sa isang presyo — hanggat maibababa, ibaba. Shocking talaga yung mga ibang nagtitinda. Sa offices, yung give-give, grabe patong ha.
Ilang beses na din akong nagoyong ng mga street vendors. I know they work hard and everything pero masama pa rin loob ko when I find out the real price of the stuff they sell. Usually nakikita ko sa Divi yung mga toys na binibenta nila and super patong talaga ang gawa nila. Oh well….ganun talaga buhay
I love shrimp crackers too. My secretary buys the same brand Speedy buys when I ask her to buy the both of us merienda. It’s usually a sandwich and water. Chips when she wants one. I try to stay away from junk but ends up sharing with her. You know what else I love, those pink kropek that’s thick and crunchy. I don’t remember what brand but it does not look like it’s from a multinational company. Masarap.
Kongkong, ang nabili ko lang yata sa mga yan na hindi harang yung presyo ay door mats. There was a time wala na oras mamili nung working pa ‘ko. I saw those doormats, Pooh pa yung print, tapos parang 5 for 100. Aba’y sige na, di ba?
Em, I know that kropek! It’s a local company. And you’ll rarely find the product in groceries but in public markets, they’re all over. We used to buy that — that and fish crackers.
Em Dy & Connie, the brand of the pink Kropek is Tanyag. It’s manufactured in Nagcarlan, Laguna or thereabouts. A friend who hails from the area buys them straight from the factory, really fresh and crunchy… sarap! Thanks for mentioning it, I think I will look for it in the supermarket tomorrow. Sana meron
It’s not just in this country. Other countries from southeast is much worst. For example, this vendor from a Chinese community offered me a bag for 250 Ringgits in Malaysia, I really liked it but I certainly don’t have that much money so he keeps on lowering the price, some minutes after when I was about to go, he’s shouting 10 Ringgits. Consider that Ringgits is x/15 PhP. lol
I can sympathize with those kids peddling stuff to earn money. Growing up with 4 other kids in the family, money was tight. During summer I peddled newspapers and magazines in the capitol building of zambales. One of my customers then was Rep. Antonio Diaz(of the Viva Hot Babe scandal) who gave me a 25 cent tip. In 1969 that was a big tip back then.
It’s now 2008 and he’s still there. Is he congressman for life?
Carol, idol ka talaga hehehehe Makapunta nga ng palengke at meron yan sigurado. Ang sure na sure ako na meron ay sa palengke ng Taytay.
Mikee, I think the hawkers overpricing is true in any Third World country. In rich countries, overpricing is the domain of big businesses. LOL
iskolar111, LOL eh according to the current Consti, three straight terms, rest for a term, run again and serve three straight terms again, rest again, ad infinitum. In effect pwede ngang congressman for life.
It’s interesting that they price their crackers at Php100 for 3 packs … because that means people are actually buying at those prices. I do believe in free markets, so I suppose they’ll charge as much as (they think) the market will bear.
It sounds so attractive packaging it at 3 for P100, right? Makes it sound like a bargain. And consumers buy that kind of gimmick all the time LOL
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