I was wondering if anybody can help me with my oil project on why different gas stations have different prices such as a Mobil and another Mobil down the street. Also, if anyone can help me with any good websites I can visit to get information related to this subject would be very helpful. In addition, maybe someone can lead me to why city avgs are different than the national average. Thank youOil Prices?
It all boils down to competition.Each of the stations will compete agains the other stations in their immediate area.So the Mobil on one side of town is competing with the othe stations close to them,while the other Mobile across town is competing with the ones in that area.Averages are a total of a certain amount of stations prices in a given area,so say you have 20 stations in a city.You add up the price of each station and divide that by 20,that would be your average.This means that a city average is based on a smaller number of stations and prices compaired to a national average.Hope that helps clear it up.
No comments:
Post a Comment