Should Japanese Vendors Always Use Yen?

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May 17th, '13, 17:43
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Should Japanese Vendors Always Use Yen?

by bambooforest » May 17th, '13, 17:43

I have a question for the masses.

For those vendors in Japan, would you prefer they strictly used Yen?

I recognize it can be an advantage sometimes and a disadvantage other times. Right now, for example, the yen is weak providing sencha enthusiasts with great deals. If/when the yen strengthens then tea will cost more for those paying in USD.

My feeling is that I would prefer all vendors located in Japan to use Yen exclusively.

I'd be curious what others think.

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May 17th, '13, 18:24
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Re: Should Japanese Vendors Always Use Yen?

by Running for Tea » May 17th, '13, 18:24

I agree. I would prefer all Japanese vendors to use Yen. I got into sencha when the dollar was fairly weak. Now that it is strengthening, it feels like every tea is discounted :D

In all seriousness, I expect a Japanese company to use Japanese currency. IMO a company that keeps prices in USD is doing so for their own benefit (not lowering prices as Yen declines, or not lowering prices to an equivalent amount). That's why I prefer Yen, to ensure I am receiving a fair, competitive price.

I'm curious to see what other members think!

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May 17th, '13, 19:02
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Re: Should Japanese Vendors Always Use Yen?

by victoria3 » May 17th, '13, 19:02

Of course right now with favorable US exchange rates the Yen makes sense as long as the conversion is not made by PayPal. I suppose the Yen also makes sense even if rates are not favorable.

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May 17th, '13, 19:20
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Re: Should Japanese Vendors Always Use Yen?

by bambooforest » May 17th, '13, 19:20

Running for Tea wrote:In all seriousness, I expect a Japanese company to use Japanese currency. IMO a company that keeps prices in USD is doing so for their own benefit (not lowering prices as Yen declines, or not lowering prices to an equivalent amount). That's why I prefer Yen, to ensure I am receiving a fair, competitive price.


I agree with this. I wouldn't be surprised if a company selling in USD would raise the prices in USD if the dollar started to slide significantly. But while the dollar is worth more, they won't lower their prices to take this into account.

Yen all the way IMHO.

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May 17th, '13, 21:09
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Re: Should Japanese Vendors Always Use Yen?

by Chip » May 17th, '13, 21:09

I agree and I can also disagree ... to a degree. :mrgreen:

Take a company such as O-Cha. Yes we are reaping the benefits of the lowered prices ... now. But the prices had risen exactly as much as the yen's increase to the dollar ... it was a fair price, but it was higher. This makes sense in a global economy as we experience it. And now the prices have fallen exactly as much as the Yen has fallen to the dollar ... and we rejoice!!! :mrgreen:

On the other side of the coin there is for instance Zencha.net. Their prices did not rise when the dollar tumbled, they remained the same. And now that the dollar has risen like a phoenix, the prices have not decreased, still the same price. Stability ... though how do they do it?

It is a tough call. I can make arguments both ways. But fluctuating prices based upon the exchange rates seems best for the long term.

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May 17th, '13, 21:28
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Re: Should Japanese Vendors Always Use Yen?

by bambooforest » May 17th, '13, 21:28

Chip wrote:I agree and I can also disagree ... to a degree. :mrgreen:

It is a tough call. I can make arguments both ways. But flucuating prices based upon the exchange rates seems best for the long term.


From my perspective... it's only a tough call if you assume that a vendor wouldn't raise the USD if the USD started to slide significantly. And I'm not convinced a vendor wouldn't do that. At least some will maintain price, as you pointed out, though, from your observation. I haven't kept a check on it..... but yeah, I agree with you that in the long run yen is the best.

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May 17th, '13, 22:28
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Re: Should Japanese Vendors Always Use Yen?

by JBaymore » May 17th, '13, 22:28

I think the vendor should use whatever currency and set whatever prices THEY see fit. Then the purchaser can decide if they want to use that vendor. Simple. It is THEIR business, after all.

best,

................john

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May 17th, '13, 22:58
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Re: Should Japanese Vendors Always Use Yen?

by bambooforest » May 17th, '13, 22:58

JBaymore wrote:I think the vendor should use whatever currency and set whatever prices THEY see fit. Then the purchaser can decide if they want to use that vendor. Simple. It is THEIR business, after all.

best,

................john


Apparently you didn't read my question properly. I was asking what customers prefer. What vendors do is their business, obviously.

