here we go again.....Oil settles near $85, higher fuel costs ahead
04-03-10, 10:09 AM
#31
Dysfunctional Veteran
Premium Fuel at my local fuel station is $3.29/gal. Reg is 2.89.
I find it funny how it is about that all the way down Interstate 81, until you cross the Pennsylvania state line.
1st gas station on the PA side of I-81, premium is 2.89. WHY?
I find it funny how it is about that all the way down Interstate 81, until you cross the Pennsylvania state line.
1st gas station on the PA side of I-81, premium is 2.89. WHY?
04-03-10, 10:28 AM
#32
Lexus Fanatic
Local supply/demand and competition may also play a role. I haven't been on the PA turnpike in a number of years, but when I used to drive it across the mountains to OH, I noticed that stations in rest-areas on the turnpike itself, where there was very limited-access, exits were miles apart, and there was little competition, tended to be a couple of cents more simply because of the "Gotcha" factor.
Last edited by mmarshall; 04-03-10 at 10:32 AM.
04-03-10, 12:49 PM
#33
Lexus Fanatic
Not really. You would be surprised at the number of people who don't realize that gas is more expensive in CA, and why. Many of them, when they first see the pump prices, think it is just oil-company price gouging.
Of course the blend alone doesn't count for the difference. Local pump prices also depend on the costs of running local gas stations.....utility costs, labor costs, property/buisness taxes, advertising (if applicable), maintence/repairs, etc....
But, in general, for all of these reasons and more, one can normally expect, on average, to pay more for gas in CA than in many other states. It's a shame, because many parts of CA are already expensive enough to live in anyway for other reasons (especially real estate), but a fact of life.
Of course the blend alone doesn't count for the difference. Local pump prices also depend on the costs of running local gas stations.....utility costs, labor costs, property/buisness taxes, advertising (if applicable), maintence/repairs, etc....
But, in general, for all of these reasons and more, one can normally expect, on average, to pay more for gas in CA than in many other states. It's a shame, because many parts of CA are already expensive enough to live in anyway for other reasons (especially real estate), but a fact of life.
btw, should mention profits in all that above.
04-03-10, 06:08 PM
#34
Lexus Fanatic
Generalizations or not, they determine the cost of running the station. And that, largely, determines what the pump prices will be.
Profits on the gas pumps alone are usually quite small. That's why most gas stations, today, include either a service/repair shop or a food mart with it....that's where they actually make most of their money. The rise of the food-mart gas station, in particular, has been phenominal in recent years....they now sometimes compete more with 7-Eleven than other gas stations.
btw, should mention profits in all that above.
04-03-10, 10:09 PM
#36
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Saw this on Discovery, back in the 60's a company offered to build 60 miles of monorail free in LA, FREE! Standard Oil thought that would be a bad idea so they lobbied successfully to have the local politicians kill it.
Too bad, today we would have 80 miles throughout LA, above the traffic, would have been great!
http://www.monorails.org/tmspages/la1963.html
Too bad, today we would have 80 miles throughout LA, above the traffic, would have been great!
http://www.monorails.org/tmspages/la1963.html
04-04-10, 10:33 AM
#37
Lexus Fanatic
[QUOTE=mmarshall;5371846
Profits on the gas pumps alone are usually quite small. That's why most gas stations, today, include either a service/repair shop or a food mart with it....that's where they actually make most of their money. The rise of the food-mart gas station, in particular, has been phenominal in recent years....they now sometimes compete more with 7-Eleven than other gas stations.[/QUOTE]
A generalization, and the reason why I mentioned profits is that it should be included (because your original post did not include this important aspect). Profits vary from station to station, city to city, much depending on supply/demand and demographics and local economics. Profits for gas are substantial in many cases. Yes the junk food margins are better than gasoline but with the high volume of gasoline pumped, the total profits for gasoline usually exceed the total profit for non-gasoline purchases.
Profits on the gas pumps alone are usually quite small. That's why most gas stations, today, include either a service/repair shop or a food mart with it....that's where they actually make most of their money. The rise of the food-mart gas station, in particular, has been phenominal in recent years....they now sometimes compete more with 7-Eleven than other gas stations.[/QUOTE]
A generalization, and the reason why I mentioned profits is that it should be included (because your original post did not include this important aspect). Profits vary from station to station, city to city, much depending on supply/demand and demographics and local economics. Profits for gas are substantial in many cases. Yes the junk food margins are better than gasoline but with the high volume of gasoline pumped, the total profits for gasoline usually exceed the total profit for non-gasoline purchases.
04-05-10, 10:30 AM
#38
Lexus Champion
Thread Starter
Saw this on Discovery, back in the 60's a company offered to build 60 miles of monorail free in LA, FREE! Standard Oil thought that would be a bad idea so they lobbied successfully to have the local politicians kill it.
Too bad, today we would have 80 miles throughout LA, above the traffic, would have been great!
http://www.monorails.org/tmspages/la1963.html
Too bad, today we would have 80 miles throughout LA, above the traffic, would have been great!
http://www.monorails.org/tmspages/la1963.html
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