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May 18th, '13, 10:51
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Re: Should Japanese Vendors Always Use Yen?

by JBaymore » May 18th, '13, 10:51

bambooforest wrote:
JBaymore wrote:I think the vendor should use whatever currency and set whatever prices THEY see fit. Then the purchaser can decide if they want to use that vendor. Simple. It is THEIR business, after all.

best,

................john


Apparently you didn't read my question properly. I was asking what customers prefer. What vendors do is their business, obviously.


I was specifically answering your question........ that is what I think. Maybe I should have used "prefer" instead of the word "think". Sorry about any semantic confusion that choice of words may have created.

best,

................john

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May 18th, '13, 17:44
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Re: Should Japanese Vendors Always Use Yen?

by bambooforest » May 18th, '13, 17:44

JBaymore wrote:I was specifically answering your question........ that is what I think. Maybe I should have used "prefer" instead of the word "think". Sorry about any semantic confusion that choice of words may have created.

best,

................john


'Think' and 'prefer' are completely different words and not even remotely synonyms. So by using 'think' you answered a question I never asked. I say this because usually when people say "that's just semantics" they are referring to two things that ultimately mean the same thing. But in this case, since these words clearly have different meanings, I don't see that being the case.

Secondly, I thought the way I framed my question that it was crystal clear that I was asking from the perspective of a consumer: What they'd prefer when spending their money. I wasn't asking what you think are the rights of businesses and so to me you did everything but answer my question.

But if you don't see it that way... that's cool. Cheers.

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May 18th, '13, 18:16
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Re: Should Japanese Vendors Always Use Yen?

by shinobicha » May 18th, '13, 18:16

victoria3 wrote:Of course right now with favorable US exchange rates the Yen makes sense as long as the conversion is not made by PayPal. I suppose the Yen also makes sense even if rates are not favorable.


For a tea purchase, PayPal's exchange rate is reasonable - 2.5%. Most of the time, that will be less than $2.50, but of course depends on the size of order you do. Nevertheless, I say it is reasonable because Credit Card companies often charge 3% - 4%. Sometimes they have no charge, but you have to look that up. But again, it is usually quite a small amount when you look at the actual cost.

I prefer a vendor to price in Yen (or own currency). Sure there is stability if the prices are in USD, but the vendor doesn't have to add a bunch of mark-up to protect against currency fluctuations. Obviously it cuts both ways, but there is a different kind of stability ('competitive pricing') if a vendor uses JPY.

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May 18th, '13, 19:01
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Re: Should Japanese Vendors Always Use Yen?

by JBaymore » May 18th, '13, 19:01

bambooforest wrote:I'd be curious what others think.


:lol: :lol: :lol:

best,

.................john

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May 18th, '13, 19:28
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Re: Should Japanese Vendors Always Use Yen?

by bambooforest » May 18th, '13, 19:28

shinobicha wrote:bambooforest wrote:
I'd be curious what others think.




best,

.................john


John, based on everything that precedes what you quoted which you conveniently didn't include.

Cheers.

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May 18th, '13, 19:30
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Re: Should Japanese Vendors Always Use Yen?

by Chip » May 18th, '13, 19:30

... hmmm, seems like it is time to let it go and focus back on the topic. :idea: :arrow:

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May 19th, '13, 07:03
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Re: Should Japanese Vendors Always Use Yen?

by sherubtse » May 19th, '13, 07:03

shinobicha wrote:For a tea purchase, PayPal's exchange rate is reasonable - 2.5%. Most of the time, that will be less than $2.50, but of course depends on the size of order you do. Nevertheless, I say it is reasonable because Credit Card companies often charge 3% - 4%. Sometimes they have no charge, but you have to look that up. But again, it is usually quite a small amount when you look at the actual cost.


The situation is a bit different for those who do not pay their credit card bills in USD. The credit card companies convert first to USD before converting to the local currency. Last time I looked, PayPal charged about 4% for this process, which includes the exchange rate differential.

But, to answer the question which I prefer as a customer .... It really doesn't matter. I have several companies that I like who price their teas in Yen, and others that price theirs in USD. So I have good options regardless of what the exchange rate is, viz. Yen to USD, and USD to Canadian dollars.

Best wishes,
sherubtse

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